Article published in Trustnet (03/03/2022)
GAM Star Credit Opportunities delivered the highest total return over the 10 years of the six funds on the list, at 147.2%.
The fund seeks to generate a steady and high income from the bonds of quality companies, focusing on subordinated debt (which is paid after every other creditor if the issuer defaults) to capture higher yields.
It is heavily overweight financials, with the team saying: “This is the most regulated market and has been stress tested by regulators, so we know the sector can absorb external shocks.”
Performance of funds vs sector over 10yrs
Source: FE Analytics
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