MFS Investment Management has launched a European multi-sector fixed income fund for eligible investors across Europe and Singapore.

The MFS Meridian Funds – Euro Opportunistic Bond fund is an actively managed multi-sector strategy that will invest across European fixed income markets.

The Luxemburg domiciled SICAV fund aims to deliver a total return in Euros and will be benchmarked against the Bloomberg Euro Aggregate Index.

It will invest in Euro-denominated government and corporate debt, as well as selectively in high yield, emerging market and securitized bonds.

“We are pleased to build on our momentum in European fixed income at what we see as a particularly attractive moment for the asset class,” said Matt Weisser, managing director – Europe.

“Client demand has been strong, and today’s market offers an unusual combination of healthy yields and high credit quality.”

“In an environment that can turn quickly, we believe the fund’s flexibility allows us to draw on a wider range of return drivers rather than relying on any one of them.”

The fund will be managed by Annalisa Piazza and Andy Li, supported by Owen Murfin as an institutional portfolio manager.

The investment process will be driven by fundamental research and relative value analysis, with manager flexibility to shift across sectors, adjust duration and reposition across countries, the firm said.

This fund launch marks the firm’s twelfth actively managed fixed income strategy for the non-US wholesale client segment, after it launched a Euro Credit Short Term Bond fund in June earlier this year.