Flexible Bonds

Vontobel Fund - TwentyFour Strategic Income Fund

ISIN
LU1695535135
Valor
38576584

Investment objective

This bond fund aims to achieve an attractive level of income and capital growth over a full economic cycle, while respecting risk diversification.


Key features

The fund invests worldwide in a variety of government bonds, supranational bonds, investment-grade and high-yield corporate bonds, emerging market bonds, contingent convertible bonds, and asset-backed securities, denominated in various currencies. At the point of purchase, exchange rate risks against the fund currency are fully hedged. The fund can use derivative financial instruments for hedging purposes.


Approach

The experienced investment team takes a high-conviction approach to finding the best relative-value opportunities available in the investment universe, based on rigorous macro-economic and technical analyses combined with detailed credit analysis. Striving to benefit throughout the credit cycle from both rising and declining rate environments, the team flexibly allocates interest-rate and credit risks in line with their continuous assessment of market conditions and future developments. They also use interest-rate and credit derivatives to either optimize or reduce exposures.

119.82
NAV
1.16%
Performance YTD
4 stars
As at 7 Dec 2021 As of 31 Oct 2021

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

An actively managed, long only bond fund with a fully flexible approach which seeks value across the global bond universe.

Fund characteristics

  • A genuinely unconstrained bond fund, managed independent of market indices, seeking to combine the best sources of fixed income from around the globe in one portfolio
  • Flexible approach to managing key risks such as interest rate and credit risk, better enabling the Fund to react to all market conditions
  • Ability to reduce risk through a broad armory of hedging tools
  • Looks to move into sectors, geographies and products that are supported by economic fundamentals as well as market technicals, liquidity and sentiment
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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. 

Insights

All data is as at 29 Oct 2021 unless otherwise indicated.

Fund performance

Cumulative performance

1M YTD 3 yrs p.a. Since Inception
H (hedged) USD -0.8% 1.5% 6.0% 20.2%

Performance for 12 month periods

1 Nov 2016 - 29 Oct 2017 1 Nov 2017 - 29 Oct 2018 1 Nov 2018 - 29 Oct 2019 1 Nov 2019 - 29 Oct 2020 1 Nov 2020 - 29 Oct 2021
H (hedged) USD NA 0.0% 7.5% 4.3% 6.2%

Performance for calendar years

Volatility & risk

Portfolio
Volatility 7.1%
Sharpe Ratio 0.7
Interest rate duration 3.5
Credit duration 3.8
Expected annual yield 4.4%
Average Rating BB+
Number of positions 429.0
[1 year]

All data is as at 7 Dec 2021 unless otherwise indicated.

