Schroders announces launch of EURO Credit Conviction fund
Schroders is pleased to announce the launch of Schroder ISF EURO Credit Conviction, a new fund which aims to achieve a higher yield than core euro corporate bond funds by focusing on the ‘best ideas’ generated by the Schroders European and UK credit team’s proven investment approach.
Schroders is pleased to announce the launch of Schroder ISF1 EURO Credit Conviction, a new fund which aims to achieve a higher yield than core euro corporate bond funds by focusing on the ‘best ideas’ generated by the Schroders European and UK credit team’s proven investment approach2.
The fund, which launched on 18th December and is benchmarked against the iBoxx Euro Corporate BBB Index, invests primarily in a portfolio of Euro-denominated bonds and other fixed and floating rate securities issued by corporate issuers, governments, government agencies and supra-national issuers worldwide.
The investment process utilises both top-down and bottom-up proprietary research and innovative investment themes from across Schroders’ investment teams to formulate diversified credit investment themes, which we believe will have an influence on European credit markets. Once themes have been identified, our team of credit analysts undertake in-depth research to identify which companies they expect to benefit as these themes play out.
Peter Beckett, Head of UK and International Marketing, commented:
“Low bond yields across the board have forced investors to search for higher yielding investments. Schroder ISF EURO Credit Conviction allows us to offer an investment grade strategy that aims to deliver a higher yield than core investment grade euro credit funds, a proposition that we expect to be highly attractive to investors who are looking for higher levels of yield, but are unable or unwilling to make an allocation to sub-investment grade bonds.”
Patrick Vogel, lead manager on Schroder ISF EURO Credit Conviction and Head of European Credit, added:
“As the eurozone economies move into a stabilisation phase, providing a more supportive environment for credit, we are seeing a ‘sweet-spot’ for European credit with opportunities across the investment space, particularly in higher yielding investment grade bonds. While traditional core euro credit strategies may be constrained to owning low yielding bonds, which dilute the best ideas and therefore the returns that these products could deliver, this fund gives us the flexibility to focus our strategy on the investment opportunities which offer the best potential for returns.”
1 Schroder International Selection Fund is referred to as Schroder ISF
2 2.18% excess return on Schroder ISF EURO Corporate Bond since September 2012. Source: Schroders, net of all fees, as at 31st December 2013. Past performance is not a guide to future performance. The value of investments and the
For further information, please contact:
Georgina Robertson, International PR:
Tel - +44 (0)20 7658 3365 / firstname.lastname@example.org
Kathryn Sutton, International PR:
Tel - +44 (0)20 7658 5765 / email@example.com
Charlotte Banks, UK Intermediary PR:
Tel - +44 (0)20 7658 2589 / firstname.lastname@example.org
Notes to Editors
For trade press only. To view the latest press releases from Schroders visit: http://ir.schroders.com/media
Schroders is a global asset management company with £256.7 billion (EUR307.2 billion/$415.8 billion) under management as at 30 September 2013. Our clients are major financial institutions including pension funds, banks and insurance companies, local and public authorities, governments, charities, high net worth individuals and retail investors.
With one of the largest networks of offices of any dedicated asset management company, we operate from 37 offices in 27 countries across Europe, the Americas, Asia and the Middle East. Schroders has developed under stable ownership for over 200 years and long-term thinking governs our approach to investing, building client relationships and growing our business.
Further information about Schroders can be found at www.schroders.com.
Issued by Schroder Investment Management Ltd, which is authorised and regulated by the Financial Conduct Authority. For regular updates by e-mail please register online at www.schroders.com for our alerting service.