Fixed income strategies

Carmignac Portfolio Global Bond

Luxembourg SICAV sub-fundGlobal marketSRI Fund Article 8
Share Class

LU2420651825

A global, flexible and macroeconomic approach to fixed income markets
  • A global investment universe to identify and capitalise on macroeconomic trends across the globe.
  • Access to a wide range of performance drivers available in developed and emerging markets.
Asset Allocation
Bonds93.3 %
Other6.7 %
Data as of:  29 Nov 2024.
Risk Indicator
2/7
Recommended Minimum Investment Horizon
3 years
Cumulative Performance since launch
+ 1.0 %
0.0 %
0.0 %
0.0 %
+ 4.3 %
From 31/12/2021
To 10/12/2024
Calendar Year Performance 2023
-
-
-
-
-
-
-
-
- 5.3 %
+ 3.5 %
Net Asset Value
101.05 €
Asset Under Management
710 M €
Market
Global market
SFDR - Fund Classification

Article

8
Data as of:  10 Dec 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.

Carmignac Portfolio Global 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:  31 Oct 2024.
Fund management team

Abdelak Adjriou

Fund Manager

Market environment

  • US growth continues to gravitate above its historical average at +2.8% in the third quarter, benefiting from resilient domestic demand.- All the indicators point to greater resilience in the US economy, while inflation has also shown resilience, with a smaller-than-expected fall in the headline component to +2.4% YoY and a reacceleration in core inflation to +3.3% YoY.- The low point now seems to be behind us in the eurozone, as indicated by the stronger-than-expected rebound in GDP growth of +0.4% in the third quarter in the zone, on the back of more favourable momentum in Germany and France.- The European Central Bank cut its key rate by a further 25bp this month. This decision comes against a backdrop of headline inflation in the region at a 3-year low, contrasting with core inflation and the service component of inflation, which are still above the ECB's target at +2.7% and +3.9% respectively.- This environment of resilient growth has pushed yields higher, with the US 10-year gaining +50bp and its German counterpart +27bp. Risk appetite also paused, with credit spreads widening by +3bp on the Itraxx Xover index over the month.- On the currency front, the US dollar strengthened, driven by resilient data implying a slower Fed easing cycle and the increased likelihood of a Trump victory. Conversely, this weighed on the currencies of emerging countries.

Performance commentary

  • The Fund underperformed its performance indicator, mainly due to the general rise in interest rates over the period.

  • In fixed income, our positions in US and UK debt and our exposure to certain emerging market debt, such as that of Brazil, Mexico and Poland, had a negative impact.

  • On the credit side, our exposure to developed markets, particularly in the energy sector, and our investments in the external debt of emerging countries such as Argentina and the Dominican Republic, made a positive contribution.

  • Finally, in terms of currencies, although we benefited from our exposure to the US dollar, the fund was affected by our positions in the Brazilian real and the Norwegian krone.

Outlook strategy

  • Against this backdrop of a soft landing for the economies and inflation continuing its gradual decline, we are maintaining a relatively high level of modified duration.

  • In terms of interest rates, we favour real rates in the United States and yield-increasing strategies in the United States and Europe. We are also focusing on central banks that are lagging the cycle, such as the UK, and on certain emerging countries, such as Brazil and Mexico.

  • On credit, we are maintaining our positive bias, albeit cautiously, given the high valuations, and are maintaining a substantial level of hedging on Itraxx Xover to protect the portfolio from the risk of spreads widening.

  • On the external EM debt front, we continue to favour special situations in countries whose economies are undergoing restructuring or improving significantly.

  • Finally, we remain cautious on the currency front, with particularly low exposure to the USD and EM currencies. However, we do have diversified exposure to the currencies of central banks that are taking a less accommodative stance against a backdrop of monetary easing by the Fed and Chinese stimulus measures, such as the Norwegian krone, the Australian dollar, the Japanese yen and the Brazilian real.

Performance Overview

Data as of:  10 Dec 2024.
​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.The return may increase or decrease as a result of currency fluctuations, for the shares which are not currency-hedged.
Source: Carmignac at 11/12/2024

Carmignac Portfolio Global Bond Portfolio overview

Below is an overview of the composition of the portfolio.

Geographical Breakdown

Data as of:  29 Nov 2024.
Europe28.5 %
Latin America22.2 %
North America21.0 %
Eastern Europe9.4 %
Africa8.4 %
Middle East6.9 %
Asia-Pacific3.1 %
Asia0.7 %
Total % of bonds100.0 %
Europe28.5 %
ieIreland
8.2 %
esSpain
3.9 %
frFrance
3.6 %
Norvège
2.0 %
itItaly
1.7 %
Grèce
1.7 %
gbUnited Kingdom
1.7 %
chSwitzerland
1.6 %
nlNetherlands
1.4 %
Suède
1.2 %
atAustria
0.9 %
beBelgium
0.4 %
fiFinland
0.3 %

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:  29 Nov 2024.
Modified Duration5.9
Yield to Maturity5.4 %
Average Coupon4.6 %
Number of Issuers97
Number of Bonds125
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 Manager.
Fund Management Team

Abdelak Adjriou

Fund Manager
The flexibility of our investment process allows us to take advantage of all performance drivers offered by the fixed income universe, and thus to build a diversified portfolio based on solid convictions.

Abdelak Adjriou

Fund Manager
View Fund's characteristics
The reference to a ranking or prize, is no guarantee of the future results of the UCIS or the manager.
Carmignac Portfolio is a sub-fund of Carmignac Portfolio SICAV, an investment company under Luxembourg law, conforming to the UCITS Directive.
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.