Some U.K. bond managers are reducing the duration on their funds as they expect to see an improvement in the economy, FundWeb reports. Henderson’s head of fixed income John Pattullo, who manages the £1.1 billion Henderson Strategic Bond fund, plans to change to a one-year duration within two years.
Head of fixed income at Old Mutual Asset Management, Stewart Cowley, who handles the £491 million Global Strategic Bond fund, has moved to negative duration of minus two to minus four years in 2011. Standard Life’s head of credit and aggregate Andrew Sutherland, who runs the £88 million Standard Life Investments Strategic Bond fund, has decreased duration by 20 basis points from 7.5 years in July 2011.
Click here for the story from FundWeb.