Barings changes name of High Yield Bond fund following merger

barings-logoBarings is changing the name of its High Yield Bond fund to the Baring Developed and Emerging Markets High Yield Bond fund next month, following the MassMutual merger last year.

The firm is changing the fund’s name to differentiate it from other funds in the Barings high yield range, which has grown following the merger with Babson Capital Management, announced in March 2016. The combined group now manages over $43bn of assets in the high yield debt offering.

Following the merger, Nigel Sillis took over the management of the High Yield Bond fund from outgoing manager Ece Ugurtas in July 2016.

The fund’s investment process will not be affected by the change.

A spokesperson for Barings says: “Following a very careful analysis of the high yield and emerging market capabilities across the legacy Baring Asset Management and Babson entities, we believe that clients in the legacy BAM’s high yield and emerging market debt strategies will benefit from legacy Babson’s more extensive investment platform, its experience, depth of resource as well as capabilities and long-term performance across these asset classes.

“In addition, the change reflects our commitment to delivering strong risk-adjusted returns for our clients and a decision to follow a more unified investment approach across these important asset classes.

The Baring High Yield Bond fund is a Dublin-domiciled Ucits vehicle. The £492m fund aims to provide a high yield in dollar terms with appropriate risk by investing in the debt and loan securities of both corporations and governments within the Organisation for Economic Co-operation and Development (OECD) as well as developing markets.

Since July the fund has returned 9.1 per cent compared to the 8.1 per cent of the Global High Yield sector, FE data shows.