S&P’s $18bn plus Global Markets Intelligence (GMI) unit will provide non-discretionary investment advisory services to La Française AM’s fixed income asset management team.
In running the new fund, La Française will leverage the data provider’s proprietary risk-to-price (R2P) methodology to assist in its asset selection and allocation decision-making.
This methodology calculates a relative measure of how well a corporate bond compensates its owner, through yield, for its underlying market and credit risks.
Lou Eccleston, president of S&P Capital IQ, said: “In such demanding and changing financial markets, the key to success is in creativity, collaboration and innovation. This complementary partnership brings together two talented teams and establishes a platform for collaboration between leaders in their respective disciplines to create real value for the clients of La Française AM.”
