SCHRODERS has launched the Schroder ISFGlobal Credit Income fund in Hong Kong.

The fund aims to achieve capital growth and deliver a consistent and attractive level of income by investing globally in investment grade, high yield, developed and emerging markets sovereign and municipal bonds, and asset-backed securities. The fund intends to make a fixed monthly payout of 4.5% per annum. It also places an emphasis on managing risks to investors’ capital.

Chris Durack, CEO of Hong Kong and head of institutional business, Asia-Pacific, says: “Achieving an acceptable and reliable source of income is important to many investors, particularly in an environment where interest rates remain low and market volatility may become more frequent and intense.”

Patrick Vogel, head of credit Europe, says: “We assess how the world is changing around us and understand how the companies we invest in are adapting to these changes which in turn affect their creditworthiness. The global credit market is highly complex with various parts experiencing different levels of sensitivity to economic cycles. By dividing the global credit market into multiple bespoke sectors and analysing the corresponding return distribution, we are able to understand where drawdown risks might occur, and in turn manage potential loss and volatility relative to the global credit market effectively.”