For financial professionals in the UK

Absolute Return Fund

An equity fund designed to target positive (‘absolute’) returns in all market conditions with lower volatility than the stock market.

ISIN
GB00B5KKCX12

NAV
GBP 187.70p
As of 27/09/2023

1-Day Change
GBP -0.10p (-0.05%)
 As of 27/09/2023

Morningstar Medalist Rating ™

Bronze Morningstar Analyst Rating
As of 13/06/2023

Overview

Quarterly Update

Watch the investment team recap this quarter.

(Note: Filmed in July 2023).

INVESTMENT OBJECTIVE

The Fund aims to provide a positive (absolute) return, regardless of market conditions, over any 12 month period. A positive return is not guaranteed over this or any other time period, and particularly over the shorter term the Fund may experience periods of negative returns. Consequently your capital is at risk.
Performance target: To outperform the UK Base Interest Rate, after the deduction of charges, over any 3 year period.

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The Fund invests in shares and makes extensive use of derivatives (complex financial instruments) to take both ‘long’ and ‘short’ positions in companies the Investment Advisor believes will either rise in value (long positions) or fall in value (short positions) meaning that the Fund may benefit from either scenario.
The Fund will hold a significant proportion of its assets in cash and money market instruments as a result of holding derivatives and for when the Investment Advisor wishes to take a defensive stance. Conversely, the Fund may also employ ‘leverage’ (so that the Fund can invest a greater amount than its actual value) when the Investment Advisor has greater confidence in the opportunities available.
Typically, at least 60% of the exposure to the long and short positions (in aggregate) will be to companies of any size, in any industry, in the UK. Companies may be incorporated or headquartered in the UK, deriving significant revenue from the UK, or constituents of the FTSE All Share Index. Up to 40% of the long and short exposure may be to non-UK companies.
The Fund may also hold other assets including Collective Investment Schemes (including those managed by Janus Henderson).
The Investment Advisor may also use derivatives (complex financial instruments) to reduce risk or to manage the Fund more efficiently.

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The value of an investment and the income from it can fall as well as rise as a result of market and currency fluctuations and you may not get back the amount originally invested.
Potential investors must read the prospectus, and where relevant, the key investor information document before investing.
This website is a Marketing Communication and does not qualify as an investment recommendation.

ABOUT THIS FUND

  • Targets absolute returns regardless of market direction with carefully monitored exposure to the stock market.
  • Experienced team with time-tested approach through market cycles; supported by the wider Pan-European equities team.
  • The fund aims to enhance the overall risk/return characteristics of a balanced portfolio, with a key focus on preserving capital.
Past performance does not predict future returns. 
 

RATINGS AND AWARDS

FE investments approved
©2023 FE fundinfo. All Rights Reserved. The information, data, analyses, and opinions contained herein (1) include the proprietary information of FE fundinfo, (2) may not be copied or redistributed, (3) do not constitute investment advice offered by FE fundinfo, (4) are provided solely for informational purposes and therefore are not an offer to buy or sell a security, and (5) are not warranted to be correct, complete, or accurate. FE fundinfo shall not be responsible for any trading decisions, damages, or other losses resulting from, or related to, this information, data, analyses, or opinions or their use. FE fundinfo does not guarantee that a fund will perform in line with its FE Investments Approved Rating as it is a reflection of past performance only. Likewise, the FE Investments Approved Rating should not be seen as any sort of guarantee or assessment of the creditworthiness of a fund or of its underlying securities and should not be used as the sole basis for making any investment decision.

PORTFOLIO MANAGEMENT

Ben Wallace

Ben Wallace

Portfolio Manager

Industry since 1997. Joined Firm in 2011.

Luke Newman

Luke Newman

Portfolio Manager

Industry since 2000. Joined Firm in 2011.

Performance

Past performance does not predict future returns. All performance data includes both income and capital gains or losses and reflects the deduction of any ongoing charges or other fund expenses.
Discrete Performance (%)
As of 30/06/2023
I Acc (Net) Bank of England Base Rate
 
Quarter End
As of 30/06/2023 		Jun-2022 - Jun-2023 Jun-2021 - Jun-2022 Jun-2020 - Jun-2021 Jun-2019 - Jun-2020 Jun-2018 - Jun-2019
I Acc (Net) 6.27 -2.91 4.31 4.25 -1.50
Bank of England Base Rate 3.26 0.41 0.10 0.56 0.72

Index Description

The UK Base Interest Rate is the interest rate set by the Bank of England. It is the performance target of the Fund and it provides a useful comparison against which the Fund's performance can be assessed over time.

Performance fees are charged separately as a way of rewarding the investment manager for superior returns or for outperforming specified targets. A Performance Fee is accrued where the NAV outperforms the relevant Hurdle NAV (subject to a High Water Mark).
© Morningstar 2023. All rights reserved. NAV-NAV, net income reinvested where applicable.
Please note the performance target is to be achieved over a specific annualised time period. Refer to the performance target wording within the objective.
Note that any differences among portfolio securities currencies, share class currencies and costs to be paid or represented in currencies other than your home currency will expose you to currency risk.  Costs and returns may increase or decrease as a result of currency and exchange rate fluctuations.
Fund charges will impact the value of your investment. In particular, the ongoing charges applicable to each fund will dilute investment performance, particularly over time.
Cumulative & Annualised Performance (%)
As of 31/08/2023
I Acc (Net) Bank of England Base Rate
 
  Cumulative Annualised
1MO YTD 1YR 3YR 5YR 10YR Since Inception
29/04/2009
I Acc (Net) 0.59 4.36 6.39 2.64 2.32 3.35 4.45
Bank of England Base Rate 0.45 3.01 3.91 1.54 1.16 0.80 0.71

Index Description

The UK Base Interest Rate is the interest rate set by the Bank of England. It is the performance target of the Fund and it provides a useful comparison against which the Fund's performance can be assessed over time.

