AXA Investment Managers (AXA IM) has announced the launch of the AXA WF Global Short Duration Bonds, a Luxembourg SICAV’s sub-fund offering European Investors Europe access to its global short duration strategy.
The strategy invests across the whole short-dated fixed income spectrum (maximum of five years maturity), including inflation-linked, investment grade, high yield and hard currency emerging market bonds.
By limiting the maturity of the bonds it invests in, the strategy aims to mitigate volatility from changes in the market level of interest rates and credit spreads, and reduce credit risk through greater visibility into an issuer’s cash flow sources and requirements.
The strategy will be managed by Nicolas Trindade, senior Credit Portfolio Manager at AXA. It targets on average 20% of bonds maturing each year, in order to give him the ability to actively reallocate across asset classes, with limited transaction costs.
The AXA IM short duration range currently has total assets under management of €25 billion2 globally. The AXA WF Global Short Duration Bonds fund is registered for distribution in Austria, Belgium, Denmark, Finland, France, Germany Italy, Luxembourg, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland and UK.