RWC Partners has launched a Ucits III Enhanced Absolute Rate and Currency fund for Peter Allwright and Stuart Frost.
Allwright and Frost joined RWC Partners in October last year from Threadneedle, where they co-managed the Threadneedle Target Return, Absolute Return Bond and Macro Crescendo Trading funds.
Their approach involves core allocations to short duration, high-grade fixed income securities, supplemented by alpha strategies which take advantage of investment opportunities in the fixed income and currency markets. (article continues below)
As well as investing in currency markets, these alpha strategies may take long and short positions in the bond markets.
RWC Partners says the strategy allows the duo to make positive returns through the market cycle, including environments such as the present where yields start tightening.
The new fund will feature daily dealing, with a fee of 1.5% for the retail share class. It carries a performance fee of 15% on returns over the London Interbank Offered Rate (Libor).