Performance fees are charged separately as a way of rewarding the investment manager for superior returns or for outperforming specified targets. A Performance Fee is accrued where the NAV outperforms the relevant Hurdle NAV (subject to a High Water Mark).
© Morningstar 2023. All rights reserved. NAV-NAV, net income reinvested where applicable.
Performance/performance target related data will display only when relevant to the fund/share class inception date and the annualised target time period.
Note that any differences among portfolio securities currencies, share class currencies and costs to be paid or represented in currencies other than your home currency will expose you to currency risk.  Costs and returns may increase or decrease as a result of currency and exchange rate fluctuations.
Fund charges will impact the value of your investment. In particular, the ongoing charges applicable to each fund will dilute investment performance, particularly over time.
Calendar Year Returns (%)
As of 30/06/2023
I Acc (Net) Bank of England Base Rate
2022 2021 2020 2019 2018
I Acc (Net) -0.72 4.04 2.43 4.51 -2.71
Bank of England Base Rate 1.49 0.11 0.23 0.75 0.60

Index Description

The UK Base Interest Rate is the interest rate set by the Bank of England. It is the performance target of the Fund and it provides a useful comparison against which the Fund's performance can be assessed over time.

Calendar Year Returns (%)
Year I Acc (Net) Index
2022 -0.72 1.49
2021 4.04 0.11
2020 2.43 0.23
2019 4.51 0.75
2018 -2.71 0.60
2017 3.29 0.29
2016 1.58 0.40
2015 7.68 0.50
2014 5.15 0.50
2013 17.60 0.50
2012 4.83 0.50
2011 0.09 0.50
2010 4.13 0.50
2009 from 29/04/2009 8.88 0.34
Performance fees are charged separately as a way of rewarding the investment manager for superior returns or for outperforming specified targets. A Performance Fee is accrued where the NAV outperforms the relevant Hurdle NAV (subject to a High Water Mark).
Performance/performance target related data will display only when relevant to the fund/share class inception date and the annualised target time period.
© Morningstar 2023. All rights reserved. NAV-NAV, net income reinvested where applicable.
Please note the performance target is to be achieved over a specific annualised time period. Refer to the performance target wording within the objective.
Note that any differences among portfolio securities currencies, share class currencies and costs to be paid or represented in currencies other than your home currency will expose you to currency risk.  Costs and returns may increase or decrease as a result of currency and exchange rate fluctuations.
Fund charges will impact the value of your investment. In particular, the ongoing charges applicable to each fund will dilute investment performance, particularly over time.
FEE INFORMATION
Initial Charge 5.00%
Annual Charge 1.00%
Ongoing Charge
(As of 30/11/2022) 		1.07%
Performance Fee 20% (relative to the hurdle rate and high water mark)
Hurdle Rate UK Base Interest Rate
For more information about charges, please see our fund charges page or the “charges” section of the fund’s prospectus.

Portfolio

Top Holdings (As of 31/08/2023)
% OF FUND
Sherborne Investors Guernsey 1.84
Legal & General Group 1.65
Serco Group 1.13
RELX 1.01
BP 0.98
CME Group 0.92
Smith & Nephew 0.89
Exxon Mobil 0.82
Lancashire 0.80
Conduit 0.80
References made to individual securities do not constitute a recommendation to buy, sell or hold any security, investment strategy or market sector, and should not be assumed to be profitable. Janus Henderson Investors, its affiliated advisor, or its employees, may have a position in the securities mentioned.

Documents

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  • ​The value of the Funds and the income from them is not guaranteed and may fall as well as rise. You may get back less than you originally invested.
  • ​Past performance does not predict future returns.
  • Third party data is believed to be reliable, but its completeness and accuracy is not guaranteed.
  • Shares/Units can lose value rapidly, and typically involve higher risks than bonds or money market instruments. The value of your investment may fall as a result.
  • If a Fund has a high exposure to a particular country or geographical region it carries a higher level of risk than a Fund which is more broadly diversified.
  • The Fund may use derivatives to help achieve its investment objective. This can result in leverage (higher levels of debt), which can magnify an investment outcome. Gains or losses to the Fund may therefore be greater than the cost of the derivative. Derivatives also introduce other risks, in particular, that a derivative counterparty may not meet its contractual obligations.
  • If the Fund holds assets in currencies other than the base currency of the Fund, or you invest in a share/unit class of a different currency to the Fund (unless hedged, i.e. mitigated by taking an offsetting position in a related security), the value of your investment may be impacted by changes in exchange rates.
  • Securities within the Fund could become hard to value or to sell at a desired time and price, especially in extreme market conditions when asset prices may be falling, increasing the risk of investment losses.
  • The Fund involves a high level of buying and selling activity and as such will incur a higher level of transaction costs than a fund that trades less frequently. These transaction costs are in addition to the Fund's Ongoing Charges.
  • The Fund could lose money if a counterparty with which the Fund trades becomes unwilling or unable to meet its obligations, or as a result of failure or delay in operational processes or the failure of a third party provider.
  • Funds incur costs as a necessary part of buying and selling the underlying investments, these are otherwise known as portfolio transaction costs, and include charges such as broker commission and Stamp Duty.
  • Before investing in any of our funds you should satisfy yourself as to the suitability and the risks involved.
  • Summary of Investor rights
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