Wednesday, December 07, 2011
Guggenheim Expands its Retail Bond Portfolio
Reported by Hung Tran
Guggenheim Investments [profile]
is seeking to expand the client base for its institutional bond funds by going retail.
The mutual fund firm today unveiled three institutional offerings, including the Guggenheim Total Return Bond Fund
, the Guggenheim Floating Rate Strategies Fund
and the Guggenheim Macro Opportunities Fund
to be added to its retail platform. The funds are team managed, headed by Scott Minerd
, chief investment officer for Guggenheim.
The Macro fund may appease advisors looking to add more of an alternatives flavor to their clients' portfolio because it can invest across a broad array of corporate credit, asset-backed, and other fixed-income sectors as well as equities, currencies, commodities and alternative strategies.
"Advisors tell us that they are looking for new ways to provide fixed-income exposure to their clients," stated Marc Zeitoun
, head of distribution at Guggenheim Investments. "These funds are a natural extension of our robust product line-up and offer ways for advisors to diversify their client's portfolios."
Company Press Release
Guggenheim Investments Expands Offerings on Three Fixed-Income Strategies
Broader Mutual Fund Suite Offers Institutional Fixed-Income Capabilities to Individual Investors
Guggenheim Investments, the investment management division of Guggenheim Partners, announced today the expansion of its fixed-income oriented mutual fund suite with three new strategies previously only available to institutional investors: Guggenheim Total Return Bond Fund (GIBAX), Guggenheim Macro Opportunities Fund (GIOAX) and Guggenheim Floating Rate Strategies Fund (GIFAX).
For years, Guggenheim has sought to deliver strong results in various market environments for its clients. With over $78 billion in fixed-income assets*, the firm draws on a wealth of dedicated resources to exercise its research rigor across a full spectrum of investments, including diversified credit, private placements, and debt origination.
"As the fixed-income market evolves, individual investors need intelligent ways to adapt," said Scott Minerd, chief investment officer for Guggenheim. "These mutual funds are a unique opportunity--they provide individual-investor access to some of our best institutional strategies."
The funds are team managed, with Minerd serving on the team for each of the funds. Minerd has been with Guggenheim Partners for over 12 years, and guides the investment strategies of the portfolio management and research team. As the firm's CIO, Minerd sets the overall investment strategy and oversees client accounts across a broad range of fixed-income and equity securities.
Guggenheim's Distinct Investment Process
More than 100 investment professionals are dedicated to research, evaluation and management of fixed-income assets, including a 14-person, in-house fixed-income legal team that works closely with the credit team to assess the structural integrity of every potential investment.
The three funds expand Guggenheim's existing suite of fixed-income mutual funds, which includes the High Yield Bond Fund and the U.S. Intermediate Bond Fund. Additionally, these funds now take advantage of the expanded capabilities of Guggenheim Investments in their investment management processes.
"Advisors tell us that they are looking for new ways to provide fixed-income exposure to their clients," said Marc Zeitoun, head of distribution at Guggenheim Investments. "These funds are a natural extension of our robust product line-up and offer ways for advisors to diversify their client's portfolios."
Guggenheim Macro Opportunities Fund
The Guggenheim Macro Opportunities Fund offers a tactical, risk-managed strategy that seeks to provide the Fund exposure to the investment team's "best ideas," targeting strong total return regardless of the direction of the overall market. Since the fund is not constrained to a particular benchmark, it has the flexibility to invest across a broad array of corporate credit, asset-backed, and other fixed-income sectors as well as equities, currencies, commodities and alternative strategies. The fund seeks to provide total return, comprised of current income and capital appreciation. The portfolio team includes Minerd, Kevin Gunderson, who has nine years of industry experience, and James Michal, who has six years of experience.
Guggenheim Total Return Bond Fund
The Guggenheim Total Return Bond Fund invests primarily in high-quality, investment-grade debt securities using a tactical asset allocation strategy that seeks to identify relative value opportunities across multiple sectors. Along with Minerd, Anne Walsh, senior managing director with 27 years of experience, and Jeffrey Abrams, senior managing director with over 12 years of experience, manage the fund.
Guggenheim Floating Rate Strategies Fund
The Guggenheim Floating Rate Strategies Fund may be of interest to investors seeking income and to potentially reduce the effects of interest-rate volatility. The fund seeks to provide total return, comprised of current income and capital appreciation and invests primarily in bank loans and other senior, secured floating-rate securities. Minerd, Michael Damaso, senior managing director and head trader with 12 years of industry experience, and Gunderson manage the fund.
Guggenheim Investments represents the investment management businesses of Guggenheim Partners. With assets exceeding $115 billion*, including more than $78 billion in fixed-income, we have a long, distinguished history of serving institutional investors, ultra-high-net-worth individuals, family offices and financial intermediaries. We offer clients a wide range of differentiated capabilities built on a proven commitment to investment excellence. Guggenheim Investments has offices in Chicago, New York and Santa Monica along with a global network of offices throughout the United States, Europe, and Asia.
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