M&G plans Optimal Income fund for Richard Woolnough

income fund

M&G is planning a total return bond fund for Richard Woolnough using derivative instruments availabl...

M&G is planning a total return bond fund for Richard Woolnough using derivative instruments available under Ucits III. Subject to FSA approval the offering will launch by the end of November. Dubbed the Optimal Income fund, it will aim to offer total returns based on capital growth and income and will be able to make use of short positions and credit default swaps to enhance performance. Woolnough may also hold assets other than bonds, such as a particular company's equity as opposed to its debt, plus collateralised debt obligations (CDOs) and leveraged loans. M&G launched a specialist ...