Bestinvest says
This fund is essentially the offshore variant of the onshore Kames Strategic Bond fund. This fund will generally maintain a slightly longer duration than its onshore equivalent reflecting peer group characteristics. Kames offer a strong suite of fixed income products; this is essentially their best ideas fund. Relative to other peer group funds this is a more focused offering.
The fund invests in global debt instruments, primarily publicly traded bonds, denominated in dollars, sterling or euros. The fund will consist of high conviction ideas with positions in individual issuers averaging between 2-2.5% for investment grade and 1-1.25% for higher yield corporate bonds. To determine the top down construction of the fund the managers draw on the views of Kames' international bond departments via a formal monthly asset allocation meeting. Individual securities are taken from a template of best ideas submitted by the head of the respective fixed income assets classes. The portfolio will not contain any significant active currency positions and although the fund has the ability to use interest rate and credit default swaps these will not dominate the portfolio. The average duration of this fund will normally vary within a zero to ten year time frame based on current interest rates alongside the government and corporate bond yield view. The fund will generally maintain a slight longer duration than its onshore equivalent reflecting peer group characteristics.