Multi Sector Fixed Income Survey Q3 2018

FIXED INCOME SERIES Investment Research

The MSFI market deconstructed Multi Sector Fixed Income survey Q3 2018

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1 CAMRADATA.COM Editorial

with rising rates. By employing a universe achieved a positive or break- CAMRADATA variety of strategies, which may include even return. This was an improvement CLEAR, INDEPENDENT ANALYSIS shorting bonds or exploiting the relative on the previous three months, in value of assets, managers of these which only 59% managed the same We provide institutional investors and funds hope to provide a positive return achievement. consultants with data and analysis to in all market conditions. assess, research and report on their This proposition has naturally proved “SOME PREDICT investments. attractive, with the result that MSFI THE US FEDERAL We are committed to fostering absolute return funds have seen a and nurturing strong, productive steady stream of investor inflows. In the RESERVE WILL relationships across the institutional third quarter of the year, these funds RAISE INTEREST investment sector and are continually gathered a net £0.3 billion, making the RATES THREE innovating new solutions to meet the INVESTORS FACE A DILEMMA. period the tenth consecutive quarter TIMES IN 2019.” industry’s complex needs. Developed market equities, led by in which this asset class, as tracked We enable pension schemes, insurers, the US, rallied in the past two years by CAMRADATA, enjoyed a positive There are challenges on the horizon, charities, family offices and consultants to record levels. Although these gains balance of investor allocations. however. Some analysts are predicting to conduct rigorous, evidence-based were good news for holders of equity Clearly, this fund type is in demand, that the US Federal Reserve will raise assessments of more than 5,000 assets, the sustained price growth which is good news for asset managers interest rates three times in 2019. investment products offered by over 700 tended to unbalance portfolios so that such as Amundi Asset Management, Although bond investors are jostling one asset managers. investors were over-allocated to stocks. which controls £12.7 billion of assets another to incorporate these anticipated Some investors have naturally been in MSFI absolute return funds, making rises into current bond prices, market The CAMRADATA Multi Sector Fixed inclined to rebalance their portfolios it the largest player in this fund class, as volatility will inevitably attend the actual Income Survey is based on all up-to- towards safer assets, namely bonds; the tracked by CAMRADATA. BlackRock, announcements. Such turmoil may date sterling Multi Sector Fixed Income conundrum is that interest rates have Western Asset Management, Insight offer a chance for managers of MSFI vehicles in CAMRADATA Live four weeks been rising steadily, eroding the value of Investment Management and Manulife absolute return funds to prove their after the end of the report quarter. conventional fixed income. Asset Management make up the rest of worth, but it could also spell drama and Multi asset fixed income (MSFI) the top five by market share. disappointment for those managers absolute return funds are designed to In terms of performance, MSFI who misjudge their investments. provide a solution. The idea is that they absolute return funds can boast an will offer exposure to the bond market upturn in the third quarter, when George Mitton, while minimising the risks associated 84% of products in the CAMRADATA Research editor, CAMRADATA

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2 CAMRADATA.COM Sharing insights from our global fixed income study

The Invesco Global Fixed Income Study explores key trends within the asset class through the views, opinions and experiences of 79 leading fixed income specialists worldwide.

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63643 Invesco_Global Fixed Income_A5 advert_L.indd 1 29/06/2018 15:41 Investment views: 2018 outlook

