New Capital
Wealthy Nations Bond Fund

»Michael Leithead

Seeking the best fixed income opportunities across the board

»VISIT OUR DEDICATED FIXED INCOME MICROSITE

Screening the assets and liabilities of entire economies

The New Capital Wealthy Nations Bond Fund is looking to access the best opportunities in sovereign and corporate debt across developed and emerging markets.

We use a foreign assets screen to determine the best opportunities, taking the net debt position for each country and dividing it by GDP. We then reorder countries according to this screen and avoid those with assets less than -50% of their GDP.

Our screen takes into account the assets and liabilities of the entire economy. This helps to looks past situations in certain countries where the financial system is overleveraged for example but the sovereign debt to GDP is low. These risks within the economy are important but are often overlooked by ratings agencies.

In terms of leverage, most analysts do not tend to consider assets as a way of offsetting debt. Japan is a good example: it has a high debt to GDP ratio – but a lot of its debt is within its domestic system. As most of the debt exposure is to the domestic economy, Japan’s exposure to foreign creditors is low.

We have a fundamental value orientation as we look for countries that are cheap, considering their credit ratings, and the average credit quality of portfolio holdings is high.

The Fund is suitable for investors looking to diversify their global fixed income exposure – we are invested in countries that are underweighted in the benchmark relative to their credit quality. We do this without sacrificing returns or taking on more risk – the fund has achieving both lower volatility and better performance than traditional portfolios and benchmarks.

Video

RELATIVE VALUE INVESTING EXPLAINED

Let us introduce you to relative value investing and how it can exploit inefficiencies in fixed income markets.

»VISIT OUR DEDICATED FIXED INCOME MICROSITE

 

Morningstar rating is shown for the New Capital Wealthy Nations Bond Fund USD Inst Inc share class

66.80%

Cumulative performance is for the USD Inst Inc share class, since inception (18 Sept 2009)
 
  1 Year YTD
Fund
Benchmark
»QUARTERLY COMMENTARY
»QUARTERLY WEBINAR

PRICES AND LITERATURE

Class ISIN Price Currency Price Date Factsheet Datasheet KIID
USD Inst Inc IE00B410WP56 120.62 USD 12/13/2017
EUR Inst Inc IE00B41M1657 111.72 EUR 12/13/2017 -
GBP Inst Inc IE00B41M1D28 117.79 GBP 12/13/2017 -
CHF Ord Inc IE00B4NJWB64 107.46 CHF 12/13/2017 -
GBP Ord Inc IE00B40Z9H20 118.33 GBP 12/13/2017 -
CHF Inst Inc IE00B3LNJP62 108.05 CHF 12/13/2017 -
USD/CNY Hedge Ord Inc IE00B3Q25270 128.57 USD 12/13/2017 -
SGD Ord Inc IE00B4X3Y349 167.18 SGD 12/13/2017 -
SGD Inst Inc IE00B4NVFJ12 110.70 SGD 12/13/2017 -
USD Ord Inc IE00B6VQXN27 116.28 USD 12/13/2017
EUR Inst Acc IE00B9KL1463 118.75 EUR 12/13/2017 -
USD Inst Acc IE00B87MFH62 127.78 USD 12/13/2017 -
USD Ord Acc IE00B8HR5X72 124.46 USD 12/13/2017 -
USD/CNY Hedge Inst Inc IE00B4Z32382 126.25 USD 12/13/2017 -
USD/INR Hedge Ord Inc IE00B4TJ7K43 122.81 USD 12/13/2017 -
EUR Ord Acc IE00B9C7ZM86 117.65 EUR 12/13/2017 -
EUR Ord Inc IE00B6VW8H90 110.75 EUR 12/13/2017 -
NOK Inst Inc IE00B5VFLK51 120.29 NOK 12/13/2017 -
HKD Ord Inc IE00BDGSPT20 99.70 HKD 12/13/2017 -
EUR S Inc IE00BYYNG592 103.60 EUR 12/13/2017 -
USD S Acc IE00BYYNG485 108.23 USD 12/13/2017 -
GBP S Inc IE00BYYNG154 104.73 GBP 12/13/2017 -
EUR S Acc IE00BYYNG600 105.98 EUR 12/13/2017 -
USD S Inc IE00BYYNG378 106.19 USD 12/13/2017 -
GBP S Acc IE00BYYNG261 106.81 GBP 12/13/2017 -

DOWNLOAD FUND DOCUMENTS FOR DUE DILIGENCE

Reports & Accounts
Annual Report-ENG
Semi-Annual Report-ENG
Prospectus
Full Prospectus-ENG
How to Invest
Application Form
Shareholder Notice
Shareholder Notice-ENG
HMRC Year End Reporting
HMRC Reporting-ENG
Registration Matrix
Registration Matrix-ENG
Dealing Calendar
Dealing Calendar-ENG
Memorandum and Articles of Association
Memorandum and Articles of Association-ENG

DOWNLOAD HISTORICAL PRICES FOR DUE DILLIGENCE

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