Alliance Trust Asset Management, owned by U.K. self-managed Alliance Trust, may roll out a strategic bond fund and set a cap at the size of its Monthly Income Bond fund, FundWeb reports. The bond fund’s size will be capped at £1 billion. The £205 million Monthly Income Bond fund was launched in June last year.
It gained just 1 percent between its inception and November 1, compared with an average of 7.3 percent for the £ Corporate Bond sector and 9.8 percent for the fund’s IBoxx £ Corporate 5-15-year bond benchmark. Head of income Rod Davidson, who joined Alliance last year, considered launching a fund for the IMA’s £ Strategic Bond sector.
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