AMP Capital has appointed three new fixed-income managers to its AMP Capital Hedged Global Fixed Interest Fund available in New Zealand, after it switched from an Australia-domiciled fund to a New Zealand-based structure.

The company made changes to the fund structure last month, after a review of its multi-manager global fixed-interest strategy.

"These changes . include the establishment of a New Zealand-domiciled structure to replace the current Australian unit trust," the company said.

"The AMP Capital Hedged Global Fixed Interest Fund will remain a portfolio investment entity and will include some manager changes with weightings more aligned to the exposure of the Barclays Global Aggregate Index."

The fund historically invested in an Australian unit trust managed by the Future Directions multi-asset group in Australia.

The new structure will see the establishment of four New Zealand-domiciled unit trusts, but the strategy will continue to be managed by the Future Directions multi-asset group in Australia.

Under the new structure, AMP Capital appointed Aviva Investors and Colchester Global Investors, which will both manage 31.5 per cent of the portfolio.

It also appointed Morgan Stanley Investment Management, which will manage 20 per cent of the portfolio.

AMP Capital retained Wellington Management, which manages 17 per cent of the portfolio.

The company also shifted the benchmark for the government strategies managed by Aviva Investors and Colchester to the Barclays Global Treasury Index Gross Domestic Product (GDP) Weighted by Country New Zealand Dollar Hedged.

"We view the GDP-weighted benchmark as an improvement over the capitalisation-weighted benchmarks with country weightings determined by 'income level' rather than the market capitalisation of debt outstanding," it said.

"In addition to seeking a benchmark that better reflects debt dynamics of developed sovereigns, we have explicitly sought managers whose processes focus on sovereign credit risk."

As a result of the changes, the funds target alpha has been lowered from 1.78 per cent a year to 1.05 per cent a year, while the tracking error target was reduced from 3.25 to 1.60.