Aberdeen Asset Management has appointed Ben Pakenham as a portfolio manager and credit analyst to its highly regarded high yield bond team.
Reporting to Paul Reed, Head of European High Yield at Aberdeen, Pakenham will focus on credit research work and also help manage the Group’s range of high yield portfolios. Pakenham joins from Henderson Global Investors where he was manager of the Henderson Extra Monthly Income Bond Fund and co-manager on the Henderson High Yield Monthly Income and Fixed Interest Monthly Income Funds. He previously worked at New Star Asset Management joining them in 2005.
Paul Reed, Head of European High Yield at Aberdeen, comments: 'Ben’s appointment strengthens further Aberdeen’s high yield bond capability. With interest rates likely to remain relatively low, high yield bonds will remain attractive to investors searching for income. However, given the uncertain macro environment it is crucial to have the resources to identify those businesses able to weather challenging conditions. We remain convinced that a bottom-up investment process, focused on rigorous, in-house research, will be key to driving total returns'.
Earlier this month Old Broad Street Research (OBSR) awarded the recently launched Aberdeen High Yield Bond Fund with an 'AA' rating which is also the OBSR rating held by the Aberdeen Global - European High Yield Bond Fund. OBSR commented: 'The fund is managed by Aberdeen’s European High Yield team, led by the immensely experienced Paul Reed. The established long-term, bottom-up investment approach seeks to deliver an attractive income to investors by investing in bonds with generous income yields, often subordinated in an issuer’s capital structure, where the team is suitably comfortable with the long-term credit prospects of the company.
'This approach should be expected to deliver some volatility in total returns but his style has delivered strong results over the long term. We believe the approach to be robust and the fund should appeal to investors seeking a high yield as long as they are cognisant of the team’s longterm investment horizon and this potential for volatility'.