OUTLOOK volatility. Other major markets had causing some to question its status The third quarter had the feel of it worse - the Eurostoxx 50 and the as a “safe haven” asset. a gathering storm. Although key FTSE 100 were down considerably indicators such as the US stock compared with the start of the year, UNITED STATES market continued a consistent while the Shanghai Composite Index After a booming second quarter, in ascent, the media frothed with resembled the path of a marble which the US economy expanded at reports of a developing trade war falling down a long flight of stairs. an annualised rate of more than 4%, between the US and China. The With so much uncertainty ahead, the pace of growth slowed to 3.5% in dollar strengthened against emerging many investors are withdrawing from market currencies, putting pressure equities or being highly selective in “THE STORM BROKE on borrowers in these markets. their choice of stocks. Analysts warned that equity growth IN OCTOBER WITH A was unsustainable and a correction BONDS MARKET ROUT THAT was on the horizon. Fixed income instruments failed to STRIPPED VALUE Sure enough, the storm broke provide much protection against the FROM EQUITIES in October with a market rout that stock market losses, which is not AND BONDS ALIKE.” stripped value from equities and surprising given that central banks bonds alike. Although economic such as the US Federal Reserve the three months ending September growth in most major markets have been raising interest rates, 30. There were some concerns over remains strong, investors are opting which tends to push down bond consumer spending and exports, for a more cautious positioning prices. Outflows from conventional which were both recorded to below as they look ahead to 2019. fixed income funds underline the expected levels; however, corporate Defensive stocks are being chosen tough conditions for bond holders. spending on inventory and equipment in preference to growth stocks On the hopeful side, the prospect exceeded expectations. The and many portfolio managers are that the Fed will pause rate rises slowdown is not considered a reason increasing their holdings of cash. has encouraged some analysts to sell US-listed assets as the country to predict a turning point for fixed is still on track to meet its growth 19-country grouping achieved growth that they are compelling investment economic boom in July. Investors EQUITIES income in 2019. target of 3% for the full year. of 1.7% - a level that trails the US targets for investors with a high are nevertheless advised to exercise While the third quarter brought by some margin but is generally felt risk tolerance. caution on this market because consistent gains in indices such as OTHER ASSETS EUROPE to be satisfactory. Among the 28 economists expect the growth rate the S&P 500, bringing the measure Gold rallied only slightly in response Growth in the euro area matched countries that make up the larger UK to fall again in the final quarter to new heights, the beginning of to stock market volatility. The price of the level seen in the second bloc of the European Union, Poland, The British economy achieved its of the year. Arrangements for the the fourth quarter brought a sharp the precious metal is still far below quarter, when the regional economy Romania and Latvia outperformed in highest growth rate since 2016 in UK’s exit from the European Union correction followed by significant the level seen at the start of the year, expanded by 0.2%. Year-on-year, the terms of growth, perhaps indicating the third quarter thanks to a brief remain uncertain.

4 CAMRADATA.COM Highlights

MSFI Absolute According to the NATIXIS INVESTMENT MANAGERS return vehicles in CAMRADATA IQ THE NUMBER again achieved the largest asset inflows, with inflows totalling £1,015m, in converted sterling, during Q3 2018. They were GBP saw Insight Investment Management hold the Scores... in this survey OF MSFIs followed by Payden & Rygel, Aviva Investors, PGIM Fixed Income and largest market share with £6.1bn at the end of now stands at 74 products. Almost Insight Investment Management. Q3 2018. • for the 3 years to 30th September 2018, the top 95% of these products have more ranked manager in the GBP universe, with an IQ than three years’ worth of returns, EUR also saw Insight Investment Management Score of 0.79, is M&G with their M&G Alpha whereas there are no products with a SINCE Q2 2018 MSFI hold the largest market share with €6.4bn at the Opportunities Fund. Other standout GBP products track record of less than one year. absolute return assets have decreased by just under... end of Q3 2018. are from TwentyFour Asset Management and Payden & Rygel. USD saw Western Asset Management hold the largest market share with $13.5bn at the end • In the EUR universe M&G is also the top 80.96% of Q3 2018. manager with an IQ Score of 0.81, followed by La £0.5BN Française and NN investment Partners. • In the USD universe PGIM Fixed Income is the top The third quarter of 2018 saw an increase LOGAN CIRCLE manager with an IQ Score of 0.83 for their of positive performance with 84% of products Achieved the largest percentage growth, seeing PGIM Absolute Return Bond Fund. Other achieving a breakeven or positive return, their assets increase by 80.96% during Q3 2018, standout USD products are from Nomura Asset followed by Payden & Rygel, Natixis, PGIM Fixed compared to 59% in Q2 2018. GBP products produced a median Management and TCW. IncomeOVER and LAST BlueBay 5 YEARS Asset Management.DGF ASSETS HAVE GROWN BY return of 0.11% over 1 year, whist OVER FOUR TIMES FROM achieving an annualised return of 2.65% over the last three years. 89% of products AMUNDI ASSET EUR products produced a median achieved a breakeven Management has the highest return of -0.53% over 1 year, whist or positive return over MSFI products in GBP, market share in MSFI Absolute achieving an annualised return of EUR and USD OVER THE LAST Return universe with just over 2.37% over the last three years. three years. overall continue to be less volatile in the MSFI £12.7bn, in converted sterling, QUARTER their distribution of monthly returns than their Absolute Return products achieved under management. The rest of the USD products produced a median EUR products within the MSFI universe respective Barclays Aggregate benchmarks over positive inflows of just over £0.3bn. top 5 are BlackRock, Western Asset return of 1.00% over 1 year, whist continue to be slightly cheaper on average in the last 3 years. This continues the positive trend for Management, Insight Investment achieving an annualised return of comparison to their GBP and USD counterparts, inflows with this asset class receiving Management and Manulife. 3.62% over the last three years. which both have a median fee of 0.5% positive inflows for the last 10 quarters.

