London-based Pacific Asset Management (PAM) and Coolabah Capital Investments, a global active credit fund manager, have partnered to bring Coolabah's credit trading expertise to an increasingly international client base.
In a statement today (27 June) PAM will add Coolabah's highly active credit fund management and trading expertise to its existing equity, multi-asset and macro rates capability and will provide Coolabah access to PAM's $c4.7bn UCITS regulated fund umbrella alongside its wholesale and institutional client distribution channels.
Coolabah Capital Investments is an active global credit manager with a focus on "alpha" generation in liquid, high-grade credit, rather than the traditional fixed income approach of driving returns through adding duration risk, default risk and illiquidity risk.
Subject to regulatory approval, PAM intends to launch a long-only credit opportunities UCITS vehicle which will be managed by Coolabah Capital and will seek to achieve a return of in excess of global corporate bond markets by investing and trading primarily in global investment grade securities.
Matthew Lamb, CEO, Pacific Asset Management, said: "PAM is a home for exceptional investment talent and I am thrilled that Chris and I could structure this partnership to reflect that. Coolabah is a business which perfectly illustrates our focus on truly active, craft fund management, allowing our clients an alternative solution to the more commoditised and industrialised approach we see so often.
"Chris and the Coolabah team are global leaders in active credit fund management with a differentiated investment and trading approach in high quality credit."
Christopher Joye, CIO and portfolio manager at Coolabah Capital Investments, said: "We have always been relentlessly focussed on generating credit alpha through exploiting bond mis-pricings that can provide capital gains in addition to yield, and hence higher total returns, without chasing interest rate, credit default, or illiquidity risks.
"We have generated outsized success in the USD, EUR and AUD credit markets for our clients over the years and we are excited to partner with Pacific to grow this capability in Europe."
