The strategy combines fundamental and quantitative analysis in seeking out opportunities in more than 20 countries around the world, according to a news release.
The new offering seeks to outperform the Barclays Capital Global Aggregate Bond Index by investing in a wide range of debt securities including sovereigns, corporates, emerging markets, and high yield and mortgage-backed securities. The strategy employs three main tools to generate excess returns: duration and yield curve, active currency management and broad sector rotation.
“Institutional investors are increasingly recognizing global bonds as a way to diversify their portfolios and as a source of alpha,” said Erica Evans, Senior Vice President and Head of the U.S. Institutional Business at ING Investment Management, in the announcement. “Historically, global bonds have provided investors with non-correlated returns that help smooth out portfolio performance and improve returns. We believe that there will be considerable opportunity in global bonds over the next years and that this asset class will continue to provide favorable results over a market cycle.”