Edmond de Rothschild Fund Bond Allocation

Which bond strategy in today’s environment?

Which bond strategy in today’s environment?

In an environment still influenced by low interest rates, political uncertainty and lack of predictability for risky asset classes, investors are wondering how to manage their bond assets. What segments should be prioritised in the hunt for yield? What risks should be hedged? What geographic locations offer the best risk/reward ratio?

Edmond de Rothschild Fund Bond Allocation

  • A bond allocation fund

    ​Edmond de Rothschild Fund Bond Allocation is an actively managed and flexible fund across the bond market's various segments and provides a broad choice of bond asset classes and active management of modified duration by fixed-income experts.

  • Doubly flexible

    ​​This fund is doubly flexible as it has broad investment limits on the various segments of the international bond market. The fund also takes a flexible approach to modified duration, which is managed within a -2 to +8 range to help mitigate losses during periods when rates are rising, while allowing the fund to benefit from more favourable periods.

  • A vast choice of investments

    ​​The fund can invest in the main bond segments: government bonds, corporate debt (Investment Grade or High Yield), financial bonds, inflation-linked bonds or emerging market debt. Such a vast choice of market segments gives the fund a variety of opportunities throughout an economic cycle.

Key figures

  • +6.5% performance in 2016
  • +4.9% annualised performance
    since the introduction
    of the new strategy
  • + €650m in assets under management
  • 4.3% volatility over 3 years
/
Past performance is not a reliable indication of future performance.
Source: Edmond de Rothschild Asset Management (France). Performance data at 31/10/2016 for the fund’s AE share. Five-year performance to date: +24.72% (annualised: +4.51%). Assets under management at 31/10/2016: €691 million.

Key points

  • Active and flexible allocation across the bond market’s various segments
  • A broad choice of bond asset classes and strategies
  • Active management of sensitivity within a [-2+8] spread
  • The combined know-how of all of Edmond de Rothschild Asset Management’s bond experts
  • The fund is subject to capital loss risk
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Contact us

Edmond de Rothschild Asset Management (Luxembourg)
20 Boulevard Emmanuel Servais
L-2535 Luxembourg
Luxembourg


+352 24 88 1
Edmond de Rothschild Fund Bond Allocation is a sub fund of the Luxembourg regulated SICAV which is approved by the CSSF and approved for marketing in France and Luxembourg.

The subfund is classified in category 3 in line with the nature of securities and geographical zones in the “objectives and investment policy” section of the key investor information document (KIID).
Principal investment risks
: capital loss risk, credit risk, credit risk from investing in speculative securities, interest rate risk, risks from emerging market investments, risk from participation in financial contracts and counterparty risk.

The investment process described in this document includes a series of internal investment constraints set up by the portfolio management team. This describes the process as it stands today, nevertheless it may change over time.

November 2016. Non-binding document. This document is for information only.

Disclaimer: The data, comments and analysis in this document reflect the opinion of Edmond de Rothschild Asset Management (France) and its affiliates with respect to the markets and their trends, their regulation and tax treatment, on the basis of its own expertise, economic analysis and information currently known to it. However, they shall not under any circumstances be construed as comprising any sort of undertaking or guarantee whatsoever on the part of Edmond de Rothschild Asset Management (France). Potential investors should consult their service provider or advisor and exercise their own judgement independently of Edmond de Rothschild Asset Management (France) on the risks inherent to each investment and its suitability to their own personal and financial circumstances. To this end, investors must acquaint themselves with the key investor information document (KIID) that is provided before any subscription and available at http://funds.edram.com or free of charge on request from the head offices of Edmond de Rothschild Asset Management (France) and Edmond de Rothschild Asset Management (Luxembourg).


Global Distributor: EDMOND DE ROTHSCHILD ASSET MANAGEMENT (FRANCE)
47, rue du Faubourg Saint-Honoré, 75401 Paris Cedex 08
Société anonyme governed by an executive board and a supervisory board with capital of 11,033,769 euros
Numéro d’agrément AMF GP 04000015 - 332.652.536 R.C.S. Paris
Société de gestion : EDMOND DE ROTHSCHILD ASSET MANAGEMENT (LUXEMBOURG)
16, Boulevard Emmanuel Servais, L – 2535 Luxembourg
Sub Investment Manager: EDMOND DE ROTHSCHILD ASSET MANAGEMENT (FRANCE)
47, rue du Faubourg Saint-Honoré, 75401 Paris Cedex 08.