Paris-based asset manager Lazard Frères Gestion has soft-launched the Objectif Convertible Rendement 2020 fund earlier this month, InvestmentEurope can reveal.
The fund is managed by Arnaud Brillois, head of Convertibles at Lazard Frères Gestion. It seeks to deliver net annualised returns of 2.30% over an investment horizon of four years and two months (until 28 December 2020).
The Objectif Convertible Rendement 2020 fund invests primarily in global high yield convertible bonds, regardless of issuers’ geography and rating.
According to fund literature, it can be fully invested in global high yield convertible bonds and can also purchase traditional bonds.
Exposure to the equity market will be comprised between 10% and 30% for the launch of the fund and could go up 40% maximum.
Moreover, exposure to emerging markets will not exceed 35% and the manager will not invest in contingent convertible bonds (CoCos).
Lazard Frères Gestion had €17.4bn of assets under management as of 31 December 2015, of which 3% (€0.52bn) were into the firm’s convertible strategies.