Australian Unity Investments (AUI) has established a new boutique investment management firm in joint venture with former Aberdeen Asset Management chief executive Bill Bovingdon and two of his colleagues.

Altius Asset Management is the sixth boutique of AUI and the firm's second fixed income firm after Vianova Asset Management.

Altius will launch an Australian fixed income strategy that will invest in government bonds, credit and cash in the second quarter of this year.

"Altius will adopt a diversified approach to fixed interest investment management, combining both credit and duration strategies to help manage risk and generate stable returns," Bovingdon said.

"Most fixed interest managers focus on either a thematic or credit approach, both of which have their benefits. But in our view, a diversified approach provides the greatest flexibility to take advantage of opportunities in the market," he said.

The firm is also considering the launch of a cash fund.

Bovingdon left Aberdeen in September 2009 after the company acquired Credit Suisse Asset Management's (CSAM) traditional funds management business.

Altius portfolio manager Gavin Goodhand also left Aberdeen at that time, but has worked since in the fixed income team of insurer QBE as a senior portfolio manager.

Portfolio manager Chris Dickman joined the team from ANZ Bank, where he was a director of the funds management and public sector business.

The name of the new firm is derived from the Olympic slogan: Citius, Altius Fortius, in which Altius stands for higher.