Fund data
Portfolio Manager TwentyFour Asset Management LLP
Fund Domicile Luxembourg
Fund Currency GBP
Share Class Currency USD
End of fiscal year 31 August
Share Class Launch date 10 Oct 2017
Distribution type Accum
SFDR Classification Article 8
Fund Registrations AT, CH, DE, ES, FI, FR, GB, IE, IT, LI, LU, NL, NO, PT, SE, SG
Share Class Registrations AT, CH, DE, ES, FI, FR, GB, IT, LU, NO, SE, SG
Nav Information
Highest since launch 121.99
Lowest since launch 96.38
Fund size in mln. GBP 5,853.48
Share class size in mln. USD 447.95
Fees And Expenses
Management fee 1.20%
TER* 1.40% (28 Feb 2021)
Identifiers
ISIN LU1695535135
Valor 38576584
Bloomberg VO24SHH LX
WKN A2H5LT
Parties
Depository RBC Investor Services Bank S.A.
Management Company Vontobel Asset Management S.A.
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* TER Date
AH (hedged) USD LU1380459609 Dist Retail 23 Mar 2016 1.20% 1.40% 28 Feb 2021
AH (hedged) EUR LU1380459518 Dist Retail 23 Mar 2016 1.20% 1.40% 28 Feb 2021
AHN (hedged) CHF LU1683482407 Dist Retail 4 Oct 2017 0.60% 0.80% 28 Feb 2021
AHN (hedged) EUR LU1734078311 Dist Retail 11 Dec 2017 0.60% 0.80% 28 Feb 2021
AQ GBP LU1695534591 Dist Retail 10 Oct 2017 1.20% 1.34% 28 Feb 2021
AQG GBP LU1322872018 Dist Institutional 30 Nov 2015 0.45% 0.55% 28 Feb 2021
AQH (hedged) Gross EUR LU1695534757 Dist Retail 10 Oct 2017 1.20% 1.40% 28 Feb 2021
AQH (hedged) Gross USD LU1695534674 Dist Retail 10 Oct 2017 1.20% 1.40% 28 Feb 2021
AQHG (hedged) EUR LU1816229899 Dist Institutional 18 May 2018 0.45% 0.61% 28 Feb 2021
AQHG (hedged) USD LU1816230046 Dist Institutional 18 May 2018 0.45% 0.61% 28 Feb 2021
AQHI (hedged) USD LU1331792082 Dist Institutional 18 Dec 2015 0.60% 0.76% 28 Feb 2021
AQHN (hedged) EUR LU1325135033 Dist Retail 30 Nov 2015 0.60% 0.80% 28 Feb 2021
AQHNG (hedged) EUR LU1325134226 Dist Retail 30 Nov 2015 0.45% 0.65% 28 Feb 2021
AQHNG (hedged) USD LU1451580523 Dist Retail 22 Jul 2016 0.45% 0.65% 28 Feb 2021
AQN GBP LU1322871630 Dist Retail 30 Nov 2015 0.60% 0.74% 28 Feb 2021
AQNG GBP LU1695534328 Dist Retail 10 Oct 2017 0.45% 0.59% 28 Feb 2021
G GBP LU1322871713 Accum Institutional 30 Nov 2015 0.45% 0.55% 28 Feb 2021
H (hedged) EUR LU1551754515 Accum Retail 31 Jan 2017 1.20% 1.40% 28 Feb 2021
H (hedged) USD LU1695535135 Accum Retail 10 Oct 2017 1.20% 1.40% 28 Feb 2021
HG (hedged) USD LU1717117896 Accum Institutional 10 Nov 2017 0.45% 0.61% 28 Feb 2021
HG (hedged) EUR LU1717117623 Accum Institutional 10 Nov 2017 0.45% 0.61% 28 Feb 2021
HI (hedged) USD LU1325144027 Accum Institutional 30 Nov 2015 0.60% 0.76% 28 Feb 2021
HI (hedged) EUR LU1325141510 Accum Institutional 30 Nov 2015 0.60% 0.76% 28 Feb 2021
HN (hedged) USD LU1767066431 Accum Retail 9 Feb 2018 0.60% 0.80% 28 Feb 2021
HNG (hedged) EUR LU1325133921 Accum Retail 30 Nov 2015 0.45% 0.65% 28 Feb 2021
HNG (hedged) USD LU1695535051 Accum Retail 10 Oct 2017 0.45% 0.65% 28 Feb 2021
I GBP LU1322871390 Accum Institutional 30 Nov 2015 0.60% 0.70% 28 Feb 2021
N GBP LU1322871556 Accum Retail 30 Nov 2015 0.60% 0.74% 28 Feb 2021
NG GBP LU1322871986 Accum Retail 30 Nov 2015 0.45% 0.59% 28 Feb 2021

* TER includes performance fee where applicable

All data is as at 29 Oct 2021 unless otherwise indicated.

Regional Exposure

View all documents View latest documents

Document Date EN
Factsheets & Commentaries
Factsheet Oct 2021
Monthly Commentary Oct 2021
Brochures
Product Flyer Mar 2021
KIIDs
KIID Sep 2021
Legal Documents
AGM EGM invitation May 2021
AGM EGM invitation Jan 2021
AGM EGM invitation Jan 2020
Articles of Association Apr 2016
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 Sep 2021
View more Legal Documents View less Legal Documents
Financial Reports
Annual Distribution Nov 2021
Annual Report Aug 2020
Quarterly Distribution Sep 2021
Semi-Annual Report Feb 2021
UK Tax Reporting Aug 2020
Dealing Information
Holiday Calendar 2021 Jan 2021
Holiday Calendar 2022 Jan 2022
Order Subscription Form Jan 2020
Policies
Sanctioned Countries Sep 2016
Shareclass Naming Convention Jun 2021