With a target gross income of 3.5 per cent per year above the UK three-month LIBOR interest rate (before the deduction of corporation tax), the fund will aim to keep volatility to less than half that of global equities, while preserving capital over a rolling three-year period.

It will typically invest in 20 to 30 "investment ideas" at any one time, with a time horizon of two-to-three years, allowing fund managers to put together a diversified portfolio that provides exposure to the upside in financial markets, while seeking sustainable income.

Led by David Millar, head of multi-asset investment at , the fund will be managed jointly by Richard Batty, Sebastian Mackay and Gwilym Satchell. They will be supported by the other seven members of the firm’s multi-asset team. Unconstrained by asset class and geography, the team will use a similar investment process to the existing £7.3 million ($9 million) Invesco Perpetual Global Targeted Returns Fund. According to Trustnet, that fund delivered a cumulative performance of 2.3 per cent over the last year, compared to sector average returns of 0.6 per cent.

“Conversations with our clients have highlighted a clear and growing need for sustainable income due to a challenging macroeconomic climate and an ever-lengthening retirement period. In today’s low yield environment, multi-asset investing helps investors spread the overall risk taken while providing the opportunity for more stable returns compared to investing in just one asset class,” said Millar.