Insight Investment to work with America’s Cutwater

Signing dealBNY Mellon has appointed its European subsidiary, Insight Investment, as the administrator to a US-based fixed income specialist it acquired this month, Cutwater Asset Management.

Cutwater, which manages $22 billion (€18.4 billion) of assets, will operate as part of BNY Mellon's investment management business, which has $1.6 trillion in total assets under management, and will work closely with Insight Investment.

Cutwater offers a range of US fixed income strategies including core, long duration, high yield, loans, absolute return and liability risk management, which BNY Mellon says will further its own fixed income research and portfolio management capabilities.

BNY Mellon announced its intention to acquire Cutwater from New York-based financial services company MBIA on October 6, 2014, and completed the process on January 2 this year.

In a November 2014 update, Colm McDonagh, head of emerging market fixed income at Insight, said the firm anticipated continuing demand for high yields from emerging markets, and identified a further slowdown in global growth as a concern.

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