The fund will be managed on a day-to-day basis by Palmer Square’s fundamental credit team and the firm’s majority-owned affiliate, Fountain Capital. It will focus on generating income by investing in short-duration, high-yield fixed, variable or floating rate debt securities.

“We believe that high-yield securities with short maturities are often overlooked and inefficiently priced,” said Doug Campbell, managing principal of Fountain Capital Management.

Other Palmer Square mutual funds include the Absolute Return Fund and the Palmer Square SSI Alternative Income Fund.

Montage Investments, Palmer Square’s parent company, will manage the distribution of the new product. 

Palmer Square Capital Management provides investment advisory services and manages portfolios of structured corporate credit, corporate credit and various hedge fund strategies for clients across institutional, family office, registered investment advisory firms and broker-dealers.