What is the difference between MGU and MFD?
In general, MGU is growth orientated with a focus on high total return (consisting of dividends and other income, and capital appreciation) and MFD is focused on stable current yield. For example, MGU is able to invest in non-OECD countries (such as China and India), whereas MFD invests in primarily in OECD countries. MGU is also able to apply its leverage to investments in equity stocks, whereas MFD is restricted to investing its leverage into floating rate loans. There is also a difference in the way the two portfolios are managed. The MGU portfolio is more actively managed to optimize total returns, whereas the MFD portfolio employs a lower turnover, buy-and-hold strategy.
