Schroders to launch global unconstrained bond fund

Schroders is launching a global unconstrained bond fund, which will target an annualised return of 4-5% above its benchmark over a rolling three to five year period.

The fund, which is due for an April launch, will be managed by the group’s global multi-sector team, which is headed by Bob Jolly.

The Schroder ISF Global Unconstrained Bond will be benchmarked against the BarCap Global Aggregate Bond USD Hedged index and sit alongside its existing offshore Strategic Bond and Global Bond funds.

Jolly said: ‘In an environment of near zero returns for cash, investors are now seeking a higher return for their capital. There is increasing investor demand for bond funds that have the capability to invest across the global fixed income universe and benefit from a wide opportunity set.

‘The unconstrained nature of this fund allows us to exploit the best ideas identified by the global investment team in rates, foreign exchange and credit.’