5 CAMRADATA.COM Contents

Section 1: MSFI universe Section 5: Distribution of Returns INVESCO SPONSOR 1. Number of Products in the MSFI Universe 19. Distribution of Monthly Returns - MSFI All Funds 08 2. Number of Products over time 13 20. Distribution of Monthly Returns – MSFI GBP 3. Number of Asset Managers over time 21. Distribution of Monthly Returns – MSFI EUR Invesco is one of the UK’s leading independent asset managers, 4. Number of Products per Asset Manager 22. Distribution of Monthly Returns – MSFI USD supporting local authority and corporate pension schemes, insurance companies and other UK institutions. We’re recognised for providing diversified strategies and Section 2: Assets Under Management Section 6: Quant Screen solutions spanning equities, fixed income, multi asset, real estate, private equity, and other alternatives. While clients 5. AuM of MSFI Universe 23. CAMRADATA IQ – MSFI GBP - 3 years choose Invesco for many reasons, our high conviction style, 09 6. MSFI Universe Asset Flows 15 24. CAMRADATA IQ – MSFI EUR - 3 years passion to exceed and commitment to providing a superior 7. Top 5 Asset Manager Inflows in GBP during the quarter 25. CAMRADATA IQ – MSFI USD - 3 years investment experience underpins everything we do. As part of 8. MSFI Universe Asset Flows Percentage during the quarter Invesco Ltd. we have the global capability needed to deliver our best ideas to investors around the world.

Section 3: Market Share Section 7: Performance Tables

9. All MSFI Funds 26. Performance – MSFI GBP 10 10. MSFI GBP 18 27. Performance – MSFI EUR 11. MSFI EUR 28. Performance – MSFI USD 12. MSFI USD

Section 4: Performance Section 8: Fees

13. Cumulative Returns - MSFI GBP v Market 29. Fees – All MSFI 11 14. Monthly Returns – MSFI GBP 21 30. Fees – MSFI over 3 years track record 15. Cumulative Returns – MSFI EUR v Market 31. Fees - MSFI under 3 yearss of track record 16. Monthly Returns - MSFI EUR 17. Cumulative Returns – MSFI USD v Market 18. Monthly Returns - MSFI USD

6 CAMRADATA.COM FIXED INCOME SERIES Investment Research

FIXED INCOME SERIES Investment Research

The MSFI market deconstructed Part 1 The MSFI Universe

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14 CAMRADATA.COM Section 7: 22: CAMRADATA IQ - MSFI GBP - 3 Years Data size: 26 products

Three Year Returns to Sep 2018 Three Year Relative Risk Return to Sep 2018

Return Risk Risk Return Risk Risk Reward Reward

Absolute Relative

Extrema Range Inter Quartile Range

IQ Scores : - Benchmark: IBA Great British Pound Interbank LIBOR 3 Months Delayed Excess Information Wins - Excess Organization Product Name Return % Ratio Losses % Hit Rate % Drawdown Strength Score Risk % Currency

