Active and Strategic Fixed Income Team – Strategic Universe
Strategy Overview
Investment approach
With a duration similar to the benchmark, we invest in a strategic allocation focused on the yield curve and sectors. Our objective is to produce a stable added value over rolling four-year periods with an information ratio greater than 0.50. Our decision-making process also incorporates tactical decisions and an optimization of the security selection process in relation to portfolio positioning. The portfolio generates a higher yield to maturity than its benchmark by maintaining an overweight position in provincial, municipal and corporate bonds (less than 10 years), combined with a bullet positioning on the yield curve. These sources of value added are negatively correlated with each other and with the direction of interest rates.
Key Characteristics
- Consistency and solid performance in different types of market environments
- Strong risk-adjusted returns as reflected by an excellent Information Ratio
- Positive carry through long term investment decisions
- High quality portfolio with conservative approach to corporate bonds selection
- Continuous and rigorous risk management through disciplined investment process
Disclaimer
Please read the simplified prospectus before investing. The amount of risk associated with any particular investment depends largely on your own personal circumstances including your time horizon, liquidity needs, portfolio size, income, investment knowledge and attitude toward price fluctuations. Investors should consult their financial advisor before making a decision as to whether this fund is a suitable investment for them.
Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated.
The rate of return or mathematical table shown is used only to illustrate the effects of the compound growth rate and is not intended to reflect future values of the mutual fund or returns on investment in the mutual fund. The indicated rates of return are the historical annual compounded total returns including changes in unit value and reinvestment of all distributions and do not take into account sales, redemption, distribution or optional charges or income taxes payable by any unitholder that would have reduced returns.