Aviva Investors today announced it has been awarded a $51.5m T250 Bond Fund mandate by national pension fund, Labour Union Co-operative Retirement Fund (LUCRF).
LUCRF Super is Australia’s first industry super fund, with over 184,000 members and more than $2.8 billion in funds under management.
Launched in July 2009 as part of Aviva Investors absolute return range, the Aviva Investors Absolute T250 Bond Fund targets low volatility and low correlation to traditional bond and equity markets by applying a macro fixed income strategy focused on global sovereign bond markets and interest rate disparities.
Managed by Shahid Ikram, Deputy CIO – Fixed Income at Aviva Investors,the fund targets an absolute return before fees of 3 month EURIBOR plus 2.5 percent and invests on both a long and short basis, offering investors the potential to profit from falling, as well as rising, asset prices.
Craig Bingham, Chief Executive, Aviva Investors Asia Pacific, said: “We are delighted that LUCRF Super has awarded us this important mandate. The Aviva Investors Absolute T250 Bond Fund has an interesting approach in today’s challenging market conditions, as it can adapt to changing macro-economic circumstances and thus potentially outperform in falling markets. We are proud to be working with LUCRF Super and look forward to meeting the needs of their investors.”
Ben Samild, Head of Investment Strategy at LUCRF Super, commented: “We are looking forward to working with Aviva Investors, a firm which demonstrates both global strength and local market expertise. The firm’s Absolute T250 Bond Fund has impressive downside risk management and low correlation to traditional bond and equity markets, making it a good fit for our long-term investment objectives.”