1 M&G Investments M&G Alpha Opportunities Fund (A GBP Share Class) 3.86 1.23 0.08 72.22 0.78 0.79 3.13 GBP 2 TwentyFour Asset Management LLP MI TwentyFour Investment Funds - Dynamic Bond Fund 5.15 1.26 0.12 69.44 0.43 0.79 4.09 GBP 3 Payden & Rygel Payden Absolute Return Investing (PARI) Composite - GBP 2.09 1.70 0.09 75.00 0.54 0.74 1.23 GBP 4 Invesco Ltd. Invesco Global Unconstrained Bond Fund 3.44 1.39 0.11 69.44 -0.66 0.68 2.47 GBP 5 Kames Capital Kames Absolute Return Bond Fund 1.27 1.74 0.05 72.22 0.65 0.67 0.73 GBP 6 J.P. Morgan Asset Management JPM Unconstrained Bond Fund 2.87 1.37 0.25 61.11 0.11 0.64 2.09 GBP 7 MacKay Shields LLC MacKay Shields Unconstrained Bond Portfolio Class E1 GBP Shares 3.56 1.22 0.03 72.22 0.03 0.62 2.93 GBP 8 AB (AllianceBernstein) AB Diversified Yield Plus 2.21 1.18 0.10 66.67 -0.86 0.51 1.87 GBP 9 Putnam Investments Limited Putnam Fixed Income Global Alpha Fund 3.01 0.98 0.00 69.44 0.28 0.51 3.06 GBP 10 Amundi Asset Management Amundi Funds II- Strategic Income - GBP hedg Pooled Lux 2.88 0.94 0.34 55.56 -1.47 0.47 3.08 GBP 11 Aberdeen Standard Investments Aberdeen Target Return Bond Fund 1.35 1.05 0.00 66.67 0.30 0.42 1.29 GBP 12 Loomis Sayles Loomis Sayles Strategic Alpha Fund - GBP 2.00 0.93 0.02 66.67 0.17 0.41 2.15 GBP 13 BlackRock BlackRock Absolute Return Bond Fund 1.52 1.05 0.02 66.67 -0.40 0.40 1.45 GBP 14 Stone Harbor Investment Partners LP Stone Harbor Multi Asset Credit QIF Fund - I Share GBP 2.76 0.72 0.06 61.11 -1.02 0.39 3.83 GBP 15 T Rowe Price Group, Inc. T. Rowe Price Funds SICAV - Dynamic Global Bond Fund 0.31 0.13 0.12 47.22 -2.24 0.27 2.37 GBP 16 Insight Investment Management (Global) Limited Bonds Plus Fund (C0041) 0.30 0.14 0.05 50.00 -1.18 0.24 2.09 GBP 17 Threadneedle Asset Management Ltd Threadneedle Global Opportunities Bond Fund (T6GOBF) -1.59 -0.55 -0.19 47.22 -1.08 0.12 2.91 GBP 18 Investec Asset Management Investec Target Return Fund -1.33 -0.74 -0.08 41.67 -3.77 0.07 1.80 GBP

15 CAMRADATA.COM Section 7: 23: CAMRADATA IQ - MSFI EUR - 3 Years Data size: 16 products

Three Year Returns to Sep 2018 Three Year Relative Risk Return to Sep 2018

Return Risk Risk Return Risk Risk Reward Reward

Absolute Relative

Extrema Range Inter Quartile Range

IQ Scores : - Benchmark: EURO INTERBANK 3 MTH Excess Information Wins - Excess Organization Product Name Return % Ratio Losses % Hit Rate % Drawdown Strength Score Risk % Currency

1 M&G Investments M&G Alpha Opportunities Fund (A EUR Share Class) 3.78 1.23 0.17 69.44 0.77 0.81 3.07 EUR 2 La Française La Française Lux - Multistratégies Obligataires 3.88 1.20 0.15 66.67 -0.21 0.69 3.24 EUR 3 NN Investment Partners Holdings N.V NN (L) First Class Yield Opportunities P Cap 3.92 1.06 0.20 63.89 -0.15 0.69 3.69 EUR 4 Union Bancaire Privée, UBP SA UBAM - Absolute Return Fixed Income 2.34 1.21 0.16 63.89 0.03 0.66 1.94 EUR 5 MacKay Shields LLC MacKay Shields Unconstrained Bond Portfolio Class E1 EUR Shares 3.43 1.17 0.02 72.22 0.03 0.64 2.93 EUR 6 Invesco Ltd. Invesco Active Multi-Sector Credit Fund (S-AD Shares) 3.82 1.15 0.07 69.44 -0.71 0.54 3.31 EUR 7 Insight Investment Management (Global) Limited Bonds Plus Fund (EUR) 1.87 0.89 0.11 61.11 -0.36 0.36 2.09 EUR 8 Vontobel Asset Management Vontobel Fund - Bond Global Aggregate 1.95 0.49 0.14 55.56 -0.52 0.31 3.96 EUR

