Aviva Investors expands AIMS range with launch of Multi-Strategy Fixed Income Fund

(London): Aviva Investors, the global asset management business of Aviva plc (‘Aviva’), is extending the Aviva Investors Multi-Strategy (AIMS) range with the launch of the AIMS Fixed Income Fund.

The Fund takes an unconstrained approach to fixed income investing, utilising the full fixed income universe to deliver steady capital growth for clients. The objective of the Fund is to achieve a three percent per annum gross return over cash, represented by the ECB Base Rate (or equivalent), over rolling three-year periods.

In the current low yield environment, fixed income investors need to question whether they are being adequately compensated for the risks they assume. The AIMS Fixed Income Fund will select investments on merit, constructing portfolios with an emphasis on absolute risk-adjusted returns rather than a benchmark-relative approach. The managers will broaden the opportunity set through the use of derivatives.

The Fund will invest in a diversified portfolio of between 25-35 strategies, constructed into three categories: market strategies, opportunistic strategies and risk-reducing strategies.

The Fund is managed by: Dan James, Global Head of Fixed Income; James McAlevey, Senior Portfolio Manager; Orla Garvey, Senior Portfolio Manager; and Joubeen Hurren, Portfolio Manager; with further support from the Global Fixed Income Team and the full investment resources of Aviva Investors.

Euan Munro, Chief Executive, Aviva Investors, said:

“We continue to see strong demand for solutions that deliver the outcomes that matter most to clients, which is reflected by the positive inflows to our AIMS Target Return and Target Income Funds this year. The launch of AIMS Fixed Income reflects a natural evolution of the range and offers investors liquid and cost-effective access to the full fixed income universe in one strategy.”

Dan James, Co-Manager and Global Head of Fixed Income, Aviva Investors, said:

“Falling interest rates over the last 25 years have created a tailwind for fixed income returns, which is unlikely to be repeated over the next five or 10 years. By taking an unconstrained approach and investing in a diversified portfolio, the AIMS Fixed Income Fund has the flexibility to ensure risk is adequately rewarded by an appropriate return.”

The Fund will initially be available in three institutional share class formats: EUR, GBP (hedged) and USD (hedged) versions with 0.35% AMC.

-ENDS-

Notes to editors

The information and opinions contained in this document are for use by the financial press and media only. No reliance may be placed for any purpose on the information or opinions contained in this document nor should they be seen as advice.

The press release is provided on the basis that Aviva Investors Global Services Limited is not causing the communication of a financial promotion under exemption of the Financial Promotion Order, as Aviva Investors Global Services Limited has no control over the way in which an article based on this press release is prepared and published by the financial press and media.

Except where stated as otherwise, the source of all information is Aviva Investors Global Services Limited (“Aviva Investors”) as at 14 December, 2016 Unless stated otherwise any views, opinions [expressed are those of Aviva Investors. They should not be viewed as indicating any guarantee of return from an investment managed by Aviva Investors nor as advice of any nature. The value of an investment and any income from it may go down as well as up and the investor may not get back the original amount invested.

Issued by Aviva Investors Global Services Limited, registered in England No. 1151805. Registered Office: No. 1 Poultry, London EC2R 8EJ. Authorised and regulated by the Financial Conduct Authority.

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