Carmignac Portfolio Flexible Bond

Luxembourg SICAV sub-fundGlobal marketSRI Fund Article 8

Share Class

LU2490324501

A flexible solution aiming to capture bond opportunities globally

A conviction-driven Fund aiming to seize global bond markets opportunities while systematically hedging the currency risk.
An investment process based on a top-down asset allocation and a bottom-up implementation of interest rate and credit strategies.

Key documents

Monthly Factsheet (including ESG data)KID

Asset Allocation

Bonds75.4 %

Other24.6 %

Data as of: 30 Sep 2024.

Risk Indicator

2/7

Recommended Minimum Investment Horizon

3 years

Cumulative Performance since launch Cumulative Performance 10 YearsCumulative Performance 5 YearsCumulative Performance 3 YearsCumulative Performance 12 Months

+ 19.3 %

0.0 %

+ 13.0 %

From 30/06/2022
To 08/10/2024

Calendar Year Performance 2014Calendar Year Performance 2015Calendar Year Performance 2016Calendar Year Performance 2017Calendar Year Performance 2018Calendar Year Performance 2019Calendar Year Performance 2020Calendar Year Performance 2021Calendar Year Performance 2022Calendar Year Performance 2023

-

+ 7.5 %

+ 4.9 %

Net Asset Value

119.25 €

Asset Under Management

1 447 M €

Market

Global market

SFDR - Fund Classification

Article

8

Data as of: 30 Sep 2024.

Data as of: 8 Oct 2024.

Past performance is not necessarily indicative of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor). The return may increase or decrease as a result of currency fluctuations, for the shares which are not currency-hedged. The Sustainable Finance Disclosure Regulation (SFDR) 2019/2088 is a European regulation that requires asset managers to classify their funds as either 'Article 8' funds, which promote environmental and social characteristics, 'Article 9' funds, which make sustainable investments with measurable objectives, or 'Article 6' funds, which do not necessarily have a sustainability objective. For more information please refer to https://eur-lex.europa.eu/eli/reg/2019/2088/oj.

Sustainable investment label(s)

SRI LabelSeptember 2021

Fixed income strategiesCarmignac Portfolio Flexible Bond

Carmignac Portfolio Flexible Bond fund performance

Take a look at the Fund's performance supported by our Fund managers’ market commentary and strategy insight.

Our monthly comments

Data as of: 30 Sep 2024.

Fund management team

[Management Team] [Author] Rigeade Guillaume

Guillaume Rigeade

Co-Head of Fixed Income, Fund Manager

Eliezer Ben Zimra

Fund Manager

Market environment

The US Federal Reserve delivered a more dovish message than expected at its September meeting, cutting its key rate by -0.5%.- Growth data nevertheless exceeded expectations across the Atlantic, both in terms of unemployment, which declined to 4.2%, and consumer resilience, with retail sales accelerating by +0.1%.- Headline inflation continued to slow to +2.5% year-on-year on the back of falling commodity prices, while core inflation remained stable at +3.2%.- For its part, the European Central Bank cut its key rate by -25bp against a backdrop of disappointing economic data, both in terms of leading indicators and the zone's future growth prospects.- Among other central banks, the Bank of Japan opted for a pause in its rate hike cycle, while the Brazilian central bank raised its key rate by a quarter point.

Performance commentary

The Fund delivered a positive performance over the month of September in an environment marked by a strong easing in interest rates.- Our carry strategies were the strongest contributors to the Fund's performance, benefiting from high structural yields but also from investors' strong appetite for risk during the observation period.- Our preference for short rates was favourable as yield curves steepened. We also increased our exposure to the short end of the Brazilian yield curve after the central bank meeting.- We made several arbitrages during the month, increasing our exposure to the short end of the US yield curve ahead of the Federal Reserve meeting, then reducing the portfolio's core duration in the easing movement that followed.

Outlook strategy

We remain in line with a soft landing scenario across the Atlantic, where the US consumer continues to show resilience as we enter a cycle of easing financial conditions.- The market is now expecting a sequence of significant rate cuts, while the yield curve is still underestimating the fiscal indiscipline of economic agents.- Inflation is slowing down, in line with expectations. Nevertheless, the market seems over-optimistic about the normalization of inflation over the next few quarters.- Having said that, we are maintaining a cautious stance on the portfolio's interest-rate sensitivity, while implementing a yield-curve steepening strategy and a marked appetite for inflation products.

