The Futuregrowth Core Bond Composite aims to deliver excess return through a combination of interest bearing asset allocation, active interest rate risk management, appropriate yield curve positioning and moderate exposure to higher yielding non-government fixed rate bonds.
For more information on this fund, please email fundinfo@futuregrowth.co.za
The benchmark is the All Bond Index.
OBJECTIVE
The Composite seeks to outperform the ALBI by 1% over a rolling 3-year period.
COMPOSITION
The Composite invests in a wide range of RSA government, state owned enterprise and corporate bonds (subject to credit committee approval). The Composite invests at least 50% in bonds with an effective government guarantee and can invest across the full spectrum of the yield curve. It is also mandated to invest in inflation-linked bonds up to a maximum limit of 7.5%.
YIELD ENHANCED STRATEGY
Our yield enhanced strategy relies on maintaining strong relationships with market players. This allows us to see a large degree of dealflow on a continuous basis and keep an eye on ever-evolving credit events in the market. In the unlisted space, our specialist structuring skills allow us to make loans that ensure lenders achieve the greatest degree of investor protection through loan terms, covenants and security while ensuring risk-adjusted returns with good diversification.
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