City Financial broadens global bond fund mandate

GlobalisationCity Financial has broadened the mandate of its Strategic Global Bond fund to enable the new lead manager, Graham Glass, to invest in both sovereign debt and corporate bonds.

The London-based investment firm says this will enable Glass to “capitalise on the growing investment opportunities in global credit”. Glass, who took over the management on January 1, works for Argyll Investment Services.

Previously managed by Mark Astley of Millennium Global Investments, the fund used to invest only in sovereign debt.

Following the hand over, Glass will aim to shift from a purely strategic allocation of assets to a blended approach. He uses the Barclays Capital Global Aggregate Total Return Index (GBP Hedged) as an oversight for the fund but will also incorporating a tactical allocation based on macro forecasts and outright market levels.

Though the index currently adopts a weighting of more than 50% to government debt, Glass is positioning the City Financial Strategic Global Bond Fund to have an exposure of just 20%.

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