Alix Capital unveils UAIX Fixed Income Global Index
Geneva-based Alix Capital has launched today a new investable index, the UAIX Fixed Income Global Index, comprised of fixed income UCITS funds investing in both emerging and developed markets.
The UAIX Fixed Income Global Index is composed of between 10 to 15 UCITS fixed income hedge funds, with a maximum allocation of 40% to emerging markets funds.
The index has been constructed using a proprietary systematic model developed by Alix Capital with the aim of outperforming the UCITS Alternative Index.
This addition increases the UAIX family of indices to 12 strategy specific UCITS hedge funds investable indices.
Alix Capital classifies UCITS fixed income funds as funds that invest both long and short in fixed income securities, with managers investing in fixed income or credit instruments with either a market neutral or directional bias.
The UCITS Fixed Income space is made of 112 funds totaling €53bn in assets under management while the UCITS Fixed Income Emerging markets universe represents €8bn across 17 funds.
“The UAIX Fixed Income Global Index is the second investable index we have launched for the increasingly popular fixed income market. This is in response to growing investor demand, as illustrated by our latest quarterly research, which showed that 33.7% of total AUMs in UCITs hedge funds are invested in fixed income strategies, with AUMs increasing 24.1% year to date and 11.4% in Q3 alone,” said Louis Zanolin (pictured), cheif executive at Alix Capital.
He added that for many investors emerging markets present the best opportunities in the fixed income space, but investing in long-only funds in this market can be volatile.
“This index will provide investors with up to a 40% exposure to emerging market fixed income. We believe this balance between developed and emerging market funds gives investors exposure to emerging market returns they are seeking, while managing the inherent volatility from investing in this sector,” he said.