Senior Fund Manager, Fixed Income
The Fund aims to provide an income and the potential for capital growth, over any five-year period, after all costs and charges have been taken. The Fund’s comparator benchmark is the Markit iBoxx GBP Corporate Bond Index.
LF Canlife Corporate Bond Fund:
For further details on the objective and investment policy, visit the Literature section to view fund KIIDS and Prospectus.
How the Fund is managed:
We seek to invest in corporate bonds that look attractive from a risk/return perspective and which are capable of delivering attractive yields to investors. As a result, the Fund looks to provide investors with an income, through investment in companies that we believe offer the best long-term value.
A focus on fundamentals
Particular attention is devoted to corporate dynamics and strategy, balance sheet strength, liquidity, leverage and management quality. Our team favours issuers displaying a number of different characteristics – including solid profitable businesses with long track records, limited ratings downsides, positive cash flows, low debt levels, clear disclosures and bonds offering structural seniority.
The Fund is actively managed, well diversified and aims to offer a lower volatility and drawdown profile relative to the benchmark. The Fund may not be appropriate for investors who plan to withdraw their money within five years.
We have a significant credit research team and a long heritage in fixed income investing, with a focus on strong credits, diversification and capital protection.
Fixed income investors may be missing a trick by only allocating to hedged global fixed income products.
A sharp rise in yields has been painful for bond investors but better times lie ahead. We expect rates to peak and the euro to strengthen later this year, opening up some interesting opportunities for global bond investors.