US-based asset manager Vanguard has launched two active bond funds, one called the Global Core Bond Fund and the second the Global Strategic Bond Fund.
The new funds join Vanguard’s existing active fixed income funds, the Global Credit Bond Fund and the Emerging Markets Bond Fund, as the company continues to expand its fixed income offering.
The new funds are domiciled in Ireland and will be co-managed by Ales Koutny, Head of International Rates, and Sarang Kulkarni, lead portfolio manager for Vanguard’s Global Credit and pan-European corporate strategies.
Both funds offer broad exposure to global bond markets. The Global Core Bond Fund will predominantly hold high-quality debt from issuers in developed markets. Both Funds will have the ability to invest in high yield and emerging market bonds, with The Vanguard Global Strategic Bond Fund having more flexibility to invest in these asset types. The Vanguard Global Strategic Bond Fund is therefore aimed at investors seeking additional returns.
Ales Koutny, Head of International Rates, said: “Investors don’t want surprises from their fixed income funds.
“Our approach is to steer clear of concentrated macro-economic positions and focus instead on consistently finding pockets of value through fundamental, “bottom-up” security selection, and being smart about risk.”
