Malta Government Bond Fund


    The Malta Government Bond Fund aims to maximise the total level of return for investors through investment, primarily, in debt securities and money market instruments issued or guaranteed by the Government of Malta.


    The Sub-Fund forms part of the Calamatta Cuschieri Funds Sicav plc and operates under the UCITS 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.


    The Malta Government Bond Fund is managed by a group of investment professionals at Calamatta Cuschieri Investment Management Limited who monitor developments on a daily basis.


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


February 2018 Commentary

Volatility remained the order of the day for yields on Eurozone government bonds, and the volatility witnessed towards the latter stages of 2017 and early trading sessions of 2018 showed no signs of abating. Yields on European sovereign bonds trended higher resulting in the European government bond market losing ground, with the Malta Government Bond Fund decreasing in value by 0.43% during the month of February.

Yields on Malta Government Stocks continued to perfectly mirror the movement in their European counterparts, and this was reflected in the performance of the Malta Government Bond Fund during the month of February.

Investors at the higher end of the ratings ladder, particularly within the sovereign and investment grade space, are wary of the weakness of the bond market, and this has been dwindling on their investment decisions. With US Treasuries and Bunds creeping notably higher during the month, market participants are aware that more monetary policy normalisation is in store in the US and Europe, and may add to investor’s woes about concerns about the longevity of the multi-decade bull market.

Both the Federal Reserve (Fed) and the European Central Bank (ECB) agreed on the fact that benign global economic growth is in place, in addition to the relative upward moves in inflation from the previous stagnant phase. Indeed, this was the common factor communicated in the latest minutes published by the two prominent Central Banks. However, the risk assessments do diverge and thus it is fascinating to contrast these major possible risk factors. What remains key at this stage is the way central banks manage to satiate investor expectations on one hand and control the possible spill-over to risky assets. Investors are not anticipating any rate hikes till at least 2019 in the EU, however we can’t oversee the improving economic situation, as evidenced by recent economic data releases. In addition, interest rates and the size of the QE program are expected to take centre stage in 2018. We are of the opinion that Eurozone bond yields will slowly grind higher as a result of persistent global growth, and a probable tapering of the ECB’s stimulus program.

Fact sheet

  • Top By Country*

    Country %
    Malta 92.0
    Spain 1.4
    Italy 1.2
    Portugal 1.2
    Belgium 0.8
    Slovenia 0.7
    France 0.7
    Ireland 0.6
    Hungary 0.6
    Turkey 0.5

    *including exposures to CIS and Cash

    By Issuer*

    Issuer %
    Government of Malta 66.0
    Kingdom of Spain 1.4
    Government of Portugal 1.2
    Government of Italy 1.2
    Kingdom of Belgium 0.8
    Republic of Slovenia 0.7
    Lyxor EuroMTS 3-5y IG ETF 0.7
    Republic of Ireland 0.6
    Government of Hungary 0.6
    Republic of Turkey 0.5

    *including exposures to CIS

    Maturity Buckets*

    Age %
    0 – 5 years 18.7
    5 – 10 years 9.8
    10 years+ 44.5

    *based on the Next Call Date

    Performance History

    Calendar Year Performance  YTD 1-month 3-month 6-month 12-month Since
    Inception *
    Share Class A- Total Return -1.10 -0.39 -1.46 -1.10 n/a -0.65
    Rolling 12 month performance to last
    month end















    Share Class A- Total Return n/a n/a n/a n/a n/a

    *The Accumulator Share Class (Class A) was launched on 21 April 2017

  • Regional Allocation*

    Allocation %
    Malta 91.9
    Europe (excl. Malta) 7.7
    Other 0.5


    *including exposures to CIS

    * Malta exposure includes Cash Holdings

    Top 10 Exposures %

    Exposure %
    4.50% MGS 2028 6.0
    5.00% MGS 2021 5.6
    5.25% MGS 2030 5.6
    4.65% MGS 2032 5.5
    2.30% MGS 2029 4.9
    5.10% MGS 2029 4.7
    4.80% MGS 2028 4.6
    4.10% MGS 2034 4.5
    5.20% MGS 2031 4.1
    4.30% MGS 20222 3.6

    Historical Performance to Date

    Currency Allocation

    Currency %
    EUR 98.5
    Others 1.5

    Asset Allocation

    Currency %
    Cash 25.9
    Bonds 73.5
    CIS/ETFs 0.7

Legal Information

Important Information

This document has been issued by Calamatta Cuschieri Investment Management Limited (“CCIM”). Calamatta Cuschieri Funds SICAV p.l.c. is licensed by the Malta Financial Services Authority. CCIM 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. It does not constitute an offer or invitation by CCIM to any person to buy or sell any investment. Any investment should be based on the full details contained in the
Prospectus, Key Investor Information Document (KIID) and any Offering Supplement thereto available from www.cc.com.mt. No person should act upon any recommendation in this document without first obtaining professional investment advice. Security values may go up as well as down and past performance is not necessarily indicative of future performance, nor a reliable guide to future performance. Currency fluctuations may affect the value of investments and any income derived. This document may not be reproduced either in whole, or in part, without the written permission of CCIM. CCIM does not accept liability for any actions, proceedings, costs, demands, expenses, loss or damage arising from the use of all or part of this document.

Approved and issued by Calamatta Cuschieri Investment Management Limited, Ewropa Business Centre, Triq Dun Karm, B’Kara, Malta, BKR 9034. Company registration number C53094. Additional information can be found at www.cc.com.mt