The curious case of the strategic bond vehicles

Architas manager Caspar Rock explains the key considerations of strategic bond investing

Where do they come from? The IMA sectors were introduced to help investors make comparisons between funds with similar characteristics, but in order to keep up with the innovation in the fund industry, the trade body conducted a thorough review of its fixed income sectors to ensure they represented an appropriate classification system for a whole array of bond funds with many different characteristics. As a result of the review, the IMA split what were known as the UK Corporate Bond and UK Other Bond sectors into three new sectors: Sterling Corporate Bond, Sterling Strategic Bond and ...