BNY Mellon IM has launched an emerging market debt total return fund for Citywire + rated manager Colm McDonagh.
The new fund, which is run through BNY Mellon IM’s subsidiary group Insight Investment, is designed to tap a wide array of investment opportunities.
The BNY Mellon Emerging Market Debt Total Return fund, which is Dublin domiciled, will dynamically allocate across countries and securities according to the relative attractiveness of sovereign, corporate and local currency debt.
The company said its launch is in response to demand for a long-only EM debt strategy that aims to mitigate the cyclicality of single sector approaches, while it also complements Insight’s existing EM strategies.
Commenting on the launch, McDonagh, who is head of emerging market debt at Insight, said: ‘EM debt has undergone a dramatic transformation over the past two decades and today accounts for approximately 25% of global fixed income with opportunities in more than 70 countries.
‘Investors are increasingly moving away from constrained single-sector EM debt to strategies where the investment manager has the freedom to allocate across all opportunities at their own discretion.’
The fund is registered for sale in the UK, Italy, Germany, Switzerland, Austria, France, Belgium, Spain, Portugal, Norway, Sweden, Finland, Denmark, Luxembourg and Singapore.