NEW YORK, Sept. 24, 2012 /PRNewswire/ -- Strong performance in diverse, client-focused offerings is driving ongoing business momentum and increasing industry recognition for AllianceBernstein's Institutional and Retail fixed income offerings in Europe.
In Institutional, AllianceBernstein's fixed income services have recently won several new engagements, including a prestigious mandate from the UK's Pension Protection Fund, a statutory corporation created by the Pensions Act of 2004 to insure defined benefit pension plans in the UK. This win comes on the heels of new institutional mandates awarded by UK and European clients in global, regional and emerging markets fixed income totalling over $3.5 billion* in the first half of 2012.
Arif Husain, head of fixed income in Europe, said, "While many in the industry take a fundamental approach to fixed income investing, we employ three core tenants: a global focus, an integrated approach combining quantitative and fundamental research, and finally, a dynamic investment discipline that seeks to capitalize on varying market premiums over time. The global recognition and new mandates we are winning across our fixed income platform demonstrate that our distinct approach to fixed income investing is delivering the results that clients demand in today's challenging economic environment."
In Retail, innovation with new products and strong investment performance in flagship funds have been key factors in the growth of AllianceBernstein's Luxembourg funds platform, which recently surpassed $50 billion in AUM. The firm's $21 billion** flagship Global High Yield Portfolio (LU0081336892) recently cemented its position as Europe's largest global high yield cross-border fund,*** and has outperformed its benchmark for the year-to-date, one-, three-, five- and ten-year periods. Meanwhile, two recently launched Luxembourg-domiciled fixed income funds have together attracted more than a half-billion dollars in inflows:
- RMB Income Plus Portfolio (LU0633139125), which offers Chinese currency exposure, has gathered over $440 million** since its May 2011 inception and won the Feri Eurorating 'Fund Innovation Award' for 2012.
- Short Duration High Yield Portfolio (LU0654560878), launched in July 2011, targets high yield-like returns with a lower risk profile, and passed the $110 million AUM** threshold.
Richard Haxe, head of EMEA Clients, noted: "We are completely focused on addressing the needs of our clients. They wanted specialized services such as lower volatility high yield investing and exposure to the Chinese currency – so we created offerings like Short Duration High Yield and RMB Income Plus. So far the performance and flows have exceeded expectations."
Clients are responding to AllianceBernstein's strong track record in global fixed income services, which have been widely recognized for both performance and innovation, winning 40 European awards across products and teams throughout the last 12 months. Moreover, while many firms have only recently ventured into emerging markets, AllianceBernstein has been investing in the sector since 1989. Its Emerging Market Debt Portfolio (LU0246604945) has won six performance awards in Europe in the past year alone. For a full list of AllianceBernstein's 2012 performance awards visit:
As of August 31 2012, AllianceBernstein manages $240 billion in fixed income assets for clients worldwide, with just under half in Global assets. In the years following the global financial crisis, the firm's fixed income platform has grown 46%, attracting more than $75 billion in new assets through both net new flows and market appreciation, with 85% of its fixed income assets in services that have outperformed their benchmark for the 3-year period through June 2012.
* Pending funding
**As of end August 2012
*** Source: Morningstar Direct database, 31.8.2012
AllianceBernstein is a leading global investment management firm that offers high-quality research and diversified investment services to institutional investors, individuals and private clients in major world markets.
At June 30, 2012, AllianceBernstein Holding L.P. (NYSE: AB) owned approximately 37.9% of the issued and outstanding AllianceBernstein Units and AXA, one of the largest global financial services organizations, owned an approximate 63.5% economic interest in AllianceBernstein.
Additional information about AllianceBernstein may be found on our internet site www.alliancebernstein.com.
Issued by AllianceBernstein Limited, 50 Berkeley Street, London, W1J 8 HA. AllianceBernstein Limited is authorised and regulated in the UK by the Financial Services Authority (FSA reference number 147956)