TwentyFour Asset Management, a fixed income-focused subsidiary of the Vontobel Group, has expanded its financial product portfolio by introducing a multi-asset credit fund. This new fund, officially named Vontobel Fund – TwentyFour Multi-Asset Credit Fund, will be managed by the company's Multi-Sector Bond team. The implementation of this strategy is a direct response to changing investor preferences and current market conditions, which show an increasing demand for dedicated multi-asset credit solutions.
Capital markets are seeing a growing trend where investors are specifically seeking higher returns and targeted access to global credit markets. The newly launched fund aims to capitalise on global credit risk premiums by investing in a diversified spectrum of credit instruments. This offers investors the opportunity to realise potentially higher current income and total returns than would typically be the case with traditional strategies, such as those in government bonds or investment-grade bonds.
Strategic Focus and Investor Benefits
Eoin Walsh, Partner in Portfolio Management at TwentyFour, emphasised the importance of flexible investment solutions in the current market environment. He explained that many investors are looking for ways to generate attractive returns without sacrificing flexibility. According to Walsh, a pure credit approach allows the portfolio management team to concentrate on those market segments where the most attractive risk-adjusted opportunities can be identified. This leads to a focus on value creation in specific credit markets.
Alistair Wilson, Partner and Head of Sales at TwentyFour, added that the multi-asset credit strategy has been successfully managed within special mandates since 2015. The offering was successively complemented by a US-focused MAC fund. The new public fund is characterised by its daily tradability, which is considered a significant liquidity advantage over many comparable funds in this segment, as these often can only be traded monthly or quarterly.
- —Global credit risk premiums are targeted through a broad spectrum of credit instruments.
- —Investors gain access to potentially higher current income and total returns.
- —The fund offers daily tradability, representing a significant liquidity advantage.
- —The strategy has already been successfully applied in special mandates and a US fund.
The TwentyFour MAC is established on the Luxembourg SICAV platform Vontobel Fund, making it globally accessible through Vontobel's worldwide distribution network. This underscores the company's intention to maximise reach for investors and enable a broader investor base to participate in this specialised investment strategy.
