Investment firm Capital Group has rolled out its multi-sector income fund (MSI) and entered into an exclusive distribution partnership with UBS Global Wealth Management.
MSI is a Luxembourg-domiciled Ucits fund and will combine four key fixed income sectors: investment-grade corporate bonds, high-yield corporate bonds, emerging market bonds and securitised credit.
These will be put together in a single portfolio, designed to provide a high level of current income and capital appreciation to qualified and professional investors.
UBS GWM will look after the distribution side of the partnership, targeting investors in Europe and Asia – including UK, Germany, Switzerland, France, Italy, Luxembourg and Singapore.
The exclusive launch partnership will last until 31 March 2023.
Mike Gitlin, head of fixed income at Capital Group, said: “We are delighted to partner with UBS GWM, the world’s largest wealth manager, to distribute the Capital Group Multi-Sector Income Fund (LUX) (MSI) to investors in Europe and Asia. We believe our new multi-sector income fund, offering a mix of high quality and higher yielding assets, is particularly compelling in the current market environment.
“MSI combines the power of four fixed income sectors to target reliable income in different market conditions. Against a backdrop of economic uncertainty, the ability to find reliable sources of income has become increasingly important for investors. Through our partnership with UBS GWM, we look forward to bringing the strength, breadth and depth of Capital Group’s fixed income business to UBS investors globally.”
Bruno Marxer, head global investment management at UBS GWM, added: “We are pleased to team up with such an esteemed partner and offer our clients prime access to this unique and differentiated strategy. Earning more predictable returns from income strategies is particularly appealing amid ongoing market volatility, making this a timely addition to our overall offering.”