For institutional investors in Norway

Horizon Emerging Market Corporate Bond Fund

For investors seeking to diversify their portfolio through exposure to emerging market corporate bonds

ISIN
LU1120395626

NAV
EUR 127.00
As of 16/06/2021

1-Day Change
EUR 0.02 (0.02%)
As of 16/06/2021

Morningstar Rating

Overview

INVESTMENT OBJECTIVE

The investment objective of the Emerging Market Corporate Bond Fund is to provide a total return in excess of that generated by the designated benchmark. The Fund will invest at least 70% of its net assets in emerging market corporate bonds and other fixed and floating rate securities. The Fund may invest up to two thirds of its net assets in non-investment grade securities including up to 20% of its net assets in distressed debt securities. The Fund may invest up to 20% of its net assets in contingent convertible bonds.

The Fund may make use of a variety of instruments / strategies in order to achieve the Fund’s objective including, but not limited to, forward foreign exchange contracts (including non-deliverable forwards), interest rate futures, bond futures, options and OTC swaps (such as interest rate swaps, credit default swaps, credit default swaps on indices and total return swaps).

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.

This website is for financial promotion purposes and is not investment advice.

ABOUT THIS FUND

  • Seeks total return in excess of the benchmark by investing at least 70% in a diversified portfolio of corporate or other emerging market bonds and derivatives
  • Investment ideas generated from a bottom-up credit approach informed by a top-down sovereign and geopolitical view
  • Potential to deliver an attractive risk premium due to “emerging market” label despite investment-grade characteristics of much of the asset class
Past performance is not a guide to future performance. 
 

PORTFOLIO MANAGEMENT

Andrew Mulliner, CFA

Head of Global Aggregate Strategies | Portfolio Manager

Industry since 2006. Joined Firm in 2007.

Jennifer James

Portfolio Manager | Lead Emerging Markets Analyst

Industry since 1998. Joined Firm in 2014.

Performance

Past performance is not a guide to future performance. 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 31/03/2021
I2 HEUR (Net) JPM Corporate EM Bond Index Broad Diversified EUR Hgd
  
Mar-2020 - Mar-2021 Mar-2019 - Mar-2020 Mar-2018 - Mar-2019 Mar-2017 - Mar-2018 Mar-2016 - Mar-2017
I2 HEUR (Net) 16.90 -5.31 -1.91 1.35 7.44
JPM Corporate EM Bond Index Broad Diversified EUR Hgd 16.92 -6.06 1.56 1.53 6.96
 
Mar-2020 - Mar-2021 Mar-2019 - Mar-2020 Mar-2018 - Mar-2019 Mar-2017 - Mar-2018 Mar-2016 - Mar-2017
I2 HEUR (Gross) 17.78 -4.58 -0.98 2.36 8.52
JPM Corporate EM Bond Index Broad Diversified EUR Hgd + 1.50% 18.68 -4.64 3.08 3.04 8.56
Cumulative & Annualised Performance (%)
As of 31/05/2021
I2 HEUR (Net) JPM Corporate EM Bond Index Broad Diversified EUR Hgd
  
  Cumulative Annualised
1MO YTD 1YR 3YR 5YR 10YR Since Inception
05/11/2014
I2 HEUR (Net) 0.66 0.28 10.03 4.15 3.40 - 3.63
JPM Corporate EM Bond Index Broad Diversified EUR Hgd 0.59 0.07 9.55 4.75 3.78 - 3.47
 
  Annualised
3YR 5YR 10YR Since Inception
05/11/2014
I2 HEUR (Gross) - 4.31 - 4.57
JPM Corporate EM Bond Index Broad Diversified EUR Hgd + 1.50% - 5.34 - 5.02
CALENDAR YEAR RETURNS (%)
I2 HEUR (Net) JPM Corporate EM Bond Index Broad Diversified EUR Hgd
2016 2017 2018 2019 2020
I2 HEUR (Net) 6.32 6.66 -6.16 8.32 6.40
JPM Corporate EM Bond Index Broad Diversified EUR Hgd 7.96 5.96 -4.40 9.81 5.51
 
2016 2017 2018 2019 2020
I2 HEUR (Gross) 7.38 7.73 -5.22 9.17 7.20
JPM Corporate EM Bond Index Broad Diversified EUR Hgd + 1.50% 9.58 7.55 -2.96 11.46 7.10
FEE INFORMATION
Initial Charge 5.00%
Annual Charge 0.75%
Ongoing Charge
(As of 31/12/2020)
0.75%

Portfolio

Documents

  • ​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 is not a guide to future performance.
  • Third party data is believed to be reliable, but its completeness and accuracy is not guaranteed.
  • An issuer of a bond (or money market instrument) may become unable or unwilling to pay interest or repay capital to the Fund. If this happens or the market perceives this may happen, the value of the bond will fall.
  • When interest rates rise (or fall), the prices of different securities will be affected differently. In particular, bond values generally fall when interest rates rise. This risk is generally greater the longer the maturity of a bond investment.
  • The Fund invests in high yield (non-investment grade) bonds and while these generally offer higher rates of interest than investment grade bonds, they are more speculative and more sensitive to adverse changes in market conditions.
  • Callable debt securities, such as some asset-backed or mortgage-backed securities (ABS/MBS), give issuers the right to repay capital before the maturity date or to extend the maturity. Issuers may exercise these rights when favourable to them and as a result the value of the fund may be impacted.
  • Emerging markets expose the Fund to higher volatility and greater risk of loss than developed markets; they are susceptible to adverse political and economic events, and may be less well regulated with less robust custody and settlement procedures.
  • The Fund may invest in onshore bonds via Bond Connect. This may introduce additional risks including operational, regulatory, liquidity and settlement risks.
  • The Fund may use derivatives towards the aim of achieving its investment objective. This can result in 'leverage', which can magnify an investment outcome and gains or losses to the Fund may 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 class of a different currency to the Fund (unless 'hedged'), the value of your investment may be impacted by changes in exchange rates.
  • When the Fund, or a hedged share/unit class, seeks to mitigate exchange rate movements of a currency relative to the base currency, the hedging strategy itself may create a positive or negative impact to the value of the Fund due to differences in short-term interest rates between the currencies.
  • 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 may incur a higher level of transaction costs as a result of investing in less actively traded or less developed markets compared to a fund that invests in more active/developed markets. These transaction costs are in addition to the Fund's Ongoing Charges.
  • The Fund may invest in contingent convertible bonds (CoCos), which can fall sharply in value if the financial strength of an issuer weakens and a predetermined trigger event causes the bonds to be converted into shares of the issuer or to be partly or wholly written off.
  • 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.
  • Information on compliance with EU sustainable related disclosures can be found here.
  • 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.
  • For detailed product information including the risks associated with investing please read the relevant Prospectus or Annual Report.
  • Before investing in any of our funds you should satisfy yourself as to the suitability and the risks involved.
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