US-based investment boutique ASG Capital is planning to launch a Ucits-compliant version of its existing flexible income fund, Citywire Global can reveal.
The new fund will serve as a mirror of the existing ASG Global Allocation fund, which was launched in 2009.
The company, which is headquartered in Miami, is currently in the process of receiving regulatory approval from the Luxembourg authorities, the CSSF.
It intends to launch the Ucits-version of the fund over the next few weeks with around $18 million in seed capital.
Management of the fund will fall to Ygal Cohen, founding partner and CEO of ASG Capital, as well as Steven Groslin, who is a partner at the company.
They invest across an array of fixed income and alternative income investment sectors. However, it has a strong focus on investment grade quality debt.
Speaking to Citywire Global, Groslin said: ‘This is not a “go anywhere” fund but a global, flexible fund which tends to buy assets which have visibility of payment structure and capital protection.’
‘This means we operate on a fundamental, bottom-up selection process rather than looking at the dynamics of the sovereign bond market.’
The fund will invest across bonds, subordinated debt, hybrid debt, preferred securities, contingent convertible bonds and other areas, such as real estate investment trusts and master limited partnerships.
On a country basis, the fund has the ability to invest across all geographies. The current largest allocations in the fund are eurozone (36%) and Europe excluding the eurozone (26%).