Janus Henderson Investors launched the Euro Secured Loans fund to further expand their range of fixed-income products. The fund invests in a diversified portfolio of secured euro loans whose credit rating is at least B3/B.
The fund is tailored to the needs of German institutional investors such as insurance companies and pension funds and meets the regulatory minimum requirements of the Investment Ordinance with regard to ratings. The fund was issued with a start-up capital of €100m, which was provided by a German insurance company. The fund is managed by David Milward and Elissa Johnson.
Daniela Brogt, head of sales in Germany, said: “Collateralised loan offers institutional investors an attractive return in a low interest rate environment while maintaining a relatively low risk profile. With the launch of this fund, we are particularly taking account of the requirements of risk-averse customers who see opportunities in the European market environment.”
Elissa Johnson, portfolio manager commented: “Secured loans in the Eurozone show favourable market valuations and profit from the strength of the companies. The investment in Secured Loans is thus advantageous in several respects because it combines diversification, attractive interest rates, low or no term risks and priority collateralisation. At the same time, collateralisation of the loans allows high reflux and low default rates, which ensure stable returns.”