Convertibles

For institutional investors, the successful management of convertibles is closely linked to stringent risk management. Because they are favourably correlated with other asset classes, convertible bonds are attractive investments that can enhance the risk/reward ratio of the overall portfolio. They are especially suitable as a low-risk method of exploiting upside potential in the equity market, although their high level of complexity and the structure of the convertibles market require professional management and a broad spread of investments.

Carl Fox

Carl Fox
Head of Convertibles

Union Investment is one of the leading convertible bond managers in Europe with about € 3.9 billion of assets under management (as of 31 Dezember 2018), drawing on extensive resources to provide investors with exposure to a full range of opportunities in the convertibles universe.

Our Approach

We combine actively managed top-down and bottom-up approaches to benefit from the asymmetric profile of convertibles in order to deliver outperformance. We have a wealth of experience in using synthetic convertibles created in-house to generate superior returns.

Our Team

A team of six highly experienced specialists are constantly actively searching the market for attractive investment opportunities. We have been managing convertible bond portfolios since 1995 and have one of the largest and most experienced teams in Europe. Our portfolio managers have access to the analytical expertise of the entire portfolio management division ensuring detailed insight into, and understanding of, individual convertible securities.

Our Expertise

Our expertise covers global, European and sustainable convertibles.