Premier Corporate Bond Monthly Income A

Investment grade bond fund also investing in convertibles and preference shares.

  • 79.47p
    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.

  • -
    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?

  • 4.00% 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!

  • 1.00%
    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).

  • 1.37%
    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.

  • 2.00%
    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 21 February 2020, fund data last updated 28 November 2003

Fund summary

Sector £ Corporate Bond
Structure OEIC
Launched November, 1995
Size £47m
Yield 2.00%
Charging basis Capital
Dividends paid Last day of each month

Charges

Standard initial charge 4.00%
Initial charge via Bestinvest 0.00%
Additional bid/offer spread 0.00%
Annual management charge 1.00%
Ongoing charges figure 1.37%

Allocation

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Investment process

The fund's aim is to provide a high income payable in monthly instalments. The Fund's investment policy is to use a relatively low risk strategy by investing predominantly in corporate bonds, debentures, convertibles, preference shares and fixed and variable rate securities.

Manager research

Average monthly relative returns

  • 15/16 0.26%
  • 16/17 -0.17%
  • 17/18 -0.14%
  • 18/19 -0.23%
  • 19/20 0.00%

Bestinvest MRI

  • 3 years 0.00%
  • 5 years 0.00%
  • Career -0.23%
  • 3 years 0.00%
  • 5 years 0.00%
  • Career 35.90%

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

Paul Smith

Smith manages Fixed Income securities at Premier. His current responsibilities include the management of the Zero Preference Growth Trust and the Premier High Income Bond, as well as reverse convertible and traditional fixed income sub-funds of investment trusts, such as the Bond portfolio of Premier Asian Assets Trust and the Income portfolio of Acorn Income Fund. Paul also manages various private client portfolios. Prior to joining Premier, he was responsible for Fixed Income securities at BFS Investments plc which he joined after obtaining a 1st class BA (Hons) degree in Economics and an MA in Finance and Investment (with distinction) from Exeter University

Track record

Paul Smith has 11.3 years experience of managing mutual funds in this sector. Over this period the average monthly return relative to the benchmark index has been -0.23%. During the worst period of relative performance (from May 2007 - March 2009) there was a decline of 38% relative to the index. The worst absolute loss has been 26%.

Periods of worst performance

Absolute -26.00% (October 2007 - March 2009)
Relative -38.00% (May 2007 - March 2009)

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

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Top 10 holdings

Data accurate as at 29 November 2019

2.5399% Santander Uk Group Hldgs Plc 3.625% Snr Nts 14/01/26 Gbp100000
2.5069% Aspire Defence Finance 4.674% Ser`B`Gtd Sec Bd 31/3/40 Gbp50000
2.1453% South Eastern Power Networks Plc Idx Lkd Fxd Rte Nts 5/6/23 Gbp(Var)
2.1173% Citigroup Inc 1.75% Bds 23/10/26 Gbp100000
2.08% Pershing Square Hldgs Ltd 5.5% Bds 15/07/22 Usd250000
1.9999% Credit Suisse Grp Funding Guernsey 2.75% Mtn 08/08/25 Gbp100000
1.9282% Phoenix Group Hldgs Plc 6.625% Gtd Sub Nts 18/12/25 Gbp100000
1.9003% Burford Capital Plc 6.5% Gtd Bds 19/08/22 Gbp100
1.7426% National Grid 1.25% Rpi Lkd Bds 06/10/21 Gbp100 56
1.716% Hsbc Hldgs Plc 2.175% Nts 27/06/23 Gbp100000
Source: Trustnet

Sector breakdown

Investment Grade Bonds 88.00%
Non-Rated Non Investment Grade Bonds 7.00%
Non-Rated 5.00%

Key Investor Information

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