As part of the proposed change in its investment strategy, LGIM will move the fund out of the Absolute Return sector and into the Specialist category.
The new strategy will see the manager Ben Gill focus on a three-year investment horizon, rather than a one-year timescale.
The strategy will also allow the fund to hold more than 30% in securities issued by the government.
Gill took over as lead manager on the fund after David North (pictured) went on sick leave earlier in the year.
The proposed changes will be sent to the fund’s investors at a meeting at the end of October.
The fund has returned 6.25% over one year to the end of September compared with the benchmark Libor GBP three months, which returned 0.8%.