KIS Italia, KIS Key and KIS Global Bond: these are the new SICAV sub-funds that Kairos has launched in the past few weeks. These three instruments further integrate and enrich the host of products already offered by Kairos, one of Italy’s premier asset management companies with a focus on financial innovation since inception. “This ability to innovate, which entails finding and offering never-before-seen investment ideas, has led to a long series of awards through the continuous identification of business opportunities,” explained Caterina Giuggioli, Kairos Group Sales Director, describing the key characteristics of the new funds. “Kairos Equity Yield (KIS Key) is undoubtedly an innovative fund in the quasi-equity field: with an annual yield target of 8-12%, KIS Key focuses exclusively on regulated businesses and is ideal in the transition process from bonds to equities, as well as for taking advantage of these assets’ valuation discount with respect to corporate bonds.” Furthermore, the Fund’s aim is to achieve near double-digit returns through a return to mid-single digit dividends distributed to investors semi-annually.
On the other hand, the KIS Global Bond Fund will focus on a fund of funds based on four main levers (currency exposure, country risk, credit exposure and flexible management with respect to interest rates). The underlying assumption for the Fund’s management strategy is that bonds now present a highly unfavorable ratio between expected returns and risk, and investors should diversify their fixed-income exposure with emerging country bonds in local currency and corporate bonds with attractive returns. “This is why KIS Global Bond will invest in specialized managers around the globe, in all fixed-income instruments, taking a flexible, no-benchmark approach and with a deep focus on the expected return/risk ratio of the instruments in its portfolio.”
The third product, KIS Italia is the SICAV version of the first long-short equity fund focusing exclusively on the Italian equity market. “KIS Italia’s competitive edge,” explained Caterina Giuggioli, “lies in the manager’s proximity to and familiarity with the local context, within the scope of a market that is characterized by a prevalence of retail investors. In addition, the Fund combines the experience of one of the most successful managers in Italian equities with the resources and infrastructure of Kairos, renowned as one of Italy’s top asset management companies.”