KKR and Capital Group have launched their first public-private credit investment strategy for investors in Europe and the Asia Pacific.
The fund, named Capital Group KKR Global Multi-Sector+ (GMS+), gives investors exposure to public and private credit markets within a single-vehicle structure.
According to both firms, the fund will allocate 60 per cent to public credit assets managed by Capital Group and 40 per cent to private credit assets managed by KKR.
The launch of GMS+ marks the first fund launch in Europe and Asia as part of the global partnership between Capital Group and KKR. It follows the firms’ launch of two public-private credit strategies and one public-private equity strategy in the US.
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“GMS+ is a whole-of-credit solution designed to sit between traditional bond funds and alternative investments, offering the potential for enhanced returns, lower volatility and greater diversification,” said Guy Henriques, president of the Europe and Asia Pacific client group at Capital Group.
The fund will initially be available through HSBC Private Bank in select markets and will be managed by Capital Group, with KKR acting as sub-adviser.
Both firms said the fund will offer monthly repurchases of up to three per cent of the fund.
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“Having a single access point to invest at scale across public and private markets with world-class managers is a compelling value proposition,” said Eric Mogelof, partner and head of global client solutions at KKR.
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