Vontobel Fund - TwentyFour Strategic Income Fund

Why invest?

• Targets attractive returns through consistent income and capital gain opportunities
• The Fund’s flexibility allows the managers to tactically shift portfolio weightings, helping them to capture relative value opportunities as economic and market conditions change
• We look to add value through both ‘bottom-up’ stock selection as well as ‘top-down’ macro calls – important amid an aging credit cycle and uncertainty around global monetary policy
• The transparent and easy to understand design of the Fund has made it “bond like” in behavior and gives confidence in anticipated performance
• Strong focus on the unwritten rule of fixed income, capital preservation at all times

Investment universe

• The Strategic Income Fund is unconstrained by reach – our team has the mandate and the skills to look across global fixed income markets for the best risk-adjusted return opportunities
• The Fund is constrained by risk control, giving investors confidence in the Fund’s ability to deliver stable returns throughout the cycle
• Within these risk parameters the managers’ approach is nimble with high conviction, ensuring emerging themes and ideas can be quickly reflected in the portfolio
• We hunt down relative value between securities, sectors and geographies, and place a high importance on stock selection as well as top-down asset allocation
• We insist on meeting the management of every issuer whose bonds we buy, and our forensic bottom-up research means we are typically happy to hold every investment to maturity
• Selective use of strategic hedges can be used to respond to changing market conditions and calibrate key risks such as interest rate and credit duration

Investment team

From the beginning we built our team of investment professionals to reflect the structure of today’s fixed income market. From structuring and ratings specialists to trading and investment banking, we have people who know the bond markets inside out. Our team is deliberately drawn from a diverse range of nationalities and cultures. This is how we look to escape the echo chamber, using diverse insights from people who are not having the same conversations and reading the same press.