After an overview of Cigogne Management, the alternative investment company of Groupe La Française, this second article in our three-part series sees Andrea Bertocchini, Country Head Benelux & Nordics at Groupe La Française, make the case for Cigogne UCITS - Credit Opportunities, a UCITS multi-strategy alternative fund.
Why now: volatility as opportunity
In an economic environment shaped by persistent inflation, geopolitical tensions, growing public deficits, and unpredictable monetary policies, volatility is becoming the norm rather than the exception. This is precisely the type of environment alternative strategies are built for.
Alternative strategies are once again playing a central role in portfolio construction, not as a replacement for traditional assets but as a complement that diversifies performance drivers, enhances portfolio efficiency and optimizes the risk/return profile. The goal: greater flexibility and consistency, capitalizing on market fluctuations to turn volatility into opportunity and generate performance.
Cigogne UCITS - Credit Opportunities, bringing Cigogne Management’s alternative expertise into a UCITS format
In this context, Cigogne Management, an alternative investment company with two decades of alternative investment expertise built around disciplined, arbitrage-driven strategies and led by a stable and highly experienced team1, brings this legacy to life through Cigogne UCITS - Credit Opportunities. This is a multi-strategy alternative fund focused on the credit theme, delivered in a more accessible UCITS format. The UCITS structure offers a broad range of investors exclusive access to unique, niche and specialized strategies, usually reserved for institutional investors, making it a potentially compelling solution for those seeking uncorrelated, credit-driven returns.
The strategy’s objective is to capture market inefficiencies, manage volatility, and strengthen the portfolio whenever markets offer more attractive entry points. It aims to generate a regular return (€ster +2% to 3%) while managing volatility (<3% on annualized basis) through a diversified range of arbitrage strategies.
The fund also embeds a responsible investment approach integrating ESG2 considerations into CDS3 and credit derivatives in the same way as into cash instruments. With a minimum of 5% allocation to sustainable investments, the fund is classified as Article 8 under SFDR4.
Furthermore, the fund relies on the combined expertise of Cigogne Management and CIC Corporate & Institutional Banking (CIC CIB), a subsidiary of Crédit Mutuel Alliance Fédérale Group specialized in proprietary trading and investment activities, which acts as an investment advisor for Cigogne Management. This relationship, a distinctive feature within the alternative investment landscape, gives Cigogne Management access to substantial resources: more than 605 dedicated traders, over 305 years of experience in arbitrage operations, and a presence across five5 strategic hubs (Paris, Strasbourg, London, New York and Singapore) backed by post-trade support teams comprising more than 3505 employees, feeding directly into Cigogne Management’s investment process. This close collaboration translates into a “double expertise,” combining CIC CIB’s trading capabilities with Cigogne Management’s portfolio management skills, offering shared convictions and the opportunity to co-invest with a major European banking group.
Cigogne UCITS - Credit Opportunities, une stratégie alternative à l’allocation dynamique, articulée autour de quatre expertises
The strategy is built on four complementary areas of expertise. The first, Relative Value, notably exploits arbitrage opportunities between bonds and CDS³, or between indices and their components. The second, Credit Strategies, seeks to capture credit spreads by isolating issuer credit risk, mainly through combinations of debt securities and credit derivatives. The third, Convertible Bond Arbitrage, targets market anomalies that may arise between the different components of a convertible bond. Finally, a Global Macro pocket, used primarily as a tactical hedging tool, relies mainly on momentum-driven strategies implemented through option structures on interest rates and credit indices, helping to protect the portfolio against changing market conditions.
This dynamic, active, and flexible management approach enables diversified allocation and efficient risk management, allowing to adjust exposures swiftly as market opportunities evolve.
Cigogne UCITS - Credit Opportunities, a disciplined, predominantly Investment Grade profile with a proven track-record
In terms of credit quality, the fund’s positioning is predominantly Investment Grade, representing approximately 78%6 of the portfolio with the balance allocated to High Yield, underscoring the fund’s prudent approach. The portfolio is well diversified across sectors, with the largest exposures to Banks (31%6), Sovereigns (15%6) and Financial Services (10%6), complemented by Industrial, Real Estate and Healthcare. Geographically, the fund is anchored in Europe (45%6). Maturities are concentrated in the 1–5-year bucket (over 85%6 of the portfolio), supporting a controlled rate sensitivity profile. The fund also benefits from a high level of diversification, with close to 3806 investment strategies currently open across different credit segments.
