British alternative asset manager Cheyne Capital has launched its sub-investment grade credit business, Strategic Value Credit (SVC).
Anthony Robertson will oversee the team. Robertson joined as CIO from BlueBay AM where he served as head of Leveraged Finance. David Lofts as portfolio manager and head of Trading and Origination, and senior analysts Jacopo Rubbia and Jorge Lazaro have been added to the business. Further appointments will follow to complete a 10-strong team in the coming months.
A value investing approach will be employed by SVC, relying on fundamental research principles. Its initial strategy will focus on illiquidity in European sub-investment grade credit, seeking to identify a concentrated portfolio of mis-valued securities, as well as selective distressed situations.
Jonathan Lourie, co-founder and CEO of Cheyne Capital said: “We felt the timing was right to enter this segment of the credit markets and deliberately sourced a team with significant experience in distressed investing, in line with our approach of identifying opportunities presented by market dislocations and the best ways of delivering their value to our investors.
“Credit investing has been part of our DNA for the past 17 years and we believe the strong contiguity we have across Cheyne’s credit strategies will enhance our ability to provide our clients with tailored solutions that seek to achieve the best risk-adjusted returns over the medium to long-term.”
Anthony Robertson, CIO of SVC, added:“We see growing opportunities in sub-investment grade credit, both today and into the future with increasing investor interest in capacity-constrained, closed-end strategies that are best adapted to harnessing the dissipating market liquidity.
“In an increasingly complex environment that requires deep technical capabilities, Cheyne’s reputation as an established fundamental credit investor, with long-term investment in people and infrastructure, fits with our approach and we look forward to working with the business to develop our offering and grow the team.”
Cheyne Capital was established in 2000.