Today, Lee is not putting any client money into FMPs and is instead looking for very active bond fund managers. ‘I looked at one FMP with a three-year duration. It was predominantly investment grade. The return was 2.8% to 3%, but to me, I’m taking a leap of faith in a manager being proactive. At the same time, the returns are somewhat diminishing as interest rates increase.’
He named two asset managers that he currently works with – Stratton Street and Silverdale Fund Management.
Source:http://citywireasia.com/news/fixed-maturity-products-lose-lustre-as-rates-rise/a1132614?ref=international-asia-latest-news-list