Pala Assets actively manages the fund with a combination of top-down and bottom-up approaches. The team seeks superior risk-adjusted returns by investing in creditworthy companies in jurisdictions and sectors identified by top-down analysis. By utilizing market inefficiencies, leveraging the fund's expertise with distressed situations, and combining multiple asset classes along the capital structure, the fund achieves enhanced absolute returns, while adequately protecting against losses.
The core portfolio evolves around high yielding corporate bonds and is effectively complemented by investments from other asset classes, which ensures a balanced asset allocation.