US asset manager Putnam Investments has reworked a European high yield bond fund overseen by its co-head of fixed income to allow it to appeal to broader range of investors.
The move saw the Putnam New Flag Euro High Yield fund rolled into the newly-launched Putnam European High Yield fund in mid-July, Citywire Selector has learned.
The fund had existed in a Dublin-domiciled format since 2008 but, it is understood, the structure was reworked to allow it to make it more accessible to a wider investor base.
This saw it relaunched as the Putnam European High Yield fund, which continues to be overseen by Citywire + rated Paul Scanlon, who is co-head of bonds, and portfolio manager Yannick Aron, who is Citywire A-rated.
It is understood the ‘New Flag’ moniker referenced a legacy, which is now being dropped, while the fund currently has €15.3 million in assets and this is expected to be increased under its new format.
In the three years to the end of June 2017, the Putnam New Flag Euro High Yield fund returned 8.9% in euro terms, while the BofA Merrill Lynch Euro High Yield TR, its Citywire-assigned benchmark, rose 14.5% over the same timeframe.