Aberdeen Investments has launched an enhanced yield fund offering a differentiated approach to global high yield investing by harvesting coupon income. The Sicav Fund is SFDR Article 8 compliant.
The fund aims to isolate and enhance returns generated from coupon (i.e. interest payments) and carry (i.e. the income earned by holding investments) within portfolio construction. It also explores the opportunity set globally by investing up to 30% allocation into emerging markets, while maintaining at least 70% developed market exposure and an average portfolio credit rating of BB-, with volatility in line with the Global High Yield index to avoid overextending risk.
George Westervelt, Head of Global High Yield, Aberdeen Investments, said: “In an environment where financial markets are increasingly influenced by volatile and opaque macroeconomic headlines, dependable coupon income plays a critical role in both preserving and strengthening total returns for our investors.
“Global high yield remains one of the most compelling segments in fixed income. But unlocking its potential isn’t straightforward. Coupon income can consistently drive total returns – but capturing it requires more than passive exposure. A global, risk-aware approach that combines diversification, disciplined credit selection and robust risk management can help investors harness the power of high yield without stretching into excessive risk.”
The fund is available for distribution in Hong Kong and European countries including Austria, Belgium, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland and the UK.
