The investment management company 1 Asset Management has launched a new open-ended, actively managed investment fund for informed investors – the 1AM Fixed Income Fund. The fund will invest in European government and corporate bonds offering higher yields and sufficient market liquidity.

“Bonds remain a sought-after investment product, and investor demand for debt instruments is not decreasing. We see a clear need for solutions that combine diversification, professional active management, balanced risk, and liquidity, which is why we created a fund that meets these needs,” says Alius Jakubėlis, CEO of 1 Asset Management.

The fund will invest in corporate debt securities, with a primary focus on the high-yield segment. The investment portfolio will be broadly diversified and oriented toward bond issues that generate attractive returns.

The fund is not committed to investing in specific countries. “When constructing the portfolio, we will not be limited to a particular region but will aim to leverage the advantages of different countries. Western Europe offers strong liquidity, while the Scandinavian and Baltic countries provide an attractive risk-return ratio. In Nordic and local markets, investors receive higher interest rates than in many other European markets, while historical default levels remain relatively low,” says Renata Gerulskienė, fund manager of the 1AM Fixed Income Fund.

The portfolio will be diversified across different sectors, with a primary focus on industrials, real estate rental, energy, and service companies.

The fund targets an annual return of around 8.5% before fees and approximately 7% after fees. According to the managers, in recent years investors have become accustomed to very high, often double-digit coupons, but as the market normalizes, yields are expected to return to a more balanced range of 5–9%.

The fund is open-ended, allowing investors to subscribe to and redeem fund units on a regular basis. Monthly liquidity is предусмотрed, and investments can be redeemed with prior notice. The minimum investment amount is EUR 30,000.

The fund will be distributed by the investment services firm Orion Securities.