Perennial founders back new boutique fund
The founders of Perennial Investment Management Limited have partnered with an investor, Mark Mitchell, to form Daintree Capital, a new boutique investment firm that specialist income products.
The firm’s inaugural portfolio would be an absolute return fixed income portfolio and would be available from 30 April.
Daintree Capital’s team would be led by Mitchell, who was the former portfolio manager and head of credit at Kapstream, and Justin Tyler who joined from Aberdeen where he was a senior investment manager responsible for interest rate decisions.
Daintree Capital’s philosophy would be based on “a robust credit culture, a pragmatic investment process and a focus on the core reason why fixed interest is a key part of client investment portfolios”.
However, the preservation of capital and protection against downside risk would also be an important core value.
According to Perennial’s chairman, Anthony Patterson, lower interest rates were expected to persist for longer, so investors would need “flexible, total-return focus with strict risk limits to meet their income needs”.
“In Daintree, we will be delivering income products that will reliably deliver superior returns than those available through many traditional banking products,” he said.
“Perennial will be running the back-office and distribution functions of Daintree allowing it to stay wholly focused on gaining the best risk adjusted returns for investors.
“We look forward to supporting Mark, Justin and the Daintree Capital team in building their business and running a successful portfolio for our investors. They are successful credit and income specialists and we believe they have a very bright future.”
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