Jupiter has launched the Jupiter Global Emerging Markets Short Duration Bond fund, a sub-fund of the Jupiter Global Fund Sicav.
The launch of the fund, managed by Alejandro Arevalo, follows that of the Jupiter Global Emerging Markets Corporate Bond fund last March.
Jupiter’s new EM short duration bond strategy will invest in short duration bonds exposed directly or indirectly to EM economies worldwide, relying on a total return approach.
Allocation will be flexible between sovereigns, corporates and local currency, while the average fund duration will be kept under three years.
The fund manager Arevalo will work alongside two emerging market debt analysts, Nachu Chockalingam and Reza Karim, who joined Jupiter earlier this year.
Arevalo’s investment process combines top-down and bottom-up insights and aims to identify long term opportunities that could benefit from macro and/or specific events at a sector or company level.
“Emerging market economies continue to benefit from record lows in inflation, increased world trade volumes and strong drivers of domestic growth. As U.S economic data continues to recover and expectations of rate normalisations grow, this Fund offers an opportunity for investors to benefit from the improving fundamentals in EM, while targeting total return with limited interest rate risk,” said the manager of the Jupiter Global Emerging Markets Short Duration Bond fund.