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Pictet Funds Launches Convertible Bonds UCITS III Fund

Harriet Davies 15 January 2010

Pictet Funds Launches Convertible Bonds UCITS III Fund

Pictet Funds, the fund distribution arm of the Swiss private bank, is launching a UCITS III convertible bonds fund, and has appointed Jabre Capital Partners as fund manager.

Denominated in euros – with hedged share classes available in Swiss francs and US dollars – the fund will invest globally on an absolute return basis. It will concentrate on large cap companies from the major global liquid markets, with an average exposure of 40 per cent in the US, 40 per cent in Europe, and 20 per cent over the rest of the world. Its central objective is to provide equity-like returns but at lower volatility over a full economic cycle.

“Periodically we fill gaps in our product range by selecting the best managers we can find in an area where we do not have proprietary expertise, as part of our strategy to provide clients with the widest possible choice of investments,” said Laurent Ramsey, chief executive of Pictet Funds, adding that Jabre had been selected in this case due to its proven investment approach and excellent track record in this asset class.

Jabre’s idea generation process involves quantitative screens using different convertible models and proprietary spreadsheets, prospectus analysis, scenario modelling, new issue valuations and the review of internal and external fundamental research, Pictet said in a press statement.

The fund, to be launched on 1 February, is so far registered for sale in Austria, Belgium, Finland, France, Germany, Greece, Italy, Netherland, Portugal, Singapore, Spain, Sweden, Switzerland and the UK.

 

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