Bestinvest says
The fund has quickly established itself as an investor favourite following on from strong performance during the credit crisis and the ensuing period. Relative to IMA Strategic Bond peer group funds the manager is more at home employing derivative instruments to manage risk and generate return. There is no yield target, so this fund may not be suitable for investors who have income as a priority.
The fund's objective is to achieve a total return by investing principally in a range of fixed and variable rate income securities. It has an unconstrained approach to asset allocation and invests in investment grade and sub-investment grade securities with a credit rating.
A significant proportion of the Trust’s exposure to non-Sterling denominated holdings will be hedged.
While the fund will seek to invest principally in income securities, it may also invest in any or all of the following: collective investment schemes, equities, derivatives (including credit default swaps and other OTC instruments), other transferable securities, money market instruments/cash, near cash and deposits. At times, the fund may invest in cash, near cash and/or deposits up to 100%.