Fund Objective

To aim to provide a return.

View on Past Performance

Government bonds performed well in September amid significant market volatility as the failure of several financial companies led to major governmental intervention and industry consolidation. The market turbulence, combined with a weakening growth outlook and a reappraisal of the impact of the credit crunch supported government bonds globally. This was despite inflation remaining high and the potential for increased issuance as a result of deteriorating public finances.

Future Expectations

Markets will remain very volatile. Despite global intervention by governments and central banks, significant fears remain about the fragility of the financial system and its impact on global growth. Growth is likely to be weaker than previously expected and central banks are likely to respond by cutting interest rates. We remain positioned for yields to fall.

Fund Details