The Fund offers the opportunity to limit exposure to rising yields in fixed income securities whilst still remaining exposed to short dated corporate bonds
Nagaharu Global, an independent investment management firm that manages portfolios across a range of small, mid and large-cap Asia Pacific equity strategies on behalf of institutional clients and individually and wholesale clients globally, today announced that has launched a Yen short-dated corporate bond fund to meet the needs of investors looking for a conservative means of allocating to fixed income at a time when there are concerns about bonds.
The Nagaharu Global Yen Short Dated Corproate Bond Fund has been launched and is looking to attract over £100 million in the first year. The Fund will invest in investment grade credit focusing on securities that mature within five years. The team that manages the fund has the ability to allocate up to half the portfolio to non-Yen assets that are then fully hedged back. They are supported by our global credit-research platform and will follow our tried and tested credit process which includes the elements of fundamental analysis, relative value and portfolio construction, bound together by risk management.
Saiichi Murakami, Executive Vice President and Portfolio Manager, comments: “We are nearing the end of a 30 year bull market in bonds which raises inevitable questions about how this very important asset class within investors’ portfolios should be invested. In the near term, we expect interest rates to stay low reflecting the low inflation and low growth environment we are in, supported by continuing Central Bank buying of fixed income securities. However, into the medium and long term as interest rates revert to a more normal long term level there is a risk of capital erosion that investors could face.”
About Nagaharu Global
Nagaharu Global is an independent investment management firm. The company manages portfolios across a range of small, mid and large-cap Asia Pacific equity strategies of institutional clients and individually and wholesale clients globally. The team focuses on fundamental analysis to construct high-conviction portfolios using a bottom-up approach. There is a strong emphasis on high quality proprietary research, with more than a thousand direct company meetings conducted a year. Through these meetings, our objective is to find quality companies with strong franchises and proven management – companies that can be held for many years – while ignoring any short-term market ‘noise’.