With cash-starved companies needing capital quickly, 2020 has been an extraordinary year for convertible bonds. But what is the outlook? With ongoing COVID-19 concerns, the US Presidential election and Brexit wrangling, David Keetley argues that market volatility is highly likely to persist, creating a very attractive environment for the asset class to continue its outperformance.
David joined Polar Capital in October 2010 to establish the global convertible team and is co-manager of the Global Convertible Fund and the Global Absolute Return Fund.
David began his career at Salomon Brothers International in London and New York. In 1987 he joined BNP-Baii, then the leading London convertible house, to become a convertible bond portfolio manager. Then in 1996 joined the Schroders convertible bond sales, trading and origination team. Following the sale of the investment banking division of Schroders to Citigroup in 2000, he was asked to co-form the Citi convertible hedge team which, as a part of the Citi CB team became the No1-ranked convertible origination and trading team in London. Two years later he returned to the buy side and in 2004 established and managed the ORN Capital convertible bond fund. In 2006 he joined New York-based hedge fund Vicis Capital (peak AUM $5.8 bn) to establish and manage their international convertible portfolio and develop their London business. From August 2007, David led Vicis Capital (UK) as co-CEO.