ING launches duration-hedged share classes

ING Investment Management has launched duration-hedged share classes for a trio of its funds in a bid to give investors an alternative to short-dated bond funds.

The group has rolled out a zero duration-hedged share class for the Renta Global High Yield, Emerging Market Debt (HC) and Europe High Yield funds. ING business development director Peter Wilson said the share classes offered a different approach to the prospect of rising rates. “Rather than launching a short-dated bond fund, we have kept our existing funds and are offering investors a zero duration share class,” he said. “It still offers managers a chance to invest, but also means ING can remove the duration risk for them.”