Managing Partners Group launches high yield debt securities fund

Managing Partners Group (MPG), the international asset management group, has launched a fund aiming to achieve absolute, long-term capital growth for institutional and high-net worth investors by investing in a diversified portfolio of fixed income and high yield debt securities.

The Melius Fixed Income Fund will blend investment grade securities with higher-yielding instruments to balance risk against returns. The management team will have the ability to stock-pick opportunities within the broadest of investment parameters, taking advantage of risk-returns that compare favourably with those available in mainstream bond markets.

Jeremy Leach, Managing Partners Group Chief Executive Officer said: “The Melius Fixed Income Fund will offer the traditional benefits of a core bond approach, such as low volatility and steady returns, while having a low correlation with global financial markets.

“The assets in which this fund invests will typically have attractive yields of 5-6% per annum as well as the security of first call on the underlying assets. This is very attractive at a time when investors are fearful that bull runs in both equity and bond markets could soon end as monetary policy tightens in developed markets.

“Free from the constraints of a benchmark or significant sector or instrument limitations, the management team will draw on its expertise and industry contacts to source highly attractive assets from across the debt securities market to generate alpha performance and preserve capital.”

MPG’s choice of investments will include listed and unlisted asset backed securities with exposure to a range of investment grade and high yield bonds and notes.

The fund is an open-ended mutual fund domiciled in the Cayman Islands and is available in US dollar, euro, Swiss franc and UK sterling share classes. The minimum investment is $100,000 or currency equivalent.

The fund administrator, custodian, paying agent and Swiss representative is CACEIS, part of the Crédit Agricole Group, which is the world’s tenth largest bank.

MPG is a multi-disciplined investment house that specialises in the creation, management and administration of regulated mutual funds and issuers of asset-backed securities for SMEs, financial institutions and sophisticated investors.  It currently manages funds with a gross value of $500 million. More information can be found on the Managing Partners Group website.