Fund Objective

To provide a total return by investing in a portfolio of predominantly bonds.

View on Past Performance

Gilts were strong in August. Fears of recession drove bond yields down and prices up.At the beginning of the month, the Fund was positioned long duration and overweight in short dated bonds. The manager took profits as yields moved down sharply at the front end of the curve. The Fund still has a residual overweight position in five year gilts.The Fund outperformed its benchmark in August with our long duration position the primary contributor to performance as gilt yields continued to fall. The Fund also benefitted from a positive contribution from security selection over the period.

Future Expectations

In spite of figures demonstrating rising inflation which would depress prices the market believes slowing growth and falling commodity prices will act as a curb.

Fund Details