Neuberger Berman launches Global High Yield Bond Fund
Neuberger Berman has launched a new global high yield bond fund, offering investors access to the US, European and Emerging Markets high yield sectors.
The new fund, which is a Dublin-domiciled Ucits fund, will be managed by portfolio manager Patrick Flynn, who already manages Neuberger Berman’s existing $7.8bn high yield bond fund. He will work in close collaboration with the group’s US, Europe and Emerging Market high yield teams.
Flynn comments on the launch: “The depth and breadth of the global high yield universe has developed markedly in recent years, with investors attracted to its defensive characteristics and low correlation to other asset classes,” Flynn says. In our view, global high yield valuations are compensating investors for the default risk in the market. Excluding commodity sectors, credit quality across global high yield markets remains solid, which should set the scene for gradual spread tightening.”
As a sub-fund of Neuberger Berman’s Ireland domiciled Ucits umbrella, the new fund will be available for distribution in the UK, Europe and Asia.