Paris, November 21, 2024 - IVO Capital Partners, an independent French asset management company specializing in emerging bond markets, announces the launch of the IVO IG 2030 fund, building on the success of its range of funds dedicated to emerging corporate debt, particularly its IVO 2028 fund. This new product reflects the rise in interest rates in the United States, which has led to an upward adjustment in bond yields in the emerging investment grade asset class, in the form of a fund with an average investment grade maturity. The IVO Capital Partners teams' in-depth expertise in the emerging bond universe, cultivated since 2012, has also led to several of its funds being listed by insurance companies.
- A new Investment Grade fund dedicated to companies in emerging markets, offering diversification for European investors
IVO IG 2030 is a hard currency emerging market corporate debt fund offering a gross yield of 6.8% in USD and 4.8% in EUR ( as of November 20, 2024). Classified as SRI 2, this sub-fund is housed within a French SICAV approved by the Autorité des Marchés Financiers (AMF) on October 11, 2024.
IVO IG 2030 invests in emerging issuers across some 30 countries and offers exposure to a wide range of key sectors—such as industry, infrastructure, the electricity sector, and senior financial bonds—providing European investors with complementary opportunities for sector and geographic diversification. With its maturity structure and average IG rating, which reduces credit risk, it sets and embeds a gross actuarial yield to maturity (December 31, 2030). Credit risk gradually decreases as the maturity date approaches, offering investors visibility on performance and the risk incurred. The product remains open for subscriptions and redemptions until maturity, allowing for arbitrage and the opportunity to seize opportunities that may arise on the primary market, which is once again very active in emerging countries in 2024. IVO Capital Partners' bond strategy is based on in-depth fundamental analysis and favors issuers with solid fundamentals, in line with Article 8 ESG standards.
- Several funds in IVO Capital's bond strategy are now listed by leading insurance companies.
The richness and dynamism of the asset class, combined with the expertise and experience of the IVO Capital Partners teams, have led leading insurance companies to list several IVO Capital Partners funds in unit-linked life insurance, capitalization, and retirement contracts. IVO Capital Partners' historic flagship fund, IVO EM Debt Corporate (formerly IVO Fixed Income), has been listed by Abeille Assurance, while IVO EM Short Duration SRI has been listed by Vie Plus. Finally, the new IVO IG 2030 fund is already available in most Oradea Vie contracts.
- The strong growth in IVO Capital Partners' assets under management in 2024 validates its ambitious development strategy and expertise in the emerging markets universe.
IVO Capital Partners currently has €1.2 billion under management in the emerging companies asset class, has posted positive performance (between 9.3% and 11% in mid-November) and recorded inflows of €306 million at the end of October 2024, driven in particular by its IVO 2028 dated fund (€178 million in assets under management) and its flagship IVO Emerging Markets Corporate Debt ( €800 million in assets under management), formerly IVO Fixed Income. With this new fund, the company is boosting its product strategy to enable its clients to expand their investment universe toInvestment Grade.
The expansion of its range further consolidates IVO Capital Partners' position as a key player in the emerging bond market. To meet the demands of this vast investment universe, comprising more than 1,700 issuers across more than 50 countries, the company draws on the expertise of 12 professionals in its dedicated management team and more than a decade of market experience.
- Favorable macroeconomic dynamics offering opportunities to be seized in the emerging bond market
The launch ofIVO IG 2030 comes at a time when interest rates are favorable for holding investment-grade assets. The rise in interest rates in the United States, triggered by the bond crash of 2022 and, more recently, by the election of President Donald Trump, has led to an upward adjustment in the yields of emerging market investment-grade corporate bonds. IVO Capital Partners is launching the IVO IG 2030 fund to take advantage of the attractive actuarial yields on this asset class. Its maturity structure offers cautious exposure to US and European interest rates via the emerging investment grade asset class. The simple and predictable carry of a maturity fund, coupled with decreasing duration to maturity, makes it particularly suitable for investors seeking to take advantage of these yield levels.
“The launch of the IVO IG 2030 fund is based on the attractiveness of the returns currently offered by emerging investment grade bonds. On the one hand, IG yields are at historically high levels thanks to rising rates, particularly in the United States on the dollar curve. On the other hand, the IG index accounts for 70% of the bond yield of the High Yield index, which is a historic high. The fund's maturity structure—which allows it to set an attractive yield to maturity on December 31, 2030—coupled with its average Investment Grade rating (BBB- at the end of October 2024), which significantly limits credit risk, makes it a defensive carry product that is uncorrelated with risky markets, offering additional protection against crises and uncertainty.” - Thomas Peyre, Portfolio Manager at IVO Capital Partners
Our in-depth knowledge of the emerging markets universe enables us to offer a diversified range of products that take full advantage of the richness and dynamism of this asset class. This fund, which focuses on emerging market investment grade bonds, complements our predominantly high-yield range for European investors. Its defensive profile and SRI 2 classification lead us to anticipate commercial success similar to that of the IVO 2028 fund. Our teams are particularly committed to providing clear and understandable explanations to our investor clients, regardless of the complexity of the market in which we operate." - Romain Lippe, Partner and Sales Director at IVO Capital Partners
About IVO Capital Partners
IVO Capital Partners is an independent French asset management company with more than €1.6 billion in assets under management. Founded in 2012, it invests in listed and unlisted credit, emerging market corporate bonds, and litigation financing. IVO Capital Partners' expertise enables its investor clients to access new investment universes with clarity and profitability, and also provides access to financing for companies based in emerging countries and to litigation so that they can obtain compensation. The company has 14 nationalities among its staff and invests in more than 50 countries.
This is a commercial communication. All data is sourced from IVO Capital Partners. All investments involve risks, including the risk of capital loss. Past performance is not indicative of future results.
Press contact - Chiara Billy Lelandais - chiara@katchreyners.com - +33 (0)6 33 72 75 59
