Vontobel Fund - TwentyFour Monument European Asset Backed Securities

Asset-Backed Securities
ISIN
LU1602255561
Valor
36484858
Sedol
BYVXB35
114.81
NAV
As at 5 Dec 2024
6.34%

Investment objective

This bond fund aims to provide an attractive level of income relative to prevailing interest rates, while maintaining a strong focus on capital preservation and respecting risk diversification.


Key features

The fund invests with a focus on Europe in fixed-income securities, particularly asset-backed securities, in various currencies of diverse issuers of good quality (at least low investment grade). The fund can use derivative financial instruments for hedging purposes.


Approach

The experienced and diverse investment team focuses initially on capital preservation, avoiding defaults and mitigating volatility, as well as accessing an attractive revenue stream on a risk-adjusted basis. The team drives this by a thorough analysis of fundamental credit risk as well as by the liquidity profile of each position and the relative value present in the portfolio compared to the market. The team extensively mitigates interest-rate and currency risks by investing solely in floating-rate bonds and hedging currency exposures.

A fund that invests across the full range of investment grade European ABS, using the natural advantages of the asset class and a vastly experienced team to target stable, attractive returns.

Why invest?

  • ABS normally offers a higher yield for a given rating or maturity than more mainstream investments such as government or corporate bonds
  • ABS are virtually all floating rate, meaning they are naturally expected to be far less volatile than fixed rate bonds in periods when interest rates are rising
  • Built-in investor protection features such as credit enhancement, loss-absorbing reserve funds and the legal separation of issuer and asset pool
  • High transparency with transaction reports detailed enough to view the performance of each individual loan in the asset pool, enabling investors to conduct their own research
  • ABS remains a largely under-researched and poorly understood asset class, meaning those that put in the effort and expertise can be rewarded with a complexity premium

Investment universe

The European ABS market is split broadly into four areas, though certain sub-sets of these sectors are considered important distinct products in their own right, such as Auto ABS and Credit Card ABS.

  • Residential Mortgage-Backed Securities (RMBS) are backed by pools of mortgage loans created by banks and other financial institutions. They represent the largest component of the European ABS market and are typically the most liquid
  • Consumer Receivables include a large variety of unsecured consumer debt types that have been securitized, including auto loans, credit card receivables and unsecured personal loans
  • Commercial Mortgage-Backed Securities (CMBS) are mortgage-backed securities backed by commercial rather than residential mortgages, using structures similar to other forms of ABS
  • Collateralized Loan Obligations (CLOs) are pools of corporate loans refinanced in a securitized structure, where pools can be static or actively managed by a specialist loan manager

Investment team

Insights

All data is as at 31 Oct 2024 unless otherwise indicated.

Fund performance

Cumulative performance

1M YTD 1Y 3 yrs p.a. 5 yrs p.a. Since Inception
I EUR 0.4% 5.8% 7.8% 3.1% 2.2% 14.3%

Performance for calendar years

2023 2022 2021 2020 2019 2018 2017 2016 2015 2014
I EUR 8.4% -4.5% 1.7% -0.1% 2.0% -1.1% NA NA NA NA

Portfolio characteristics

Portfolio
Volatility 2.8%
Sharpe Ratio 0.3
[3 years annualized]

All data is as at 5 Dec 2024 unless otherwise indicated.

Fund data
Portfolio Manager TwentyFour Asset Management LLP
Fund Domicile Luxembourg
Fund Currency EUR
Share Class Currency EUR
Risk Level 3.00 (7 Oct 2024)
Year End 31 August
Share Class Launch date 27 Jun 2017
Distribution Type Accumulating
Swing pricing Yes
SFDR Classification Article 8
Fund Registrations AT, CH, DE, ES, FI, FR, GB, IT, LI, LU, NL, NO, SE, SG
Share Class Registrations CH, DE, ES, FI, FR, GB, IT, LI, LU, NL, NO, SE, SG
Nav Information
Highest since launch 114.81
Lowest since launch 94.41
Fund size in mln. EUR 166.67
Share class size in mln. EUR 71.73
Fees And Expenses
Management fee 0.50%
TER* 0.64% (29 Feb 2024)
OCF 0.64% (29 Feb 2024)
Identifiers
ISIN LU1602255561
Valor 36484858
Bloomberg VONTFIE LX
SEDOL BYVXB35
WKN A2DTWS
Parties
Depository State Street Bank International GmbH (Luxembourg Branch)
Management Company Vontobel Asset Management SA, Luxembourg
Swiss Paying Agent Bank Vontobel AG
Swiss Representative Vontobel Fonds Services AG

