Polar Capital, the specialist active asset management group, has announced a change to the strategy of the Polar Capital Income Opportunities Fund and name change to the Polar Capital Financial Credit Fund.
The new strategy will continue to be managed by Nick Brind.
Polar Capital has also revealed the addition of Tom Dorner to the Global Financials team as a fund manager, effective from 1 December 2023 and the promotion of Jack Deegan to Fund Manager, effective on the same date.
Launched in 2009 against the backdrop of central banks and governments backstopping the financial system, the Polar Capital Income Opportunities Fund’s aim was to provide a lower risk way for investors to get exposure to the sector by investing in a combination of the equity and debt securities of financial companies globally.
Since then, the sector has evolved significantly, with, for example, the growth of FinTech, alternative asset managers, and the recent change in monetary environment. Financial bonds have also increased in complexity with the introduction of new securities in the form of AT1 and RT1 securities.
Consequently, we see an incredibly attractive opportunity for investors in the space across both the equity and debt securities of financial companies. The Financial Credit Fund will complement our two equity-focussed fund and will be managed by Polar Capital’s dedicated Financials team.
Tom Dorner joined from abrdn where he was a senior investment director in the Developed Markets team and managed the abrdn Europe ex UK Income Equity Fund. He was responsible for analytical coverage of European financials and managed a number of other European investment funds during his nine years there. Prior to this, he was an analyst specialising in the European Insurance sector at Citi and Lehman Brothers in London.
At the same time, Jack Deegan, who joined Polar Capital as an analyst in the Financials team in October 2017, has been promoted to fund manager on the Polar Capital Financial Credit Fund, also retaining his role as an analyst across the team’s wider fund range.
Nick Brind, partner, Polar Capital Global Financials Team said: “We are very excited the Financial Credit Fund provides an opportunity to pursue a clear strategy of investing in the senior and subordinated bonds of financial companies globally.
“We are very pleased to welcome Tom to the team and to continue working with Jack in his new position as Fund Manager. Both have significant expertise in the sector and will strengthen our ability to deliver good returns to investors in our funds.”
Iain Evans, global head of distribution at Polar Capital said: “We’re very pleased to be able to relaunch the Polar Capital Financial Credit Fund. The change in strategy to invest in fixed income only will enable the investment team to take advantage of the compelling opportunities in the financial credit market and to provide our investors with an attractive level of income. Over the long term, financial credit has provided good risk-adjusted returns to investors and we expect it to continue to do so.
“It is a pleasure to welcome Tom to Polar Capital as well. We look forward to him building on his significant expertise and sharing his wealth of experience as both a fund manager and investment analyst. Along with Jack’s promotion to Fund Manager, these moves reinforce our commitment to the financials sector and I am sure they will both further enhance Polar Capital’s position in this critical area.”
Tom Dorner, fund manager, Polar Capital Global Financials team said: “I am delighted to be joining such a well-respected team and look forward to contributing towards the success of the franchise.”
