OppenheimerFunds, Inc (OFI) has launched the Oppenheimer Short Duration Fund, an actively-managed fund that seeks to offer investors attractive short duration returns with relatively low interest rate risk.
Oppenheimer Short Duration Fund seeks to provide investors with a competitive yield over money market funds and relative stability of principal. In an attempt to achieve this objective, the fund will seek to maintain a portfolio duration of one year or less and invest in a variety of investment grade short-term debt and money market instruments.
"The credit and liquidity environment over the last few years has created an imbalance in the market. Short duration products may be able to exploit these inefficiencies by taking advantage of the steep yield curve," says Carol Wolf (pictured), Co-Portfolio Manager of Oppenheimer Short Duration Fund. "The fund presents a diversification option for investors and seeks the combination of current income, while endeavoring to preserve capital."
This new fund will be managed by Wolf, who is head of the Denver-based Oppenheimer Cash Strategies Team, and Chris Proctor, Vice President and Portfolio Manager. The Cash Strategies Team has been running funds for more than 30 years since the inception of the Daily Cash Accumulation Fund and the Centennial Funds in the ’70’s.
The Oppenheimer Short Duration Fund can invest in a variety of US dollar-denominated, investment-grade fixed income obligations, including corporate notes, floating and variable rate instruments, asset backed securities, and US Government and Agency debt.
The Short Duration Fund will be managed with the same investment and credit process as the other funds the team oversees. The Cash Strategies Team manages more than USD10 billion in assets (as of 3/31/11), including all of OppenheimerFunds’ money market funds.
