Columbia Threadneedle monitors capacity in €1.7bn credit fund

Columbia Threadneedle is monitoring capacity on its €1.7bn Credit Opportunities fund amid strong inflows.

The absolute return fund, which invests in high yield and investment grade, has delivered annualised return of 3.83 per cent since launch in April 2009. A year ago its assets sat at €954m.

Over one year the fund has delivered 4.4 per cent compared to 3.9 per cent in the IA Targeted Absolute Return fund, according to FE data. Over three years it has delivered 6.1 per cent compared to 7.9 per cent in the sector.

Head of wholesale for EMEA Gary Collins says: “Over the past three years we have stopped marketing activity and declined to pitch for new clients in order to manage inflows in to the fund.

“We are now monitoring new flows with the potential to apply further measures to limit demand if necessary to ensure the investment integrity of the product is retained for existing clients.”