New global fixed-income fund targets Aussie managers
Edinburgh-based fixed-income manager, Cameron Hume, has announced the launch of its new fund, the Global Fixed Income Environmental, Social and Governance (ESG) fund, which will target institutional investors, discretionary fund managers and wealth managers in developed markets across Europe and in Australia.
The actively managed fund would offer exposure to a globally diversified portfolio of up to 400 fixed-income securities from issuers who would be able to demonstrate higher average ESG ratings.
It would also aim to outperform the Bloomberg Barclays Global Aggregate Index while excluding issuers involved in the production of controversial weapons or countries that were subject to United Nations, European Union or United States sanctions.
According to Cameron’s co-founder and chief investment officer, Guy Cameron, his fund would take a “returns-based” rather than a “value-based” approach, hoping to better manage ESG exposure for their fixed-income allocation.
“By using CaTo [Cameron Hume Tools] we are able to value individual corporate bonds within industry sectors and use third-party ESG ratings to evaluate the potential quality of over 3,000 investment-grade and high-yield bonds,” he said.
AUTHOR
Oksana Patron
Recommended for you
Lonsec and SQM Research have highlighted manager selection as a crucial risk for financial advisers when it comes to private market investments, particularly due to the clear performance dispersion.
Macquarie Asset Management has indicated its desire to commit the fast-growing wealth business in Australia by divesting part of its public investment business to Japanese investment bank Nomura.
Australia’s “sophisticated” financial services industry is a magnet for offshore fund managers, according to a global firm.
The latest Morningstar asset manager survey believes ETF providers are likely to retain the market share they have gained from active managers.
