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Rock with gem
WCM Select Global Growth Equity
A high conviction, unconstrained strategy which concentrates WCM’s best ideas into an all-cap, global growth portfolio.
Managing market volatility
Managing market volatility
Why it’s ok to invest with uncertainty. From geopolitical shifts to central bank rate-setting, uncertainty is everywhere
About us
Ostrum Asset Management

Crossover Credit HTM

A carry strategy aimed at capturing yield over a defined horizon.

Highliner balancing on rope above mountain peak

The philosophy

Seizing opportunities in the crossover credit market with a defined time horizon

 

Advantages of an Hold-To-Maturity strategy

Maturity date

Predetermined maturity date

with the objective of holding investments until that maturity
Target return

Visibility on target return*

(though not guaranteed) from fund launch
Interest rates

Sensitivity to interest rates and volatility

that decreases as the final maturity approaches
Transaction costs

Low transaction costs

as the portfolio is intended to be held until maturity
Volatility reduction

Volatility reduction

contributing to lowering overall portfolio volatility

Reasons to invest

  • From a Central Bank perspective, curbing high inflation – which remains above the central banks’ target level –requires maintaining high key interest rates or even raising them further. Tensions between the US and Iran and the resurgence of inflation pressures have triggered a rise in yields across most major bond markets.
  • Credit yields are attractive vs govies
  • Corporate balance sheets are robust
  • Default rates in the euro zone are contained and well below historical averages

Value creation starts with stringent credit selection and conviction, with monitoring of opportunities and risks throughout the fund's lifecycle

  • Hold-To-Maturity (HTM) management capabilities across investment-grade credit, high-yield, crossover, and emerging market debt…
  • 11 credit portfolio managers with an average of 25 years of experience

Global credit research team

  • 23 sustainability & credit analysts, sector Specialists, with a global coverage (+1,200 issuers)
  • Proprietary score for credit assessment, forward-looking

ESG integration

Proprietary ESG Materiality** score to best identify risks and opportunities

**ESG integration refers to the inclusion of ESG issues in the analysis and investment decisions. The approach to ESG integration varies depending on the fund. ESG integration does not necessarily imply that investment vehicles also seek to generate a positive ESG impact.

A transparent, yield-focused strategy that helps investors capture current market conditions and target optimal returns to maturity, all while adhering to the portfolio's investment objective and diversification guidelines
– Emilie Huot, Senior Portfolio Manager, Ostrum Asset Management

The analyses and opinions referenced herein represent the subjective views of the author(s) as referenced, are as of the date shown and are subject to change without prior notice.

Risks to consider

All investing involves risk, including the risk of loss. Investment risk exists with equity, fixed income, and alternative investments. Specific strategy risks: Debt securities, Below investment grade securities, Changing interest rates, Credit risk, Exchange rates, Global investing, Investment in high yield securities, Liquidity, Geographic concentration, Investment in contingent convertibles securities, Changes in laws and/or tax regimes, Financial Derivative Instruments, Counterparty risk, Sustainability risk, Investment in distressed securities.

There is no assurance that any investment will meet its performance objectives or that losses will be avoided. There could be other differences across similar products in the same strategy. Investors should fully understand the risks and other relevant details associated with any investment prior to investing.

The team

Experienced investment team.
Emilie Huot
Emilie Huot
High Yield Credit Portfolio Manager
Ostrum Asset Management
Erwan Guilloux
High Yield Credit Portfolio Manager
Ostrum Asset Management
Professional portrait of middle-aged man in suit
Mhamed Fenniri
Total Return Portfolio Manager
Ostrum Asset Management

The firm

Ostrum Asset Management is a responsible European institutional investment management leader, supporting investors by offering asset management solutions on the back of its long-standing expertise in: money market, credit, rates, equities and multi-assets strategies managed through fundamental, insurance-driven and quantitative-driven approaches.

Paris

France

250+

Employees

Ostrum Asset Management logo

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