Bestinvest says
Managed from the US by Standish, part of the Mellon Group, the fund offers truly global exposure across international fixed income markets. Standish is a top quality US based fixed interest manager. Whilst the fund falls into the IMA Strategic Bond peer group it is one of the more defensive funds available in the sector from a credit quality perspective although it does retain some sensitivity to interest rate moves.
The fund will seek to maximise total returns by investing globally across the fixed income universe. Unlike a number of competing funds in the peer group, Standish has the resources and experience to invest on a truly global basis, at anyone time a large proportion of the fund is likely to be invested in US listed fixed income securities hedged to sterling. The manager will aim to increase or decrease the credit and interest rate risk within the portfolio according to his interpretation of the economic cycle. Risk within the portfolio is measured by reference to tracking error relative to its reference BARCAP benchmark, this will tend to be between 0.75-3%. Interest rate risk is usually managed to within a 2 yrs of the reference benchmark.