JP Morgan Asset Administration is getting ready to launch its first interval fund, targeted on personal credit score.
The asset supervisor has registered a brand new credit score markets fund with the US Securities and Alternate Fee (SEC), that will likely be open to the wealth market.
The submitting, made on Friday, says the fund will “spend money on an actively managed portfolio of credit score investments, together with however not restricted to loans, bonds, different credit score devices, collateralised debt obligations, collateralised mortgage obligations, asset-backed securities, credit-linked notes or different structured finance securities”.
It would implement numerous funding sorts, together with investments in portfolio funds, co-investments or main investments and structured finance securities. The allocation amongst these varieties of investments and different investments might fluctuate over time.
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To handle the liquidity of its funding portfolio, the fund will make investments a portion of its property in a portfolio of short-term debt securities, cash market securities, mutual funds or exchange-traded funds, in addition to money.
It’s a closed-end interval fund, requiring the fund to supply to repurchase a minimum of 5 per cent and as much as 25 per cent of its shares at NAV on a quarterly foundation.
For every quarterly repurchase provide, the fund presently expects to supply to repurchase as much as 5 per cent of its excellent shares at NAV.
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JP Morgan head of investments product growth Glenn Hill, is the registered trustee of the fund, based on the submitting. No different people have been named in reference to managing the fund.
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Asset managers have been more and more focusing on particular person buyers for his or her personal credit score choices, as a method of diversifying their sources of funding amid a difficult fundraising setting.