Our Sustainable Global High Yield Bonds Strategy is dynamic and responsive to changing markets. With a global universe, we invest wherever we find compelling opportunities, while actively managing our credit and duration risk.
A highly skilled team of credit experts with over 120 years of combined experience through all market cycles over the last 25 years.
Advanced ESG/climate impact analysis is embedded in our decision-making. This, along with ongoing engagement, steers us towards quality issuers.
Top-down research informs our dynamic allocation across the different geographies and sectors of the global high yield universe. As a small team based in one location, we can respond quickly to changes in the market environment.
The strategy accesses a global universe with a high-conviction approach to generate total returns through the cycle. We mitigate down markets with an active hedging process.
We believe that high yield bonds behave differently according to the region in which they are located, and where that region is within its business cycle. Therefore, a global approach to investing in high yield bonds gives us the flexibility to move across the markets with the aim of capturing the best opportunities available.
We move dynamically between credit and duration risk, assessing where each region is within its cycle to steer our top-down allocation.
Our bottom-up analysis begins with positive screening against an exclusion list, followed by an assessment of the ESG-climate profile of each company. Within the reduced universe, fundamental, technical and valuation factors are analysed to provide an overall ranking, which we use to construct the portfolio. We use a scorecard to monitor companies with lower ESG-climate profile assessments and ongoing engagement to encourage best practice.
Fatima Luis, Senior Portfolio Manager, kicked off her investment career at the birth of the euro. She takes us through how the launch of the currency provided a catalyst for credit opportunities and began her journey to becoming a fixed income expert.
“Can I buy below market risk for above market return?” That’s the basis of fixed income specialist Al Cattermole’s investment philosophy, which has been influenced by a credit hedge fund stint alongside his passion for scuba diving.
Head of UK Wholesale