Lombard Odier IM boosts liquid alternatives range with CAT bond fund

Targets returns of LIBOR plus 2%-4%

Lombard Odier Investment Managers has added to its liquid alternative strategies with the launch of a catastrophe bond fund.

The launch of the LO Funds - CAT Bonds product follows the appointment of the group's insurance linked securities (ILS) team in 2015. The fund is a UCITS compliant vehicle investing in catastrophe bonds targeting returns of LIBOR plus 2%-4%, net of fees, and offering weekly liquidity. Exposure will be primarily to regions with a high concentration of insured wealth, such as the US, Western Europe and Japan. The fund will be managed by a team led by Gregor Gawron, head of ILS. He will be joined by Simon Vuille, Marc Brogli and Stephan Gaschen; they will use a proprietary approach to...