LD Pensions’ tender for an Agreement concerning Investment Management of systematicHigh Yield Bonds for Kapitalforeningen LD

Description

The object of the tender is to select an Investment Manager to manage LD Pensions’ assets within Systematic High Yield Bonds. LD Pensions is acting on behalf of its fully owned subsidiary Kapitalforeningen LD (KLD). The contract will be signed with KLD. A more detailed description of the characteristics of the mandate can be found in the Investment Guidelines (Investment Guidelines can be found in Schedule 1 of the Agreements). The size of the mandate covered by this contract notice are indicative due to LD Pensions’ inability to determine the volume in advance. The value of the contracts is therefore LD Pensions’ best estimate. Lot 1: LD Pensions is selecting one Investment Manager to provide investment managementservices for Systematic High Yield Bond strategy. Expected size for the mandate is DKK1.750 million, approx. EUR 170 million; however this is strictly indicative due to the inability to determine the precise volume in advance. The Product/mandate in the Agreement invests in High Yield Bonds including securities that meet benchmark inclusion criteria for either Bloomberg Barclays US High Index or ICE BofA Developed High Yield index. The investment strategy is a long-only, systematic quant driven high yield strategy. The manager will utilize one or more factors to drive allocation in the portfolio. Important strategy aspects are implementation, diversification, and efficient factor capture. The objective for the mandate is to deliver a minimum benchmark return after fees and transaction costs over a full market cycle. A more detailed description of the characteristics of the mandate can be found in the Investment Guidelines (Investment Guidelines can be found in Schedule 1 of the Agreement). All minimum criteria are listed in Appendix 5a Questionnaire.