UBS The Management House (UBS LMDG) continues its partnership with the American manager Dolan McEniry, one of the companies of the iM Global Partner (iMGP) platform. In 2018, UBS launched a US credit fund maturing in 2022, reserved for its private clients and managed by Dolan McEniry. 70 million euros in assets and 1.70% net return later, the decision was made to continue the adventure.
The managers are therefore launching the second version of this fund with a three-year horizon. Called LMDG Dolan McEniry US Corp 2025, it uses the same management strategy as its predecessor.
Composed of 30 to 40 issuers, the portfolio will be made up of 70% quality American corporate bonds investment-grade and 30% US high yield bonds. “In addition, it will incorporate an ESG dimension with a low “carbon risk” score according to Sustainalytics, and will have no exposure to fossil fuels.“, say UBS LMDG and Dolan McEniry in a press release.
In the context of rising interest rates, the fund should make it possible to capture the credit premium, offering a return of 5.4% gross of costs in dollars, with a duration of less than 3 years.
“For more flexibility, It will remain open until expiry“, specified Julien Froger, sales manager Europe of iMGP to the drafting. Commercial distribution will be wider this time around. “UBS LMDG will offer it to family offices, private banks and also institutions“, details the sales manager Around twenty French and Luxembourg insurers (including Swiss Life, CNP, Generali and Allianz) will also offer it in their life insurance contracts.