Ninety One Diversified Income A

  • 76.25p
    Price (Inc)

    These are the shares in the fund that pay out an income to clients. The income is made up of the total dividends – the money a company can pay out to its investors – from the companies in the fund.

  • 328.31p
    Price (Acc)

    These are the shares in the fund that don’t pay out an income to clients. Any dividends – the money a company can pay out to its investors – are reinvested into companies in the fund. Despite no income, the shares should be worth more over time. Good incentive, eh?

  • 0.00%

    Initial charge

    Some funds charge you when you first invest, which is aptly known as the initial charge. They’re usually between 3-5% but at Bestinvest, we usually don’t charge you a penny!

  • 1.25%
    Annual management charge

    This is how much the fund management company charges to run the fund. It’s like paying a babysitter, dog sitter or house sitter (that makes well-informed, heavily researched changes to improve your baby/dog/house when needed).

  • 1.35%
    Ongoing charges

    This stands for Ongoing Charges Figure. It’s the cost of running a fund and includes admin fees, manager fees, administration costs, etc.

  • 3.80%
    Yield

    How much the fund is currently paying out in income to investors. It’s NOT to be confused with the overall growth of a fund – a very different thing indeed. It’s also NOT a guarantee of future pay-outs, just a snapshot. This is more what it’s not than what it is…

Prices as at 27 November 2020, fund data last updated 27 August 2020

This is a conservatively structured, income-orientated, multi-asset mandate, targeting bond- like volatility with a view to limiting downside risks. The fund seeks to generate total returns primarily from income, whilst aiming for capital stability over rolling three-year periods. It currently targets a 4% yield, but this is not guaranteed and can vary if the managers believe capital stability might be compromised. The managers primarily invest long-only in a combination of global equities and bonds, with some property/infrastructure exposure, using security selection / asset mix to deliver the targeted return profile. As an additional line of defence, tactical hedges may be employed as a risk-mitigation measure.

Fund summary

Sector Mixed Investment 0-35% Shares
Structure OEIC
Launched
Size £1,380m
Yield 3.80%
Charging basis Capital
Dividends paid Monthly

Charges

Standard initial charge 0.00%
Initial charge via Bestinvest 0.00%
Annual management charge 1.25%
Ongoing charges figure 1.35%

Allocation

Proportion (%)

  • {{chartDataItem.text}}
    {{chartDataItem.value}}

Allocation

Proportion (%)

  • {{chartDataItem.text}}
    {{chartDataItem.value}}

Allocation

Proportion (%)

  • {{chartDataItem.text}}
    {{chartDataItem.value}}

Investment process

The fund’s defensive attributes are arrived at by identifying individual securities (equity or fixed income) that offer sustainable income and capital stability. These are combined to give the optimal blend of growth versus defensive assets, with a view to offering structural diversification and achieving the same income sustainability / capital stability outcome. The investment universe includes blue chip global equities, developed and emerging market sovereign bonds, Investment grade and high yield credit, REITS, infrastructure and currencies. Portfolio risk is defined through exposure limits to the various asset classes and a realised volatility of less than 50% of equities. Derivatives tend to be used relatively sparingly, in the main, they include the opportunistic use of equity index futures for protection, bond futures to manage duration risk and currency forwards as part of the currency hedge programme. Whilst the default position is to hedge currency risk to sterling, active currency positions can be taken.

The fund sits in the IA Mixed Investment 0-35% shares category, but we believe it also offers many of the attributes of an absolute return structure, historically offering lower volatility combined with an attractive income. This product has the advantage of structural simplicity and competitive pricing, led and supported by a well-resourced and dedicated multi-asset team. The managers can also draw on the broader specialist capabilities at Ninety One in global / regional equity, sovereigns, credit and emerging market debt.

Manager research

Average monthly relative returns

  • 15/16 0.00%
  • 16/17 0.00%
  • 17/18 0.00%
  • 18/19 0.00%
  • 19/20 0.00%

Bestinvest MRI

  • 3 years 0.00%
  • 5 years 0.00%
  • Career 0.00%
  • 3 years 0.00%
  • 5 years 0.00%
  • Career 0.00%

Performance figures are based on the average of monthly percentage returns relative to the benchmark index.

Track record

Periods of worst performance

Absolute 0.00% ()
Relative 0.00% ()

About the MRI

Our unique indicator: the Bestinvest Manager Record Index (MRI) measures the likelihood that the fund manager is adding value through their decisions. It is based on their performance record over the course of their career, adjusted for the amount of risk taken. MRI is an important contributor to our fund rating system but it is also vital to take account of qualitative factors. It is also very important to select funds to form a cohesive portfolio with an appropriate overall risk level.

Allocation

Proportion (%)

  • {{chartDataItem.text}}
    {{chartDataItem.value}}

Allocation

Proportion (%)

  • {{chartDataItem.text}}
    {{chartDataItem.value}}

Allocation

Proportion (%)

  • {{chartDataItem.text}}
    {{chartDataItem.value}}

Sector breakdown

Equities 29.00%
Investment Grade Corporate Bonds 20.00%
Debt 19.00%
Government Bonds 13.00%
High Yield Bond 9.00%
Foreign Exchange 3.00%
Money Market 2.00%
Property 2.00%
Infrastructure 1.00%
Debt 1.00%

Portfolio

The vast majority of portfolio exposures are achieved through direct investment in cash securities and derivatives, as opposed to investing via funds.

Key Investor Information - Income

Download

Key Investor Information - Accumulation

Download