East Coast Fund Management has launched the East Coast Investment Grade Fund with Arrow Hedge Partners.
Similar to The East Coast Performance Fund, it will invest primarily in investment grade credit instruments of Canadian companies.
The fund’s investment objectives are to provide consistent absolute target returns between eight and 12 per cent while using hedging strategies to minimise systemic risk to capital at all times.
The fund enables investors to extract returns from credit exposure through fixed income assets, while avoiding the volatility of equity markets.
The fund is available on FundServ. It invests in investment grade credit securities and uses a combination of relative value, active trading and in-depth research to achieve the return targets while minimising key risks in the portfolio, such as interest rate and systemic risk. The fund will also, from time to time, execute macro type trades as an overlay to the main fund strategy.
"We are committed to providing innovative investment products with full transparency and value. The East Coast Performance Fund is a cornerstone of our own wealth preservation strategy," says John Schumacher, founding partner of East Coast Fund Management.
"We have entered a period of higher volatility," adds Mark Purdy, managing director and chief investment officer of Arrow Hedge Partners. "It is critical that investors and their advisors review their portfolios to ensure they are protected on the downside and delivering consistent absolute returns."
