Legg Mason makes £7.7bn global fixed income fund available to UK investors

Legg Mason has made its £7.7bn brandywine global opportunistic fixed income fund available to UK investors through its Dublin-domiciled fund range.

The fund will be co-managed by David Hoffman and Stephen Smith and invest primarily in investment-grade sovereigns, and some corporate bond and mortgage-backed securities exposure spread across developed and emerging markets.

According to Legg Mason, non-investment grade exposure will be capped at 35 per cent of the portfolio.

Adam Gent, head of UK sales at Legg Mason Global Asset Management, says: “With demand increasingly moving towards strategies with the flexibility to invest globally in pursuit of strong risk-adjusted and inflation-beating returns, we believe this fund will appeal to UK investors who want diversification and performance through a management team which has the proven ability to deliver in all types of market environment.”

Investments will be spread between eight and 16 countries that Brandywine believes offers the best total return potential.

The fund will aim to outperform the Citigroup world government bond index by at least 2 per cent annually over rolling five-year periods.

Initial charge for the fund is 5 per cent and also carries an annual management charge of 1.15 per cent.