Addition of the MFS Blended Research Global Equity Segregated Fund to the Core investment platform
Plan sponsors may wish to consider whether this investment news has any implications for the investment options available within their plans. Sun Life Assurance Company of Canada purchases units of the funds listed below, which are established as segregated funds in accordance with the Insurance Companies Act (Canada).
We’re pleased to announce the addition of the MFS Blended Research Global Equity Segregated Fund (the Fund) to the Core investment platform. This Fund provides a lower tracking global equity option, along with generally lower fees compared to typical fundamental actively-managed funds.
MFS’s Blended Research funds combine bottom-up fundamental and quantitative research. The Fund’s inception was in May 2011 and is in the Large Cap core category of our platform.
The Fund is managed by MFS’ Blended Research team, which also manages MFS’ low volatility, income-focused, and targeted tracking error strategies. The portfolio management team consists of lead Portfolio Manager (PM) Jonathan Sage, and co-PMs James Fallon, Matthew Krummell, Jed Stocks, Jenney Zhang and Nathan Bryant. They are also supported by the Quantitative Equity research team.
The Fund is managed on the following principles:
- Investing in above-average quality companies that are trading at favourable valuations with an investment catalyst may be rewarded over the long term.
- Quantitative research and fundamental research have complementary attributes.
- Integrating fundamental and quantitative research in a disciplined portfolio construction process may lead to strong risk-adjusted results.
The Fund is managed within the following parameters:
- Asset Mix: Equities (90-100%) / Cash & Equivalents (0-10%)
- Position limit +/-3% versus benchmark
- Predicted tracking error target ~2%/year
- Predicted beta target ~1.0
- Sector weights +/- 3% versus benchmark
- Region weights +/- 3% versus benchmark
- Emerging Markets weights +/- 3% versus benchmark
- Turnover: less than 100%/year
- Number of stocks: 80–150 (139 stocks as of December 31, 2025)
- Benchmarked: MSCI All Country World Index (net dividends)
The addition of the Fund represents Sun Life’s commitment to offer plan sponsors and members with diverse investment options. In this case, the Fund provides a global equity option with lower tracking error and lower fees than similar fundamental options.
In the next few weeks, you will be able to find more information about the Fund by accessing the Morningstar section of the plan sponsor web site.
|
10 years |
5 years |
3 years |
1 year |
|---|---|---|---|---|
MFS Blended Research - Global Equity Composite - Gross |
12.72 |
16.55 |
23.35 |
19.12 |
MSCI All Country World Index (net div) |
11.58 |
12.83 |
21.12 |
16.60 |
Excess Return |
1.14 |
3.72 |
2.23 |
2.52 |
About MFS Investment Management
Founded in 1924, MFS Investment Management (“MFS”) is a global investment manager with capabilities spanning equity, fixed income, and multi-asset strategies serving institutional and individual investors worldwide. Today, MFS manages over USD$500 billion in assets and serves investors in more than 75 countries. For nearly a century, MFS has aligned its active investment approach and how it serves clients with a sole purpose: to create long-term value responsibly.
Do you have to take any action?
You don’t need to take any action. You may consider whether the new fund would be a suitable addition to your lineup.
Questions?
Please contact your Sun Life Group Retirement Services representative*.
*In Quebec, registered as a Group annuity plans advisor.