Angel Oak Capital Advisors, an investment management firm focused on providing opportunistic fixed income investment solutions, has reached USD5 billion in assets under management across its family of investment products.
“Angel Oak Capital continues to grow as we identify new ways to provide innovative solutions for fixed income investors,” says co-founder and managing partner Brad Friedlander. “We are pleased to have achieved such a significant milestone and believe the continued demand for less traditional, credit-focused fixed income products will allow us greater room to grow.”
The company’s two public mutual funds, the Angel Oak Multi-Strategy Income Fund (ANGLX), which received an overall rating of 5 Stars from Morningstar as of April 30, 2015, and the Angel Oak Flexible Income Fund (ANFLX) have been key drivers of asset growth for the firm. The Multi-Strategy Income Fund has over $4 billion in assets as of 30 April, 2015 and seeks to deliver the best risk-adjusted opportunities in fixed income that offer the potential for both stable monthly dividends and price appreciation. The Fund is actively managed and has a current bias toward credit and low duration assets. The strategy will shift over time as the managers’ macro view on the economy, credit, interest rates and capital market conditions continue to change.
The new Flexible Income Fund, launched in November of 2014, has over USD160 million in assets as of 30 April, 2015. The Fund takes a distinct approach to credit investing, actively allocating across higher-yielding global fixed income instruments that may be less sensitive to changes in interest rates. The flexible nature of the Fund provides Angel Oak Capital’s portfolio managers with the freedom to invest in securities outside of indices, lowering the expected correlation to traditional fixed income. The Fund currently has a significant allocation to corporate credit with an emphasis in structured credit.
“We remain committed to creating investment vehicles that are positioned to capitalise on opportunities in asset classes that have been unavailable to investors in recent years. Focusing on this market segment has enabled us to sustain a strong growth rate,” says Sreeni Prabhu, co-founder and managing partner.