Janus Capital Group Inc. has introduced a value income fund using managers from both its internal fixed-income team and its Perkins Investment Management LLC subsidiary.
The growth equity-oriented Janus Capital Group Inc. has introduced a value income fund using managers from both its internal fixed-income team and its Perkins Investment Management LLC subsidiary.
The Perkins Value Plus Income Fund Ticker:(JNS) seeks to provide current income to investors, as well as the potential for capital appreciation through investing in equities and credit-oriented fixed-income securities. “If you look at the market, there are lot of conservative and moderate investors that are seeking income-oriented products,” said Drew Elder, senior vice president, head of product strategy and development.
The creation of this fund marks a first for Janus: While Janus has funds of funds that utilize its subsidiaries as underlying managers, this is the first single fund that directly taps an affiliate as a co-manager.
Given the demand for value and income investing, it makes sense for Janus to tap its Perkins and fixed-income teams to manage a fund jointly, Mr. Elder noted. Janus Capital bought 30% of Perkins in 2003 and increased its stake to 80% in 2008.
The fact that Janus is embarking on its first jointly managed single fund highlights the influence of Dick Weil, CEO of Janus Capital Group, who started at the company in February, said Geoff Bobroff, a mutual fund consultant. “Mr. Weil is different from the rest,” Mr. Bobroff said. “Historically, the firm has been run by its portfolio management people.”
Given the growing demand among advisers for products that can serve retirees and generate steady streams of income, Mr. Elder noted that the timing is ideal to launch such a strategy.
But this isn't the only fund that can serve the retirement income market, he said. “We think this is a good product, but we don't think it's the first and last word on retirement income,” Mr. Elder said.
He declined to comment on other funds the firm is planning.