Hermes Investment Management has today bolstered their fixed income offering with the launch of the Hermes Unconstrained Credit fund.
It will be co-managed by head of fixed income Andrew Jackson and co-head of credit and lead credit portfolio manager Fraser Lundie.
Lundie will remain in charge of the Hermes Absolute Return Credit, Hermes Global High Yield Credit and Hermes Multi Strategy Credit funds that he currently runs.
Hermes Unconstrained Credit will have a higher-conviction strategy than their other funds and aims to exploit opportunities across different sectors and market cycles.
The managers will work with Hermes’ multi-asset credit investment committee, which will provide help in mitigating risk and performing bottom-up analysis that will take into account environmental, social and corporate governance (ESG).
Jackson said: “We view flexibility and risk management as the most important tools in any fixed income asset manager’s toolkit.
“It is for that reason that we continue to utilise security selection and ESG as primary tenets of our approach.”
He added: “Together with our highly skilled, integrated team with expertise across the liquid-credit markets, asset-based lending and derivatives, we seek to further diversify the underlying universe of global assets, extend the ability to deviate meaningfully from benchmarks, and to fully utilise the range of credit instruments as risk mitigation tools.”
The UCITS fund has already secured £185m from investors including Quilter Multi-Asset.