Legg Mason announces new bond fund offering
Global fixed income is a diverse asset class and is improving the predictability of portfolio returns for investors, meaning Australians should continue focusing on exposure to global bonds, according to Legg Mason.
A new global bond fund from Legg Mason for Australian investors would be managed by Western Asset Australia and had been initiated to broaden investment opportunities in the global fixed income space.
"Global bonds offer a compelling investment opportunity. Global fixed income is the largest and most diverse asset class," Western Asset Australia head of investments, Anthony Kirkham, said.
"Investments are made across a wide range of markets and economies each bringing unique characteristics… to add value and diversify risk to exploit inefficiencies and add value for investors."
Kirkham said the fund would invest a minimum of 85 per cent of assets in core investment grade fixed income sectors within developed markets. In addition, it would be able to allocate up to 15 per cent to high yield and emerging market debt.
"The fund's investment universe covers government and corporate bonds, high yield debt, mortgage and asset-back securities and emerging market bonds," he said.
"The fund's diversified strategies make it an ideal investment for retail investors."
AUTHOR
Hope William-Smith
Recommended for you
Flows into cash and fixed income ETFs soared in May, rising from $366 million in April to more than $1.3 billion, data from Betashares shows.
Quinbrook Infrastructure Partners has promoted its Australian head to the role of chief executive of the global investment manager.
UK-based fund manager Royal London Asset Management has appointed a Sydney-based head of regional sales as it embarks on a multiyear plan to expand its presence internationally.
Australian fund managers are actively seeking to launch Cayman versions of their funds to attract offshore flows, with Regal Partners set to launch its latest offering this month.
