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Global Balanced Income Fund


    The Fund seeks to provide stable, long-term capital appreciation by investing in a diversified portfolio of local and international bonds, equities and other income-generating assets. The Investment Manager shall diversify the assets of the Fund among different asset classes. The manager may invest in both Investment Grade and High Yield bonds rated at the time of investment at least “B-” by S&P, or in bonds determined to be of comparable quality, provided that the Fund may invest up 10% in non-rated bonds, whilst maintain an exposure to direct rated bonds of at least 25% of the value of the Fund. Investments in equities may include but are not limited to dividend-paying securities, equities, exchange traded funds as well as through the use of Collective Investment Schemes.

    Key Features of the Fund

    • Flexibility to invest in all regions around the world
    • Provide capital appreciation, stability and growth over the medium-to-long term
    •  Flexibility to switch between different asset types (eg. Bonds / Equities / Money Market Instruments / ETFs / CIS / alternative securities) depending on market outlook
    • Investment Manager will base asset allocation decisions based on key current themes and best opportunities to generate return
    • Asset Allocation Diversification by Security Type, Credit Rating, Country, Sector and by Currency
    • Best of both worlds – lower volatility of bond market vs growth potential via equities
    • OPTIMAL INVESTMENT MIX depending on market conditions
    • Efficient and Effective strategy to be able to withstand periods of adverse market movements
    • FX exposures will be generally hedged, underlying investor will not be exposed to any FX risk


→ Why CC Global Balanced Income Fund?
→ Investor Profile
→ Currencies Available
→ Entry and exit Fee
→ Minimum Investment
→ Monitoring and Pricing
→ Ideal for Accumulation Schemes
→ Fund Rules at a Glance
→ Other Information


June 2018 Commentary

The first six month of 2018 were tough on equity markets; gauged by the main price indices, European equities fell 3.95 percent, US equities gain 1.67 percent and UK equities fell 0.66 percent. This contrasts sharply with the first weeks of the year when the feel good factor of a synchronised global economic expansion seeped into exuberance and market all-time highs. Similarly, credit markets have become more volatile since the start of the year, with volatility almost being three times as much as it was at the turn of the year.

Various factors blunted optimism but none greater than the consistent threat of a trade war instigated by the once champion of free trade, the United States. Add to the mix, A UK that has failed to determine a waypoint on BREXIT, a stronger dollar hitting emerging markets, an ECB that seems to prefer delaying normalisation of QE, migration tensions in Europe, a populist government in Italy and potential political instability in Germany-it is easy to understand the pressure on financial markets.

Meanwhile, global trade and European politics continue to grab the headlines, with Donald Trump threatening 20% tariffs on European cars and markets having been nervous about escalating tensions between the US and China. In additions, flows into Emerging Markets have been weak and have registered a decline in the second quarter of 2018 mainly brought about by rising tensions and idiosyncratic risk emanating from Brazil and Turkey. In addition to this, we have the slower pace of expansion of central bank balance sheets to contend with, which leaves us with a tricky concoction of market-related issues, which are sure to make the second half of the year challenging, to say the least.

The Fund’s decline of 4.3 percent this year is largely in-line with, if not better than, what would be expected in this environment. European Autos this year lost 11.8 percent and banks lost 15 percent. But technology gained 8 percent and luxury holdings surpassed 14%. High Yield credit, which constitutes most of the bond holdings were under pressure during most of the year.

Going forward the fund is geared to gain from a global economic acceleration. We believe that a solution on trade is in the best interest of all parties and is our base scenario. Likewise, negatives are mostly geopolitical in nature while fundamental arguments remain strong and sustainable. The investment managers will continue adjusting the allocation accordingly.


  • NAV/Price: Latest Price available here

    Sub-Fund Name Global Balanced Income Fund
    Investment Manager Calamatta Cuschieri Investment Management Ltd
    Fund Type UCITS
    Custodian Sparkasse Bank Malta p.l.c.
    Fund Administrator Calamatta Cuschieri Fund Services Ltd.
    Auditors Deloitte Malta
    Legal Advisors Ganado Advocates
    Launch Date 1st September 2015
    Domicile Malta
    Dealing Frequency Weekly
    Initial Charge from 0% up to 2.5%
    Management Fee 1.25%
    Currency Euro (€)
    ISIN numbers EUR – MT7000014445
    Minimum Initial Investment EUR 2,500
    Minimum Additional Investment EUR 500
    Fund Size €6.1mn
    Number of Holdings 36

    Performance History

    Calendar Year Performance YTD 2017 2016 2015 2014 Since
    Inception *
    Total Return -4.30 8.67 1.58 - - 6.80
    Calendar Year Performance 1 -month 3 -month 6 -month 9 -month 12 -month
    Total Return -4.13 -2.47 -4.30 -2.64 -0.74

    *The Global Balanced Income Fund was launched on 30 August 2015.

    Top By Country*

     Country %
    Germany 18.9
    France 16.8
    United States 11.3
    Luxembourg 9.8
    Global 8.2
    Asia 5.1
    Spain 4.8
    Greece 2.7
    Netherlands 2.7

    *including exposures to ETFs

    By Credit Rating*

    Holding %
    BBB 0.0
    BB 12.1
    B 13.0
    Less than B- 0.0
    Not Rated 2.5

    *excluding exposures to ETFs

  • Performance to Date (Euro)

    Top 10 Exposures

     Exposure %
    iShares MSCI EM ETF 8.2
    iShares MSCI EM Asia ETF 5.1
    Lyxor CAC 40 ETF 4.2
    Lyxor DAX ETF 3.7
    iShares Euro HY Corp ETF 3.4
    4.00% Ineos 2023 3.3
    4.00% Chemours 2026 3.2
    6.50% Lecta 2023 3.2
    7.50% Garfunkelux 2022 3.1
    Valeo SA 3.0

    Currency Allocation

    Currency %
    EUR 73.3
    USD 26.6
    GBP 0.1

    Asset Allocation*

    Asset %
    Cash 10.8
    Bonds 32.4
    Equities 56.8

    *including exposures to ETFs

    Maturity Buckets

    Number of Years %
    0 – 5 years 10.7
    5 – 10 years 16.8
    10 years + 0.0

    Sector Breakdown

    Sector %
    ETFs 36.8
    Consumer, Cyclical 20.0
    Basic Materials 12.1
    Financial 9.3
    Technology 5.0
    Consumer, Non-Cyclical 4.7
    Energy 1.3

Legal Information

This document has been issued by Calamatta Cuschieri Investment Services (“CCIS”). CCIS is a founding member of the Malta stock exchange and is licensed to conduct Investment Services in Malta by the Malta Financial Services Authority. This document is prepared for information purposes only and should not be interpreted as investment advice. This document does not constitute an offer or invitation by CC to any person to buy or sell any investment. CCIS has based this document on information obtained from sources it believes to be reliable but which have not been independently verified. This document may not be reproduced either in whole, or in part, without the written permission of CCIS.