RATHBONE HIGH QUALITY BOND I

The objective of the fund is to preserve capital and pay an income by delivering a greater total return than the Bank of England’s Base Rate + 0.5%, after fees, over any rolling three-year period. The managers use the Bank of England’s Base Rate + 0.5% as a target for the fund’s return because the manager aim to provide a return in excess of what would receive in a UK savings account. This is an investment product, not a cash savings account. To meet the objective, the fund manager will invest at least 80% of the fund in government and corporate bonds with high credit ratings (AAA to A-). The remaining 20% of the fund is invested in investment grade government and corporate bonds with lower credit ratings (BBB+ to BBB-) or bonds with no rating at all. Up to 10% of the fund can be invested directly in contingent convertible bonds. If a bond’s rating falls below BBB-, otherwise known as high yield, the fund manager will sell it within six months.