The Dublin-domiciled Nomura Man Systematic Fixed Income Ucits Fund aims to provide investors with an “innovative approach to investing in fixed income markets in the current low interest rate environment”.
Sandy Rattray, chief executive of AHL-MSS said: “Traditional fixed income investing is clearly challenged in the current environment with interest rates being close to zero per cent.
“In contrast, the backdrop for alternative fixed income investing is favourable: the competition for pursuing alpha opportunities has diminished as banks have reduced their risk taking in fixed income markets considerably since 2008, creating the potential to generate strong returns. However, it has been difficult for investors to tap into these opportunities in a Ucits-compliant way with daily liquidity. We are therefore pleased to make such an offering available to investors.”
Man said the underlying strategy, which has been accessible via a number of formats since last summer, is run by Man Systematic Strategies. The strategy seeks to capture largely directional opportunities in emerging and developed swap, futures and FX markets. It trades a balanced portfolio of 50 markets, based on around 300 systematic trading signals, which benefit from the extensive research and trading experience of AHL and MSS.
The strategy is managed by Andre Rzym and Stefan Sluke, who both previously worked on AHL’s managed futures funds.
Share classes available on demand include euro, sterling, Swiss franc, Swedish krona and Norwegin krone. Minimum investment starts at US$100,000 for an advisor share class which has an annual management fee of 1.9% and a 20% performance fee.
