Our multi-asset portfolios focus on what affects investor outcomes the most: asset allocation. Each asset class has its own risk and return characteristics. We allocate money between asset classes based on the following beliefs:

• Risk can't be avoided, but can be managed.
  Key to MLC's investment approach is our unique Investment Futures Framework . It guides our forward-looking approach to managing risk. Read more about the Framework.
  In an unpredictable and constantly changing world, we use the Framework to help continually identify the very wide range of potential market scenarios - both good and bad - that could occur.
  
  The Framework also helps us analyse how these scenarios could affect the risks and returns of asset classes in the portfolios.
  
  Our investment experts use the insights from this analysis to work out the combination of asset classes that will best achieve a portfolio's objective.
  
  This helps us prepare our portfolios for future market ups and downs.
• Risks and returns vary through time.
  Our Investment Futures Framework shows us how the potential risks and returns of each asset class could change over the next three to seven years.
  
  With this information we can adjust our portfolios' asset allocations to reduce the risk or improve the return potential of the portfolios.
• Diversification matters
  Asset classes perform differently in different market conditions.
  
  Investing in many asset classes helps us smooth out the overall portfolio returns, offsetting the ups and downs of each asset class.

Our portfolios have different investment objectives. That's why our investment experts select a different mix of assets and investment managers for each.

Our investment managers may be specialist in-house managers, external managers or a combination of both.

We research hundreds of investment managers from around the world and select from the best for our portfolios.

We then combine them in our portfolios so they complement each other.

This multi-manager approach helps to reduce risk and deliver more consistent returns.

Find out more about our current investment managers.

View the current managers of a portfolio and their allocations using the Fund Profile Tool.

To make sure our portfolios are working hard for our investors, we continually review and actively manage them.

We may adjust the asset allocation, investment strategies and managers. This may be because our assessment of the future market environment has altered or because we have found new ways to balance risk and return in the portfolios.

We deliver better returns by avoiding unnecessary costs. We do this by carefully managing cash flows, tax and changes in our portfolios.