Neuberger Berman Group has launched the Neuberger Berman Unconstrained Bond Fund, an absolute return oriented global strategy that uses a broad set of tools to take advantage of market mispricing.
The fund provides investors with an alternative approach to traditional benchmark driven long only investing, responding to current market dynamics.
This flexibility provides the ability to express investment views and pursue extracting relative value through both long and short positioning. The full global credit and securitised spectrum will be used and the fund will have complete duration flexibility with the ability to have positive, negative or zero duration. The fund will be unconstrained by benchmark (US T-bill index) as its managers seek to capitalise on best opportunities worldwide.
The fund's managers include Andy Johnson, Neuberger Berman's head of global investment grade fixed income, Jon Jonsson, a London-based senior portfolio manager, and managing directors Thanos Bardas, David Brown, Ugo Lancioni, and Thomas Marthaler. They have an average of over 21 years of managing assets for institutions and individuals.
"US investors are re-evaluating their fixed income exposures as a traditional benchmark-driven long-only approach comprised primarily of domestic investment-grade bonds may no longer fully meet their objective of stable income with low risk to principal," says Brad Tank, Neuberger Berman's chief investment officer for fixed income. "We believe Neuberger Berman is in a unique position to introduce an unconstrained bond strategy in a mutual fund structure for US investors, as we have specialist sector teams covering the full breadth of the global fixed income universe and a proven process that the fund's managers will employ to take advantage of market mispricings and allocate risk across global rates, currencies and credit. This fund takes a place among our current fixed income strategies including short duration, core and strategic income and others."