• CC FUNDS 2017_WEB BANNER USD-02

High Income Bond Fund USD Accumulator

  • INVESTMENT OBJECTIVES

    The CC High Income Bond Fund Accumulator aims to maximise the total level of return for investors through investment in a diversified portfolio of Bonds. To achieve this objective, the Investment Manager invests primarily in a diversified portfolio of over 65 intermediate term, corporate & government bonds with maturities of 10 years and less.

    STRUCTURE

    The Fund operates under the UCTIS structure which has become the gold standard for EU investment funds for retail investors. UCITS funds are ideal for retail investors as they have been specifically designed to ensure diversification and liquidity through distinct parameters, permitted asset classes and investment restrictions as set out in EU law.

    MANAGEMENT

    The Funds are managed by a group of investment professionals at Calamatta Cuschieri Investment Management Limited who monitor developments on a daily basis.

Overview

→ Investor Profile
→ Currencies Available
→ Dividend Payment
→ Dividend Re-Payment
→ Monitoring and Pricing
→ Entry and Exit Fees
→ Minimum Investment
→ Fund Rules at a Glance
→ Target Dividend
→ Other Information

Commentary

February 2019 Commentary

The long awaited boost in markets that occurred in January rolled over onto February; the dovish approach taken by both the Federal Reserve (Fed) and the European Central Bank (ECB) allowed markets to continue to have a positive retracement. In fact, markets applauded the dovish stance amid concerns of slow global growth and geopolitical uncertainty with U.S. High Yield being the highest contender year to date. Risky assets across the board were better bid, sending spreads markedly lower for the month as the decrease in risk aversion propelled credit markets higher.

From a macro view, signs are pointing to the Trade War being resolved; President Trump and President Xi have finally started talks to reach an agreement on common grounds. This has in fact given investors a boost in confidence as assets continued to rally. In addition to this, the failed talks between the U.S. and North Korea are likely to bring China closer to the U.S., as the former is seen as a pivotal referring point for both nations.

Economically, we are still seeing soft figures from China; factory activity reached a three-year low in February as export orders fell at the fastest pace since the global financial crisis – more evidence of an economy facing weak domestic demand. In this regard, the Chinese government is expected to partake in further stimulus from the fiscal and monetary front, supporting credit, and EM markets in particular, even further.

Moreover, Brexit still has an uncertain outlook. British lawmakers voted against May’s alternative Brexit with the opposing leader suggesting a second referendum.

In the month of February, the Manager opted in reducing cash by increasing its HY exposure through the logistics and telecommunications sector. Moving forward, the Managers will continue to seek value, in line with their view of tighter credit spreads supported by an accommodative Fed.

Factsheet

  • NAV/Price: Click here for latest price

    Sub-Fund Name High Income Bond Fund – USD
    Investment Manager Calamatta Cuschieri Investment Management Ltd
    Fund Advisor DF – Asset Allocation (Lugano, Switzerland)
    Custodian Sparkasse Bank Malta p.l.c.
    Fund Administrator Calamatta Cuschieri Fund Services Ltd.
    Auditors Deloitte Malta
    Legal Advisors Ganado & Associates
    Launch Date 30th May 2013
    Domicile Malta
    Currency USD ($)
    Dealing Frequency Weekly
    Fund Size $18.0 M
    Number of Holdings 50
    Initial Charge up to 2.5%
    Management Fee 1%
    Dividend Payment Dates 31 March 30 September
    ISIN numbers USD - MT7000007753
    Minimum Initial Investment $3,000
    Minimum Additional Investment $500

    Historical Performance to Date (USD)

    Performance History **

     Calendar Year Performance YTD 2018 2017 2016 Since Inception*
    Share Class A – Total Return 3.83 -3.22 -2.59 1.00 15.61
    Rolling 12 month performance to last month end 28/02/18 27/02/19 22/02/17 28/02/18 24/02/16 22/02/17  
    Share Class A- Total Return 1.03 3.71 13.95  -5.98

    * The Accumulator Share Class (Class A) was launched on 29 May 2013.

    Top 10 By Country*

    Country %
    USA 23.3
    Russia 16.1
    Brazil 13.7
    UK 9.3
    Turkey 4.2
    Indonesia 4.1
    China 3.6
    Switzerland 2.9
    Spain 2.2
    France 2.1

    *including exposures to CIS

  • Maturity Buckets*

    Age %
    0 – 5 years 69.8
    5 – 10 years 16.6
    10 years+ 2.6

    *based on the Next Call Date

    Top 10 Exposures %

    Exposure %
    iShared USD HY Corp 4.0
    5.625% Ineos 2024 3.7
    7.00% KB Home 2021 3.5
    5.375% Petrobras 2021 2.8
    4.75% Lennar 2022 2.8
    6.25% IGT 2022 2.3
    7.25% JBS 2024 2.3
    6.25% GTH Finance 2020 2.2
    6.00% Icahn Ent. 2020 2.2
    5.299% Petrobras 2025 2.2

    By Credit Rating*

    Credit Rating %
    BBB 27.8
    BB 48.1
    B 18.1
    CCC+ 0.0
    Less than CCC+ 0.0
    Not Rated 0.0
    Average Credit Rating BB-

    *excluding exposures to CIS

    Currency Allocation

    Currency %
    USD 100.0
    Others 0.0

    Asset Allocation

    Currency %
    Cash 4.7
    Bonds 91.3
    CIS/ETFs 4.0

    Sector Breakdown*

    Sector %
    Financial 27.6
    Consumer, Cyclical 14.3
    Basic Materials 13.6
    Communications 10.8
    Energy 10.2
    Consumer, Non-Cyclical 8.8
    Industrial 2.8
    Technology 2.2

    *excluding exposures to CIS

Legal Information

THIS DOCUMENT HAS BEEN ISSUED BY CALAMATTA CUSCHIERI INVESTMENT SERVICES LTD (“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 CCIS 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. 

*LAST 12 MONTHS DISTRIBUTION YIELD (01/10/2017 – 30/09/2018) SOURCE: CALAMATTA CUSCHIERI INVESTMENT MANAGEMENT. PERFORMANCE FIGURES QUOTED REFER TO THE PAST AND ARE NOT A GUARANTEE FOR FUTURE PERFORMANCE. THE VALUE OF THE INVESTMENTS INCLUDING CURRENCY FLUCTUATIONS, AND INCOME FROM THEM CAN GO DOWN AS WELL AS UP AND INVESTORS MAY NOT GET BACK THE FULL AMOUNT INVESTED.

CALAMATTA CUSCHIERI INVESTMENT SERVICES LTD. (CCIS) IS LICENSED BY THE MFSA. THE CC HIGH INCOME BOND FUND IS A SUB FUND OF CALAMATTA CUSCHIERI FUND SICAV PLC AND IS AUTHORISED BY THE MFSA. INVESTORS MAY INCUR A SUBSCRIPTION CHARGE AND MAY BE SUBJECT TO TAX ON DISTRIBUTIONS. INVESTMENT SHOULD BE BASED ON THE PROSPECTUS AND KIID DOCUMENT, WHICH MAY BE OBTAINED FROM CCIS OFFICES.

THIS IS NOT A CAPITAL GUARANTEED PRODUCT ACCORDINGLY THE VALUE OF YOUR INVESTMENT CAN GO DOWN AS WELL AS UP. INVESTORS SHOULD NOTE THAT THE PAYMENT OF DIVIDENDS HAS THE EFFECT OF REDUCING THE NAV PER SHARE.