Twitter icon Email alerts icon Latest News RSS icon Magazine icon Stay connected:

View the article online at

Man Group teams with Nomura for fixed income fund

by Chris Sloley on Jul 15, 2013 at 10:16

Man Group teams with Nomura for fixed income fund

Man Group and Nomura have joined forces to launch an Alternative Ucits fixed income fund designed to take advantage of the current low interest rate environment.

The alternative investment specialist will work with the Asian investment bank on the new strategy, which is called the Nomura Man Systematic Fixed Income UCITS Fund.

It is based on an underlying strategy run since summer 2012 by Man Systematic Strategies (MSS), which merged with Man’s managed futures arm AHL.

The new fund will be co-managed by Andre Rzym, who was former head of fixed income at AHL, and Stefan Sluke.

The fund will invest mainly in directional opportunities in emerging and developed swaps, futures and FX markets. It will trade a balanced portfolio of 50 markets based on 300 systematic trading signals.

Man Group said development of the fund had been focused on how it performs during periods of market stress. It therefore trades liquid instruments, uses low margin-to-equity ratio and does not pursue options with pronounced tail risk.

Commenting on the launch Sandy Rattray, CEO of AHL-MSS said: ‘Traditional fixed income investing is clearly challenged in the current environment with interest rates being close to zero per cent.’

‘In contrast, the backdrop for alternative fixed income investing is favourable: the competition for pursuing alpha opportunities has diminished as banks have reduced their risk taking in fixed income markets considerably since 2008, creating the potential to generate strong returns.’

‘However, it has been difficult for investors to tap into these opportunities in a UCITS-compliant way with daily liquidity. We are therefore pleased to make such an offering available to investors.’

This marks the latest development in a long-standing relationship between Man Group and Nomura which includes a $1.5 billion Japan fund as well as working together on asset raising. MSS will actively run the strategy, while Nomura will provide access via a range of investment products.

leave a comment

Please sign in here or register here to comment. It is free to register and only takes a minute or two.

News sponsored by:

Long time coming: is the recovery here to stay?

Ian McVeigh and Steve Davies, managers of Jupiter's UK Growth fund, talk about their predictions for the UK equity space. Click here to watch a series of sponsored interviews with Jupiter's fund managers on the UK equity market.

Today's top headlines

On the road

Click here to find out more from the Audience Development team.


Co-op files £2.5bn loss after 'disastrous' 2013

by David Campbell on Apr 17, 2014 at 09:20

Sorry, this link is not
quite ready yet