Algonquin Capital Corporation has launched an alternative fixed-income strategy.
The Algonquin Debt Strategies Fund, a long/short fund investing primarily in investment grade corporate debt, looks to provide a strategy that overcomes the limitations of today’s fixed-income markets.
“After 30 years of interest rates trending downwards, we now sit at historic lows. This poses two significant challenges for traditional fixed-income investing: The low rate environment makes it difficult to generate adequate returns and an increase in rates could lead to material losses.”
