About Colchester

Organisation

Colchester Global Investors is a privately owned investment management firm offering value oriented, global bond management services. Chairman and CIO Ian Sims founded the asset management business in 1999. Colchester’s headquarters are located in London. The firm also has offices in New York, Singapore and Sydney.

Colchester has funds under management of over A$56 billion across four core strategies being global sovereign bonds, global inflation-linked bonds, local currency emerging market debt and an alpha program. The firm manages assets for global institutions including Corporate and Public Pension Funds, Foundations, Endowments, Insurance and Sovereign Wealth clients. Colchester enjoys a long-standing history of managing money for many prestigious Australian and New Zealand institutions, with assets under management of approximately A$5.7 billion.

Meet the team
Colchester Global Australia

Philosophy

We believe that a portfolio of higher real yielding bonds and undervalued currencies, according to their real exchange rate, will outperform its benchmark over a medium to long term investment horizon.

At the heart of Colchester’s value-oriented philosophy is the belief that investments should be valued in terms of the income they will generate in real terms. Our approach is based on the analysis of inflation, real interest rates and real exchange rates. Real yield analysis, supported by an assessment of a country’s financial stability (encapsulated in macro and financial balances such as the current account, fiscal and monetary balances, etc.) provides the framework in which bond markets are valued. Similarly, real exchange rate analysis together with short-term real interest rate differentials and an assessment of external financial balances provides the framework in which currencies are valued. Portfolios are constructed to benefit from those opportunities with the greatest relative investment potential for a given level of risk.

Colchester’s portfolios principally comprise sovereign bonds as specialisation and focus are key features of our philosophy. The firm eschews corporate credit, believing instead that its broader sovereign opportunity set provides sufficient diversity and return potential to deliver excess returns over the course of a full business cycle.


Request a copy of our ‘Prospective Real Yields’ paper which underpins our philosophy.

Read about our global bonds offering.

Meet the Colchester Team.

Watch our recent video insights.

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