Vontobel Fund - TwentyFour Monument European Asset Backed Securities

Asset-Backed Securities
ISIN
LU2388185162
Valor
113724426
Sedol
BKP54Z2
110.94
NAV
As at 16 May 2024
3.92%

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 16 May 2024 unless otherwise indicated.

Fund data
Portfolio Manager TwentyFour Asset Management LLP
Fund Domicile Luxembourg
Fund Currency EUR
Share Class Currency GBP
Year End 31 August
Share Class Launch date 6 Oct 2021
Distribution Type Accum
Swing pricing Yes
Minimum investment 50,000,000.00
SFDR Classification Article 8
Fund Registrations AT, CH, DE, ES, FI, FR, GB, IT, LI, LU, NL, NO, SE, SG
Share Class Registrations GB, LU, SG
Nav Information
Highest since launch 110.62
Lowest since launch 94.58
Fund size in mln. EUR 135.76
Share class size in mln. GBP 14.80
Fees And Expenses
Management fee 0.35%
TER* 0.55% (29 Feb 2024)
OCF 0.55% (31 Aug 2023)
Identifiers
ISIN LU2388185162
Valor 113724426
Bloomberg VOABSHG LX
SEDOL BKP54Z2
WKN A3C396
Parties
Depository CACEIS 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 OCF OCF Date
A EUR LU1882612564 Dist Retail 5 Nov 2018 1.00% 1.18% 29 Feb 2024 1.18% 31 Aug 2023
AHI (hedged) GBP LU2388185246 Dist Institutional 6 Oct 2021 0.50% 0.70% 29 Feb 2024 0.70% 31 Aug 2023
AQHG (hedged) GBP LU2388185089 Dist Institutional 6 Oct 2021 0.35% 0.55% 29 Feb 2024 0.55% 31 Aug 2023
AQHNG (hedged) GBP LU2388184868 Dist Retail 6 Oct 2021 0.35% 0.59% 29 Feb 2024 0.59% 31 Aug 2023
HG (hedged) GBP LU2388185162 Accum Institutional 6 Oct 2021 0.35% 0.55% 29 Feb 2024 0.55% 31 Aug 2023
HI (hedged) USD LU1602256700 Accum Institutional 27 Jun 2017 0.50% 0.70% 29 Feb 2024 0.70% 31 Aug 2023
HI (hedged) GBP LU2388185329 Accum Institutional 6 Oct 2021 0.50% 0.70% 29 Feb 2024 0.70% 31 Aug 2023
HI (hedged) CHF LU1602256296 Accum Institutional 27 Jun 2017 0.50% 0.70% 29 Feb 2024 0.70% 31 Aug 2023
HN (hedged) GBP LU1882613372 Accum Retail 5 Nov 2018 0.50% 0.74% 29 Feb 2024 0.74% 31 Aug 2023
HN (hedged) CHF LU1882613299 Accum Retail 5 Nov 2018 0.50% 0.74% 29 Feb 2024 0.74% 31 Aug 2023
HNG (hedged) GBP LU2388184942 Accum Retail 6 Oct 2021 0.35% 0.59% 29 Feb 2024 0.59% 31 Aug 2023
I EUR LU1602255561 Accum Institutional 27 Jun 2017 0.50% 0.64% 29 Feb 2024 0.64% 31 Aug 2023
N EUR LU1882613026 Accum Retail 5 Nov 2018 0.50% 0.68% 29 Feb 2024 0.68% 31 Aug 2023

* TER includes performance fee where applicable

View all documents View latest documents

Document Date EN
Factsheets & Commentaries
Exposure to Middle East Apr 2024
Factsheet Apr 2024
Monthly Commentary Apr 2024
UCITS KIIDs
Key Investor Information Document (KIID) Jan 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 2023
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 Jan 2024
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Sustainability Related Disclosures
Periodic Disclosure Aug 2023
Pre-contractual Disclosure Jan 2024
Statement on principal adverse impacts of investment decisions on sustainability factors Jun 2023
Sustainability Related Disclosures Mar 2024
Financial Reports
Annual Distribution Nov 2023
Annual Report Aug 2023
Distribution Dates Jan 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
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Dealing Information
Holiday Calendar 2024 Jan 2024
Order Subscription Form Jan 2020
Insights
Solvency II and Asset Backed Securities Nov 2017
Policies
Sanctioned Countries Oct 2022
Shareclass Naming Convention Jan 2022