Omnis Short-Dated Bond Fund

Investment Objective

The fund aims to achieve an annualised return consisting of both income and capital above the ICE BofAML 1-5 Year Sterling Non-Gilt Index by 1%, before all fees and expenses, over a five-year rolling period. There is no guarantee that this will be achieved over this, or any, timeframe and capital is at risk.

AXA’s philosophy is based on the belief that limiting the risk of losses on the initial investment and reinvesting the income paid by bonds can unleash the power of compound interest.

The manager combines a view of the global economy with thorough analysis of the issuer of individual bonds to select investments for the portfolio. The AXA Fixed Income team narrows down the field of opportunities to bonds expected to repay the initial investment within five years. The next step is to assess each bond’s level of risk and eliminate what they believe are the riskiest issues.

The fund invests in government bonds and corporate bonds- both investment grade, which are companies that are considered unlikely to default, and high yield, which pay a higher income to compensate for the greater risk of the companies issuing them. The fund also invests in emerging market bonds.

The fund is actively managed and the manager has full discretion when choosing assets to invest in (in-line with the fund’s investment objectives).

Key Fund Facts

Experienced investment team

Nicolas Trindade is a senior member of the highly experienced UK Fixed Income team Aims to mitigate the impact of market volatility and provide a lover sensitive to rising interest rates.

Market mitigation

Aims to mitigate the impact of market volatility and provide a lover sensitive to rising interest rates.

Investment breadth

Invests across the breadth of the short term bond market – 5 years or less to maturity

Investment Policy

The fund intends to invest either directly, or indirectly through collective investments schemes (up to a maximum of 10%), at least 80% in bonds (including index-linked bonds) with shorter maturities (less than 5 years) issued by governments, government agencies and companies worldwide (including emerging markets). The fund will invest in bonds issued either in sterling, or in another currency which will be hedged back into sterling. The Fund may invest 60% in sub-investment grade bonds (considered to be Standard & Poor’s credit rating of below BBB or equivalent).

The Fund may also invest in transferable securities, money market instruments, warrants, cash, near cash and deposits as detailed in the Prospectus.

Exposure to collective investment schemes may include schemes managed and operated by the ACD or its associates.

Derivatives may be used both for investment purposes and for efficient portfolio management.