RWC Partners, the London-based investment house, has appointed Lakshman Harendran to its convertible bonds team.
Mr Harendran joins RWC from Morgan Stanley Investment Management, where he was part of the fixed income team, focusing on convertible bonds, investment grade and high yield corporate bonds. Mr Harendran joins Esther Watt and Michelle Shi who are analysts within the team, and between them they are responsible for quantitative, credit and equity research. Leading the team is Davide Basile, who is also the portfolio manager.
“Lakshman’s recruitment reinforces RWC Partners’ position within the convertible asset class. We have always maintained that convertible bonds are an asset class that should be held through the market cycle, the environment in 2010 reinforces this view. Not only do CBs offer diversification but on a risk-adjusted basis the asset class has historically outperformed both government bonds and equities,” Peter Harrison, RWC’s chief executive, said in a statement.
“For those investors who believe equity markets may prove volatile convertibles offer excellent downside protection, from their bond component, and upside participation, from the equity component. In addition 2010 presents significant opportunities due to the strong new issuance pipeline and under-analysed situations."
RWC said it has seen considerable growth in its convertible bond assets; having started 2009 at around $660 million they ended the year at $1 billion.