Performance Overview

Data as of: 8 Oct 2024.

View Performance in detail

Past performance is not necessarily indicative of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor). Morningstar Rating™ : © Morningstar, Inc. All Rights Reserved. The information contained herein: is proprietary to Morningstar and/or its content providers; may not be copied or distributed; and is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.On 30/09/2019 the composition of the reference indicator changed: the ICE BofA ML Euro Broad Market Index coupons reinvested replaces the EONCAPL7. Performances are presented using the chaining method. On 10/03/2021 the Fund’s name was changed from Carmignac Portfolio Unconstrained Euro Fixed Income to Carmignac Portfolio Flexible Bond.The return may increase or decrease as a result of currency fluctuations, for the shares which are not currency-hedged.

Source: Carmignac at 10/10/2024

Carmignac Portfolio Flexible Bond Portfolio overview

Below is an overview of the composition of the portfolio.

Geographical Breakdown

Data as of: 30 Sep 2024.


Europe	67.1 %
North America	10.4 %
Latin America	7.8 %
Eastern Europe	7.2 %
Middle East	2.8 %
Africa	2.7 %
Asia-Pacific	1.0 %
Asia	1.0 %
Total % of bonds	100.0 %

Europe67.1 %


Italy	16.9 %
United Kingdom	8.8 %
Grèce	7.0 %
Ireland	6.3 %
France	6.1 %
Spain	4.5 %
Germany	3.0 %
Netherlands	2.8 %
Norvège	2.5 %
Austria	1.6 %
Portugal	1.5 %
Switzerland	1.4 %
Suède	1.3 %
SanMarino	1.1 %
Finland	1.0 %
Andorra	0.9 %
Belgium	0.4 %

Asset Allocation

Data as of: 30 Sep 2024.


Bonds	75.4 %
Money Market	13.2 %
Cash, Cash Equivalents and Derivatives Operations	10.9 %
Equities	0.5 %

View details

Top 10

Data as of: 30 Sep 2024.


UNITED STATES 0.12% 15/04/2026	3.0%
ITALY 1.60% 28/06/2030	1.7%
ENI TV 13/07/2029	1.4%
ITALY 2.00% 14/03/2028	1.2%
AMCO - ASSET MANAGEMENT CO 1.38% 27/01/2025	1.1%
ITALY TV 28/06/2026	1.0%
ISRAEL 5.38% 12/03/2029	1.0%
NATWEST GROUP 01/11/2024	1.0%
ROMANIA 4.62% 03/04/2049	0.9%
ALLWYN INTERNATIONAL AS 3.88% 29/10/2024	0.9%

View details

View Portfolio allocation

Key figures

Below are the key figures for the Fund, which will give you a clearer idea of the Fund's management and bond positioning.

Exposure Data

Data as of: 30 Sep 2024.

Modified Duration1.1

Yield to Maturity5.2 %

Average Coupon4.4 %

Number of Issuers155

Number of Bonds198

Average RatingBBB

Yield to Maturity (YTM) is the estimated annual rate of return expected on a bond if held until maturity and assuming all payments made as scheduled and reinvested at this rate. For perpetual bonds, the next call date is used for computation. Note that the yield shown does not take into account the FX carry and fees and expenses of the portfolio. The portfolio’s YTM is the weighted average individual bonds holdings' YTMs within the portfolio.

The strategy in a nutshell

Discover the Fund’s main features and benefits through the words of the Fund Managers.

Fund Management Team

Guillaume Rigeade

Co-Head of Fixed Income, Fund Manager

Eliezer Ben Zimra

Fund Manager

View Fund's characteristics

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View characteristics and risks

The reference to a ranking or prize, is no guarantee of the future results of the UCIS or the manager.

The information presented above is not contractually binding and does not constitute investment advice. Past performance is not a reliable indicator of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor), where applicable. Investors may lose some or all of their capital, as the capital in the UCI is not guaranteed. Access to the products and services presented herein may be restricted for some individuals or countries. Taxation depends on the situation of the individual. The risks, fees and recommended investment period for the UCI presented are detailed in the KIDs (key information documents) and prospectuses available on this website. The KID must be made available to the subscriber prior to purchase.). The reference to a ranking or prize, is no guarantee of the future results of the UCITS or the manager.

Carmignac Portfolio is a sub-fund of Carmignac Portfolio SICAV, an investment company under Luxembourg law, conforming to the UCITS Directive.