To US Financial Professionals servicing non-US persons

US Short-Term Bond Fund

A dynamic, core short-term bond fund with a history of generating risk-adjusted returns and preserving capital

ISIN
IE0004858456

NAV
USD 11.43
As of 09/17/2021

1-Day Change
USD -0.01 (-0.09%)
As of 09/17/2021

Morningstar Rating

Overview

INVESTMENT OBJECTIVE

The Fund aims to provide as high a level of income as is consistent with the aim of limiting losses to capital over the long term.
Performance target: To outperform the Bloomberg 1-3 Year US Government/Credit Index by 0.75% per annum, before the deduction of charges, over any 5 year period.

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The Fund invests at least 80% of its assets in US short-term and intermediate-term bonds, issued by governments or companies.
The Fund may also hold other assets including bonds of other types from any issuer, cash and money market instruments.
The investment manager may use derivatives (complex financial instruments) to reduce risk, to manage the Fund more efficiently, or to generate additional capital or income for the Fund.
The Fund is actively managed with reference to the Bloomberg 1-3 Year US Government/Credit Index, which is broadly representative of the bonds in which it may invest, as this forms the basis of the Fund’s performance target. The investment manager has discretion to choose investments for the Fund with weightings different to the index or not in the index, but at times the Fund may hold investments similar to the index.

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ABOUT THIS FUND

  • Leverages a bottom-up process using fundamental analysis and dynamic sector allocation aiming to generate returns through individual security selection
  • Integrated global fixed income and equity research effort seeks to identify the best risk-adjusted opportunities
  • Proprietary research and risk management system, Quantum Global, is integrated into the investment process
Past performance is not a guide to future performance. 
 

PORTFOLIO MANAGEMENT

Greg Wilensky, CFA

Head of U.S. Fixed Income | Portfolio Manager

Industry since 1993. Joined Firm in 2020.

Michael Keough

Portfolio Manager

Industry since 2006. Joined Firm in 2007.

Seth Meyer, CFA

Portfolio Manager

Industry since 1998. Joined Firm in 2004.

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.
Cumulative & Annualised Performance (%)
As of 08/31/2021
A1m USD (Net) Bloomberg 1-3 Year US Govt/Credit TR
  
  Cumulative Annualised
1MO YTD 1YR 3YR 5YR 10YR Since Inception
12/24/1998
A1m USD (Net) -0.03 0.24 1.11 2.89 1.91 1.38 2.70
Bloomberg 1-3 Year US Govt/Credit TR 0.00 0.17 0.39 2.87 1.93 1.46 3.12
 
  Annualised
3YR 5YR 10YR Since Inception
12/24/1998
A1m USD (Gross) - 2.85 2.52 3.80
Bloomberg 1-3 Year US Govt/Credit TR + 0.75% - 2.69 2.22 3.90
CALENDAR YEAR RETURNS (%)
A1m USD (Net) Bloomberg 1-3 Year US Govt/Credit TR
2016 2017 2018 2019 2020
A1m USD (Net) 1.13 0.98 0.61 3.77 4.43
Bloomberg 1-3 Year US Govt/Credit TR 1.28 0.84 1.60 4.03 3.33
 
2016 2017 2018 2019 2020
A1m USD (Gross) 2.18 1.92 1.57 4.72 5.34
Bloomberg 1-3 Year US Govt/Credit TR + 0.75% 2.04 1.60 2.36 4.81 4.11
FEE INFORMATION
Initial Charge 5.00%
Annual Charge 0.50%
Ongoing Charge
(As of 06/30/2021)
0.89%

Portfolio

Top Holdings (As of 08/31/2021)
% OF FUND
United States Treasury Note/Bond, 1.75%, 07/15/22 5.76
United States Treasury Note/Bond, 0.25%, 04/15/23 4.40
United States Treasury Note/Bond, 0.12%, 06/30/23 4.37
United States Treasury Note/Bond, 0.12%, 03/31/23 3.77
United States Treasury Note/Bond, 1.75%, 06/15/22 3.76
US TSY INFL BOND 0.63 04/15/2023, 0.62%, 04/15/23 2.85
Fannie Mae or Freddie Mac, 2.50%, 09/14/21 2.79
United States Treasury Note/Bond, 0.12%, 12/31/22 2.75
United States Treasury Note/Bond, 0.12%, 01/31/23 2.44
United States Treasury Note/Bond, 0.12%, 07/31/23 2.34
Total 35.23

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.
  • 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.
  • 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 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.
  • 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.
  • Some or all of the Annual Management Charge and other costs of the Fund may be taken from capital, which may erode capital or reduce potential for capital growth.
  • 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.
  • Summary of Investor rights