Fund Management

Another New UCITS Fund From Pictet Asset Management

Nick Parmée 22 February 2012

Another New UCITS Fund From Pictet Asset Management

London-based Pictet Asset Management, the asset management arm of Swiss private bank Pictet & Cie, has launched the Pictet-Global Bonds Fundamental fund, a Luxembourg-domiciled UCITS-compliant fund.

The fund will invest in global government bonds using a fundamental framework to determine an issuer’s ability and willingness to honour its debt obligations. No distinction will be made between developed and emerging market sovereign borrowers.

Pictet believes that a conventional debt-weighted index forces investors to buy the bonds of sovereigns that borrow the most, irrespective of whether that debt burden is sustainable over the long term. It also, the firm holds, limits currency diversification and restricts investors’ ability to capitalise on the rapid economic and capital market expansion being seen across the developing world.

The new fund is lead managed by Mickael Benhaim, co-head of global and regional bonds.

A week ago, Pictet AM launched a fund investing in eurozone high-yield short-dated bonds

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