The investment manager says the fund will be unconstrained by traditional benchmarks, which allows the credit team more freedom to ‘capture opportunities and mitigate risks’ as they develop throughout the cycle with the aim of delivering a strong total return.
The fund will be managed by the credit team based in London, as part of Schroders’ established global credit platform, and Patrick Vogel will be the lead manager. The team will utilise global credit asset allocation techniques, implemented through a proven themes-based credit investment and research process.
Schroders currently manages around €20bn in European and global credit strategies on behalf of clients around the world and the London credit team has delivered 5.0% per annum in their flagship investment grade strategy over 3 years. The fund management team is part of an integrated fixed income platform of over 100 investment specialists based across the globe.
Patrick Vogel, head of European credit, said: “There is a strong demand for flexible credit strategies aiming for total returns. This unconstrained strategy has the flexibility to capture opportunities in global credit allowing us to take advantage of non-synchronous credit cycles to deliver return.”
John Troiano, global head of distribution, said: “Patrick and the team have delivered strong risk adjusted performance and this new addition allows clients to invest in a strategy that provides a diversified credit exposure within the team’s proven investment process. Some investors are seeking to de-risk their portfolios while asking their bond investments to work much harder to generate returns and this fund offers a flexible active approach that has the potential to deliver a strong risk return ratio that will meet the needs of clients.”