Objectives and Investment Policy
The Fund aims to deliver income and the potential for capital growth on a rolling five-year basis, by investing predominantly in a diversified portfolio of UK and global bonds either directly or indirectly.
The Fund will typically invest at least 70% of the portfolio directly but at times, dependent on market conditions and the Investment Manager’s view of the market, the direct exposure may be higher or lower than 70% but is never expected to fall below 50%.
The Fund’s indirect investments will include other investment funds (which may include those that are managed or operated by the ACD or an associate of the ACD), to give further bonds exposure.
The Fund expects to invest conservatively, with 70% or more of the Fund invested in conventional gilts issued by the UK Government and index linked gilts.
The Fund may also hold other assets, including investment grade and/or sub-investment grade corporate bonds and cash.
Bonds are like loans that pay a fixed or variable rate of interest issued by governments, companies and other large organisations worldwide. Bonds are classified by rating agencies for their creditworthiness: those rated ‘Investment grade’ generally carry a relatively low risk of default but also tend to offer lower yields than ‘non-investment grade’ bonds which, in turn, generally have a higher risk of default but also tend to offer higher yields.
The Fund may only make use of derivatives, which are sophisticated instruments whose value is linked to the rise and fall of other assets, for the purposes of hedging and efficient portfolio management, with the aim of managing risk and cost.
The Fund is actively managed. This means the Investment Manager uses their expertise to pick investments to achieve the Fund’s objective.
You can buy and sell shares on any business day in London.
Recommendation: this Fund may not be appropriate for investors who plan to withdraw their money within 5 years.
For full investment objectives and policy details please refer to the Prospectus.
Price displayed in GBP pence.
Status of all data (unless otherwise stated): Thursday, 26 December 2024
