Manager plays yield curve and looks for ‘dull' core holdings in long-standing fund.
M&G has promoted recent hire James Tomlins to lead manager on its European High Yield Bond fund.
Lloyds Banking Group has offered to exchange £4.9bn of its outstanding bonds in order to raise new capital.
Key eurozone sovereign debt yields have fallen sharply after successful debt auctions and comments from ECB president Mario Draghi boosted investor confidence.
Bill Gross' $240bn Pimco Total Return fund has fallen behind 92% of his bond manager peers in terms of calendar year performance.
Leading fund managers believe gilts now look like the next safe haven bond market to come under threat ahead of DMO sale this week.
Italy has been forced to pay record interest rates in a 10bn euro ($13bn; £9bn) auction of treasury bills.
The search for income has become increasingly difficult in a world of slashed dividends and low interest rates. However, Gary Potter, co-manager of the Thames River multi-manager range, has been looking for alternative sources of income less correlated...