Available Share Classes

Share class Currency ISIN Distrib. Type Launch date Management fee TER* OCF
A EUR LU1882612564 Distributing Retail 5 Nov 2018 1.00% 1.18% (29 Feb 2024) 1.18% (29 Feb 2024)
AHI (hedged) GBP LU2388185246 Distributing Institutional 6 Oct 2021 0.50% 0.70% (29 Feb 2024) 0.67% (7 Oct 2024)
AQHG (hedged) GBP LU2388185089 Distributing Institutional 6 Oct 2021 0.35% 0.55% (29 Feb 2024) 0.52% (7 Oct 2024)
AQHNG (hedged) GBP LU2388184868 Distributing Retail 6 Oct 2021 0.35% 0.59% (29 Feb 2024) 0.56% (7 Oct 2024)
HG (hedged) GBP LU2388185162 Accumulating Institutional 6 Oct 2021 0.35% 0.55% (29 Feb 2024) 0.52% (7 Oct 2024)
HI (hedged) USD LU1602256700 Accumulating Institutional 27 Jun 2017 0.50% 0.70% (29 Feb 2024) 0.67% (7 Oct 2024)
HI (hedged) CHF LU1602256296 Accumulating Institutional 27 Jun 2017 0.50% 0.70% (29 Feb 2024) 0.67% (7 Oct 2024)
HI (hedged) GBP LU2388185329 Accumulating Institutional 6 Oct 2021 0.50% 0.70% (29 Feb 2024) 0.67% (7 Oct 2024)
HN (hedged) GBP LU1882613372 Accumulating Retail 5 Nov 2018 0.50% 0.74% (29 Feb 2024) 0.71% (7 Oct 2024)
HN (hedged) CHF LU1882613299 Accumulating Retail 5 Nov 2018 0.50% 0.74% (29 Feb 2024) 0.71% (7 Oct 2024)
HNG (hedged) GBP LU2388184942 Accumulating Retail 6 Oct 2021 0.35% 0.59% (29 Feb 2024) 0.56% (7 Oct 2024)
I EUR LU1602255561 Accumulating Institutional 27 Jun 2017 0.50% 0.64% (29 Feb 2024) 0.64% (29 Feb 2024)
N EUR LU1882613026 Accumulating Retail 5 Nov 2018 0.50% 0.68% (29 Feb 2024) 0.68% (29 Feb 2024)

Subject to change, without notice, only the current prospectus or comparable document of the fund is legally binding.

* TER includes performance fee where applicable

All data is as at 31 Oct 2024 unless otherwise indicated.

Rating Structure

Regional Exposure

Major Sectors

Maturity Structure

Maturity Weighting
0 - 1 yr 4.3%
1 yr - 3 yr 47.5%
3 yr - 5 yr 30.4%
5 yr - 7 yr 10.8%
7 yr - 10 yr 2.8%
10 yr - 15 yr %
Cash & Equiv 4.2%

View all documents View latest documents

Document Date EN
Factsheets & Commentaries
Factsheet Oct 2024
Monthly Commentary Oct 2024
UCITS KIIDs
Key Investor Information Document (KIID) Oct 2024
Legal Documents
AGM EGM invitation Jan 2024
AGM EGM invitation Jan 2023
AGM EGM invitation Jan 2022
AGM EGM invitation May 2021
AGM EGM invitation Jan 2021
AGM EGM invitation Jan 2020
Articles of Association Apr 2016
Notification to Investors Dec 2024
Notification to Investors Oct 2024
Notification to Investors Sep 2024
Notification to Investors Jun 2024
Notification to Investors May 2023
Notification to Investors Dec 2022
Notification to Investors Nov 2022
Notification to Investors Jan 2022
Notification to Investors Sep 2021
Notification to Investors Jul 2021
Notification to Investors May 2021
Notification to Investors Mar 2021
Notification to Investors Feb 2021
Notification to Investors Nov 2019
Sales Prospectus Oct 2024
View more Legal Documents View less Legal Documents
Sustainability Related Disclosures
Periodic Disclosure Aug 2023
Pre-contractual Disclosure Jul 2024
Statement on principal adverse impacts of investment decisions on sustainability factors Jun 2024
Sustainability Related Disclosures Mar 2024
Financial Reports
Annual Distribution Nov 2024
Annual Report Aug 2023
Distribution Dates Jan 2024
Quarterly Distribution Sep 2024
Quarterly Distribution Jun 2024
Quarterly Distribution Mar 2024
Semi-Annual Report Feb 2024
Semi Annual Distribution Apr 2024
Semi Annual Distribution Apr 2023
UK Tax Reporting Aug 2023
UK Tax Reporting Aug 2022
View more Financial Reports View less Financial Reports
Dealing Information
Holiday Calendar 2024 Jan 2024
Holiday Calendar 2025 Nov 2024
Order Subscription Form Oct 2024
Insights
Solvency II and Asset Backed Securities Nov 2017
Policies
Sanctioned Countries Oct 2022
Shareclass Naming Convention Jan 2022

RISKS

Subject to change, without notice, only the current prospectus or comparable document of the fund is legally binding.

  • Limited participation in the potential of single securities

  • Success of single security analysis and active management cannot be guaranteed

  • It cannot be guaranteed that the investor will recover the capital invested

  • Derivatives entail risks relating to liquidity, leverage and credit fluctuations, illiquidity and volatility

  • Interest rates may vary, bonds suffer price declines on rising interest rates

  • Investments in foreign currencies are subject to currency fluctuations

  • The structure of ABS/MBS and the pools backing them might be intransparent which exposes the subfund to additional credit and prepayment risks (extension or contraction risks) depending on which tranche of ABS/MBS is purchased by the subfund

  • Information on how environmental and social objectives are achieved and how sustainability risks are managed in this Fund may be obtained from here.

  • The Sub-Fund’s investments may be subject to sustainability risks. The sustainability risks that the Sub-Fund may be subject to are likely to have an immaterial impact on the value of the Sub-Funds’ investments in the medium to long term due to the mitigating nature of the Sub-Fund’s ESG approach.
  • The Sub-Funds' performance may be positively or negatively affected by its sustainability strategy.
  • The ability to meet social or environmental objectives might be affected by incomplete or inaccurate data from third-party providers.

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