Rothschild Asset Management (RAM) introduced the managers of its new Five Arrows Monthly Income fund...
Rothschild Asset Management (RAM) introduced the managers of its new Five Arrows Monthly Income fund at its relaunch conference in London last week.
The managers of the fund, which offers an estimated 8.8% annual income, are Lucy Speake, responsible for corporate bond investment at the group, and Jake Newman, who heads up credit analysis.
The initial launch period for the fund starts this week and closes on 19 October. The portfolio, which will be listed in the other bonds sector, will invest in a mixture of both high yield and investment-grade corporate bonds. Minimum investment is £1,000.
The fund offers two retail share classes. The 'A' Share has a 4% initial charge and 1% annual management fee. The 'N' Share has no front-end load but carries an annual management charge of 1.5%. It has no exit fee after six years but has a falling scale of exit charges, from 5% to 1%, depending on how many years investors leave their money in.
Both shares offer up to 3% intermediary commission and 0.3% trail.
The fund will invest in a split of 50% investment grade bonds, which historically have a very low default rate of 0.2% per year for AAA-rated bonds, down to 3.5% per year for BBB-rated bonds, 30% in high yield bonds and 20% in emerging markets sovereign debt.
No preferred charging model
To 1,552 families and businesses
HL and Liberty SIPP slowest
Lifetime and annual allowances