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Rathbone Strategic Bond Fund

DEFINITION

  • Invested 50% in direct bonds and 50% invested in funds for growth
  • 50% of the portfolio will typically be invested in predominantly Sterling-denominated government bonds and investment grade corporate debt.
  • The remainder will be invested in funds focused on specialist areas such as high yield and emerging market debt on a best-of-breed basis.
  • Quarterly payout of income.
  • Yield is driven by our asset allocation and will fluctuate over time.

RATINGS

WHY INVEST

  • Exposure to funds will ensure a greater level of diversification.
  • Flexible asset allocation to manage the risk/return profile.
  • The whole fixed income universe is examined to find the best investment opportunities.
  • Very few managers of funds of this type have the bond experience and the ability to overlay macro and fund selection and the expertise of Rathbones.

HOW TO INVEST

Visit our ‘How to Invest’ pages to find out your various options for buying the fund. This includes information about your contacts within Rathbones and a list of our fund partners.




Webcast: Watch our fund managers LIVE!

11th May 2012 in Webcasts

Stay up to date with our fund reviews as a selection of our fund managers discuss market trends, their strategy and the challenges and opportunities that lie ahead.

Rathbones launches a strategic bond fund with a difference

2nd November 2011 in Fund Manager Presentations

Bryn Jones reveals why Rathbones have just launched their Strategic Bond Fund explains what sets it apart from peers in the popular sector. He also outlines the investment process and sets some performance targets for the coming year.

Rathbone Unit Trust Management Launches Strategic Bond Fund

28th September 2011 in Company News

Mike Webb, Chief Executive Officer, Rathbone Unit Trust Management, said: “Post a 20-year bull run in bonds, it is increasingly difficult for intermediaries to navigate the fixed income space, and achieve capital growth and sustainable income...

  • 1How do I obtain a Managers Report?

    Managers Reports and a host of other fund information is available at this website, and you can contact us for further information on the following number:


    Information Line: 020 7399 0399 or email: rutm@rathbones.com

  • 2In which daily national newspapers can I find the fund prices and income yield?

    These can be found in The Financial Times and the Daily Telegraph.

  • 3Who is the manager of the fund and when was he/she appointed to the lead role for this fund?

    Bryn Jones was appointed as lead manager at launch in October 2011.

  • 4How is stock/sector/country/currency risk controlled and monitored?
    The fund is monitored daily with accountability to the CIO and the RUTM Board of Directors.  The trades executed by the manager are scrutinised on a weekly basis during a formal investment meeting.  The compliance department monitors the funds overall exposure to an individual security as a percentage of issued share capital and that each scheme complies with its investment powers.
  • 5What is the dealing cut-off time for investments and redemptions? What are standard settlement terms?
    The dealing cut-off is 11.45am. The contract note is despatched within 24 hours and settled in ‘T+4’ working days.
  • 6What dealing processes are available?
    Deals can be actioned are by telephone, fax, in writing or by EMX. ISA applications should be made by post using an ISA application form.
  • 7On what fund platforms can the fund be bought?
    The fund is available for investment on all major and the majority of smaller platforms. For a sample list, please visit the ‘Our Fund Partners’ page on this website.
  • 8Who will manage the fund in the absence of the lead manager?
    Julian Chillingworth, Chief Investment Officer.
  • 9What additional responsibilities does the lead manager have?
    Bryn Jones is Fixed Income spokesperson for Rathbones.
  • 10Are there any mandate-specific primary or secondary performance benchmarks?
    We do not operate formal benchmarks but we do compare the performance of the fund informally against the peer group (IMA Sterling Corporate Bond sector) and the Iboxx Non-Gilt (£) index.  Portfolio construction is not influenced by index weightings.
  • 11What restrictions apply to the fund at stock and sector level?
    We follow a basic principle to credit risk that applies to the process and that is single issue exposures.
    AAA maximum single issue 5%
    AA maximum single issue 4%
    A maximum single issue 3%
    BBB and other maximum single 2%
  • 12What are the income distribution dates for the fund?

    The income distribution dates are 28 February, 31 May, 31 August and 30 November.

  • 13How is the fund manager remunerated?

    We now organise remuneration on the basis that we need to align our interests with those of our clients. They key to this is ensuring the business and the investment managers have a stake in the future success of the company. For the front office this means ensuring that they are delivering excellent performance over time, with clear accountability. As a result, the remuneration for front office is aligned with that of the client.  The majority of bonuses are calculated on 1-3 years performance, with an emphasis on 3 rolling years.  Two-thirds of bonuses are deferred and a minimum of 50% are be re-invested in the unit trusts. This ensures that the company does not take undue risk to with investors money and that there is a focus on the strength of our investment proposition.

    We would be more than happy to discuss the detail of the remuneration scheme with you, so that you can understand the drivers behind its construct.

     

  • 14What is the minimum investment size?

    The investment limits vary for retail and institutional investors.

    Retail: The minimum lump sum investment is £1000, (£500 for additional investments). The minimum for regular savings is £100 per month. For ISA investments, the minimum is £100 per month subject to a maximum limit. View the ISA information for further details on subscription limits for the current tax year. of £10,680 (£890 per month) in the 2011/2012 tax year.

    Institutional: The minimum lump sum investment is £1000,000 (£500 for additional investments). A regular monthly savings plan is not available.

  • 15Where can I find the yield for the fund?
    The month-end yield can be found on our monthly factsheets – available on this website or by calling our Information Line on 020 7399 0399 or emailing rutm@rathbones.com. Daily yields are shown in the prices section of The Financial Times and the Daily Telegraph
  • 16Can the fund form part of an ISA and/or a SIPP?
    Yes (available for retail unitholders only).
  • 17What is the frequency of reporting?
    We produce monthly factsheets, monthly commentaries and 6-monthly fund manager (fund accounting) reports – all of which are available on this website. We also send portfolio valuations, to both you and your clients, every six months dated 31 December and 30 June.
  • 18What charges apply for this fund?

    The charges differ for retail and institutional investors. For more information please see the [“Charges”] section of the fund’s Key Investor Information Document (KIID).

  • 19Where can I find the latest Total Expense Ratio (TER) for the fund?

    This can be found in the latest Managers Report and Fund Factsheet which is available at this website, and you can contact us for further information on the following number:


    Information Line: 020 7399 0399 or email: rutm@rathbones.com