MFS Investment Management® (MFS) has launched the MFS Meridian® Funds – Euro Credit Short Term Bond Fund, an actively managed European fixed income strategy with a shorter maturity profile and holdings typically maturing under five years.
The Fund seeks to deliver total return, with an emphasis on current income but also considering capital appreciation, measured in euros. It invests primarily in investment-grade corporate and quasi-sovereign debt instruments denominated in, or hedged into, euros. It aims to outperform the Bloomberg Euro-Aggregate Corporate 1-3 Year Index over a full market cycle.
The launch broadens MFS’ European fixed income range, complementing the MFS Meridian® Funds – Euro Credit Fund, which has been available to clients since early 2019.
‘With yields in euro short-maturity investment-grade credit now looking more attractive than they have for some time, many clients are reassessing how they can generate income while keeping interest-rate sensitivity in check,’ said Matt Weisser, Managing Director – Europe. ‘Shorter-dated credit can play an important role in that balance, offering access to high-quality income with typically lower volatility than longer-dated bonds. Strong demand for this part of the market reflects that need, and we believe the Fund gives clients a disciplined, actively managed approach to capturing the opportunity.’
The Fund is built on MFS’ long-standing investment approach, which combines bottom-up credit research, disciplined risk management, and active portfolio construction. Ideas are generated across the firm’s global fixed income platform, where portfolio managers, analysts, and traders share perspectives on credit fundamentals, relative value, liquidity, and market risk.
‘Collective expertise is central to how we invest,’ Weisser said. ‘The Fund draws on the breadth of our fixed income platform while maintaining a clear focus on liquidity, diversification, and security selection.’
Portfolio positioning is informed by views on sectors, credit quality, duration, and the yield curve, supported by fundamental research and quantitative risk analysis. The aim is to build a diversified portfolio in which risk is intentional, balanced, and aligned with the Fund’s objective.
The Fund is co-managed by Portfolio Managers Pilar Gomez-Bravo and Andy Li, who together bring more than 45 years of industry experience. Owen Murfin serves as Institutional Portfolio Manager, supporting research and strategy discussions and working with clients on portfolio positioning.
MFS Meridian® Funds – Euro Credit Short Term Bond Fund is domiciled and regulated in Luxembourg, structured as a SICAV S.A., and registered for sale in 15 countries.[1]
