Fidelity announced the launch of a new bond fund available through advisors only on Monday. The Advisor Ultra-Short Bond Fund targets "relatively conservative" investors.

A spokesperson did not immediately return a call seeking comment.

Andrew Dudley, currently manager of Fidelity's Short-Term Bond Fund and Short-Fixed Income Fund, will manage the new fund. Fidelity's retail version of the fund, called Ultra-Short Bond Fund, was opened in August 2002 and had $483 million in assets at the end of May.

"We believe [the fund] will appeal to advisors with…who are willing to take on more risk than a money market fund, but want to minimize share-price volatility that may accompany longer term bond funds...[a]s such, the fund may be appropriate for an investor who has at least a six-month investment horizon," said Marty Willis, executive vice president, Fidelity Investment Institutional Services Company.

Fidelity's fixed-income team of 150 managed $401.3 billion in assets at the end of May.  

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