UK-based Stone Harbor has been appointed to manage a £1bn Multi-Asset Credit mandate by Greater Manchester Pension Fund.
Stone Harbor’s Multi-Asset Credit approach targets a LIBOR outperformance of 4-6% per annum over a market cycle. It seeks to invest across the fixed income spectrum including global sovereign debt, investment grade corporate debt, securitised debt, high yield, and emerging markets sovereign and corporate debt.
David Scott, portfolio manager at Stone Harbor said: “We focus on higher yielding public markets, allowing an active allocation decision to combine with a bottom up security selection process. Our Multi-Asset Credit strategy is currently adopting a somewhat conservative stance overall given valuations, with a bias towards the sovereign cycle over the corporate cycle.”
Mike Casagranda, relationship manager at Stone Harbor said: “We’re delighted that Greater Manchester Pension Fund have entrusted us to manage their first dedicated allocation to credit. Across the UK we’re seeing an increasing interest in broad outcome oriented credit strategies, both from within the LGPS and from corporate schemes”.
Councillor Gerald Cooney, vice deputy of Greater Manchester Pension Fund, added: “We are pleased to appoint Stone Harbor following a thorough procurement process. The aim of the new mandate is to achieve broadly equity like returns with lower volatility. GMPF, the country’s largest Local Government pension fund, is committed to achieving sustainable long-term investment returns for our members’ pensions and see Stone Harbor, with their focus on building long-term value for clients, as a natural partner.”