The Global Bonds & Economics team manage fixed interest assets worth £49.19bn*, making us one of the UK’s largest active bond fund managers. Our expertise covers UK and global government bonds as well as corporate and index-linked bonds. We have an outstanding track record in managing bond funds and our wide and diverse range of funds covers all fixed interest markets.
We also boast one of the strongest and most experienced bond investment teams in the UK – a key factor in delivering consistently impressive performance. The global bonds & economic team has 34 investment professionals and their success is based on conducting their own detailed, independent fundamental research, combining economic, market and company analysis.
The government bond research process focuses on top-down or macro-economic analysis, which is crucial in forecasting interest rates and inflation. Meanwhile, the corporate bond research process focuses on bottom-up or micro-economic analysis of a company, while also taking into account macro-economic research.
*Source: SWIP 31.12.2009
Government Bonds
Our economic and government bonds team consider a wide spectrum of leading industry data; identify the key variables, monitor them; and establish internal views on economic growth, inflation, interest rates and currencies. Our process derives a 12- to 18-month global economic outlook which defines our overall strategy in bond markets – setting out the broad market context, with specific forecasts for interest rates and exchange rates. The strategy itself covers four main aspects that drive how a bond portfolio performs; these are: duration, yield curve, credit allocation to corporate bonds, and (where appropriate) currency selection.
Corporate Bonds
Successful corporate bond investment requires in-depth analysis of the business sector, as well as detailed 'bottom-up' research on the company or companies. As with government bonds, it's vital to understand the 'macro-economic' environment which dictates the market sectors (eg financials, utilities and industrials) we believe are likely to outperform. Meanwhile, the bottom-up process looks at the "micro" elements of company analysis, assessing the business, their cashflow and their earnings forecasts. Several methods are used to achieve a detailed view of a company including: quarterly sector reviews; company meetings; equity research and technical and relative value analysis.
The Global Bonds & Economics team deliver superior performance for their clients through harnessing research and ideas generated by the team. Our goal is to deliver profitable growth through innovative development into new products such as LDI, Absolute Returns and Structured Credit.
For you, joining our Bonds Trainee Investment Manager Programme, there are real opportunities to make valuable contributions to our research from the outset and to work alongside a team of highly experienced Fund Managers.
What are we looking for?
You should have a strong interest in financial markets, ideally with a 1st or 2:1 in any degree subject, plus solid quantitative skills, a flair for problem solving and an impressive, confident communication style. A 2:2 degree award will be given consideration should you have further relevant qualifications and/or investment experience.
Joining the Global Bonds & Economics team it would be advantageous to have a broad interest in international economies, finance, accounting, politics or science. To succeed you will have to be a self starter, with excellent attention to detail and the ability to see the bigger picture. You will be able to demonstrate strong decision making skills and the ability to form solid conclusions, sometimes with partial information and be able to explain and clearly communicate your findings to others.
Please view our team profiles using the link on the right to gain an understanding of the varied backgrounds and experience that can lead to a successful career in bond fund management.