This disciplined construction has proven its resilience7 to market stress, demonstrating the ability to rebound quickly after shocks, periods conducive to building future performance by capturing volatility rather than simply enduring it. Cigogne UCITS - Credit Opportunities displays its full potential especially during phases of moderate to high volatility, when market inefficiencies tend to be most pronounced, by identifying relative value opportunities and positioning the portfolio to capture value as markets gradually normalize. Historically, the opportunities created during stressed markets have been key contributors to performance in the years that followed. Since its inception, the fund (Share Class: C1, ISIN Code: LU2587561429) has delivered a cumulative performance of over 18.8%7, equivalent to an annualized return of 5.5%7, compared to 9.9%7 (3.0%7 annualized) for the €ster. Annualized volatility stands at a low 1.6%7, with a Sharpe ratio of 1.587 and a maximum drawdown of -1.27%7, with an average recovery time of less than one month7. The fund has closed in positive territory in 82%7 of the months since its launch, proving its risk-adjusted return profile.
Conclusion
The fund’s commercial success speaks for itself: having recently crossed the EUR500 million AUM threshold just 3 years after launch, Cigogne UCITS - Credit Opportunities confirms strong investor appetite for alternative strategies. This momentum has been fueled by lower interest rates, which are progressively making cash less attractive, as well as by the maturity of certain Target Maturity funds and growing interest from real-money investors in search of potential attractive risk-adjusted returns with limited correlation to traditional markets.
Built on rigorous, high-quality management, the fund is designed for investors seeking a steady, credit-driven return with controlled volatility and limited correlation to broader market trends. Its multi-strategy approach, combined with the double expertise of Cigogne Management and CIC CIB, gives investors the opportunity to co-invest with a major European banking group. Moreover, in today’s volatile environment, the fund complements traditional asset classes by capitalizing on price dislocations that can be harvested for potential gains. In a market increasingly in search of flexible, less directional solution, Cigogne UCITS - Credit Opportunities - stands out as a particularly compelling answer.
In the final article of this series, we will explore how Cigogne’s principles are put into practice through another flagship strategy. In the meantime, we invite you to visit the dedicated webpage to discover how to turn volatility into opportunity: [landing page addressee].
Main risks of the funds: market risks, interest rate risks, foreign exchange risks, credit risks, default risks, liquidity risks, counterparty risks, risks related to the use of derivatives. Full risk information is available in the prospectus of each fund.
1. Source: Cigogne Management SA as of 30/09/2026. The portfolio management team is subject to change over time, and there is no guarantee that it will remain the same for the whole life of the funds. 2. Environment, Social and Governance. 3. Credit Default Swaps. 4.The Fund’s classification under Article 8 of the SFDR (Regulation (EU) 2019/2088) means that it promotes environmental and/or social characteristics, without constituting an official label; please refer to the prospectus and the SFDR information for further details.). 5. Source: CIC CIB, data as of 30/06/2026. 6. Source: Cigogne Management SA as of 30/09/2026. The composition of the fund’s portfolio is subject to change at any time. This information is provided for illustrative purposes only. Depending on the date of publication, the information presented may not reflect the latest data. 7. Source: Cigogne Management as of 30/09/2026. Past performance does not guarantee future performance. Performance is not guaranteed and can evolve upwards or downwards.
Disclaimer: Marketing communication. This non-contractual document does not constitute, under any circumstances, a recommendation, a solicitation of investment, or an offer to buy, sell or trade, and must not be interpreted as such under any circumstances. This investment involves risks. Before investing, all investors must read the prospectus and the key investor information document (KID) of the funds managed by Cigogne Management S.A. The Prospectus and Key Information Document (KID) and all documents are available at https://www.cigogne-management.com or on request to Groupe La Française or your distributor. All information contained in these documents is current as of the date of publication and, to the best of our knowledge, is accurate. The views expressed reflect the opinions of their authors as of the date of publication and do not constitute a contractual commitment on the part of Groupe La Française. These views are subject to change without notice, subject to the terms of the Prospectus, which alone is authoritative. Groupe La Française and Cigogne Management S.A. decline all responsibility for any alteration, distortion or falsification to which this communication may be subject. Any reproduction or modification of this document is strictly prohibited without authorization from Groupe La Française or from Cigogne Management S.A. Past performance does not guarantee future performance. Performance is not guaranteed and can evolve upwards or downwards. It is not expressly intended for persons who, due to their nationality or place of residence, are not permitted access to this information under local law. Neither this document nor any copy thereof may be sent, taken or distributed in the United States or to any US person as defined by the SEC and in the prospectuses of the investment funds presented. This communication was issued by Groupe La Française a public limited company with an executive board and a supervisory board, with a share capital of €78,836,320 – RCS Paris number 480 871 490. CMSA – CIGOGNE Management S.A., public limited company incorporated under Luxembourg law, registered to the Registre du Commerce et des Sociétés de Luxembourg under number B 101.547 Authorised by the supervisory authority, the Commission de Surveillance du Secteur Financier (CSSF), 283, route d'Arlon, L-1150 Luxembourg. Cigogne Management is a subsidiary of Groupe La Française, the asset management holding company of Crédit Mutuel Alliance Fédérale. La Française Finance Services, investment firm approved by the ACPR under no. 18673 (www.acpr.banque-france.fr) and registered with ORIAS (www.orias.fr) under no. 13007808 on November 4, 2016.
