The investment style of the fund has also changed and will now provide exposure to corporate bonds as well as sovereign debt.
Glass, who has over 15 years’ experience managing fixed income assets will shift the fund from a purely strategic allocation of assets to a blended approach using the Barclays Capital Global Aggregate Total Return Index as an oversight.
He will also use macro forecasts and market levels to inform his tactical allocation.
So while the index currently adopts a weighting in excess of 50% to government debt, with his approach Glass is positioning the fund to have exposure of just 20% to government debt.
Glass takes over from Mark Astley of Millennium Global Investments. He said of the fund: "It is well-positioned to capitalise on the past three years’ extraordinary volatility in credit markets which has left many bonds pricing in default rates that are quite simply irrational.
"When one considers investment grade corporate debt is pricing in one in every seven companies to go bankrupt in the next five years, one can see the potential value in today’s corporate bond market."
His justification for this is that even in the depths of a prolonged recession the average five-year default rate only ever climbed to 1.55% in 1938, according to Moody’s.
The transition of the fund to Glass’ stewardship occurred on 1 January.
