AXA’s senior portfolio manager, Julie Lamirel, may add emerging market (EM) debt to her £20 million Sterling Credit Short Duration Bond fund, Investment Week reports. At present, there is only one investment grade EM bond in the fund, issued by the Development Bank of Kazakhstan and hedged back into sterling.

The manager, whose EM bond had a 5.27% yield at issuance in December, has also cut the duration of the fund from around 2.3 years to two years since the start of 2011. The fund had 4-5% in cash and gilts at the end of 2010. Lamirel has also reduced duration on the firm’s corporate bond fund from 6.8 years to 6.4 since the end of last year.

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