Investors should beware absolute return funds targeting ‘low volatility’ as these often result in paltry returns, Argonaut’s Barry Norris tells FE Trustnet. The FE Alpha manager explains the argument for investing in absolute return should be relatively simple: a consistent delivery of attractive returns, combined with a risk profile offering diversification from traditional long-only funds. However, an emphasis on low volatility leads too many funds to only deliver mediocre ‘cash plus’ returns – without the actual safety of cash.