16 CAMRADATA.COM Section 7: 24: CAMRADATA IQ - MSFI USD - 3 Years Data size: 39 products

Three Year Returns to Sep 2018 Three Year Relative Risk Return to Sep 2018

Return Risk Risk Return Risk Risk Reward Reward

Absolute Relative

Extrema Range Inter Quartile Range

IQ Scores : - Benchmark: US INTERBANK 3 MTH (LDN:BBA) - TOT RETURN IND Excess Information Wins - Excess Organization Product Name Return % Ratio Losses % Hit Rate % Drawdown Strength Score Risk % Currency

1 PGIM Fixed Income PGIM Absolute Return Bond Fund CL R6 4.11 1.94 0.04 77.78 1.08 0.83 2.12 USD 2 Nomura Asset Management Global Nomura Funds Ireland Global Dynamic Bond Fund 4.77 1.61 0.31 66.67 0.50 0.80 2.96 USD 3 TCW TCW Unconstrained Fixed Income 2.45 2.75 0.14 77.78 0.39 0.79 0.89 USD 4 Payden & Rygel Payden Absolute Return Investing (PARI) Composite 2.31 1.88 0.12 75.00 0.82 0.78 1.23 USD 5 Logan Circle Partners, L.P. Long / Short Credit 3.65 1.53 0.17 69.44 0.52 0.74 2.39 USD 6 MacKay Shields LLC MacKay Shields Unconstrained Bond Portfolio Class E1 USD Shares 3.92 1.34 0.07 72.22 0.38 0.73 2.93 USD 7 Invesco Ltd. Invesco Multi-Sector Credit Composite 4.37 1.39 0.16 69.44 -0.46 0.71 3.14 USD 8 AXA Investment Managers AXA WF Global Strategic Bonds_ I USD 3.75 1.32 0.31 63.89 0.64 0.70 2.84 USD 9 J.P. Morgan Asset Management JPM Global Strategic Bond Fund 2.78 1.51 0.21 63.89 0.26 0.65 1.84 USD 10 Loomis Sayles Loomis Sayles Strategic Alpha 2.77 1.31 0.06 69.44 0.66 0.63 2.12 USD 11 Hermes Investment Management Hermes Absolute Return Credit Fund 1.76 1.71 0.06 72.22 -0.41 0.62 1.03 USD 12 AB (AllianceBernstein) Multi-Sector Credit 3.55 1.25 0.08 69.44 -0.30 0.61 2.83 USD 13 Stone Harbor Investment Partners LP Multi Asset Credit - Composite 4.07 1.09 0.16 63.89 -0.61 0.60 3.75 USD 14 Union Bancaire Privée, UBP SA UBAM - Absolute Return Low Vol Fixed Income 1.37 1.59 0.02 75.00 0.04 0.59 0.86 USD 15 Principal Global Investors Global Credit Opportunities Composite 3.65 0.91 0.31 58.33 -1.10 0.51 4.00 USD 16 Amundi Asset Management Amundi Funds II- Strategic Income - USD Pooled Lux 3.02 0.96 0.22 61.11 -1.24 0.47 3.13 USD 17 BlackRock BGF Fixed Income Global Opportunities Fund 1.98 1.14 0.04 66.67 -0.57 0.46 1.74 USD 18 Mirae Asset Global Investments Mirae Asset Global Emerging Opportunities Bond Fund 2.70 1.08 -0.02 69.44 -0.99 0.46 2.51 USD 19 Pictet Asset Management Global Fixed Income Absolute Return Consolidated 1.52 1.02 -0.04 69.44 -0.99 0.39 1.49 USD 20 Western Asset Management Macro Opportunities Composite 4.94 0.71 -0.12 63.89 -1.22 0.38 7.00 USD

17 CAMRADATA.COM Section 7: Performance Tables

25: Performance - MSFI GBP 26: Performance - MSFI EUR

30 September 2018 GBP 30 September 2018 EUR

Manager/Fund 3 Years 1 Year 3 Months Manager/Fund 3 Years 1 Year 3 Months

Ranked by performance over 3 years % Rank % Rank % Rank Ranked by performance over 3 years % Rank % Rank % Rank

(Median of Universe) 2.65 0.11 0.44 (Median of Universe) 2.37 -0.53 0.42

TwentyFour AM / MI TwentyFour Investment Funds - 5.6 (1) 1.56 (5) 0.98 (3) NN IP / NN First Class Yield Opportunities 3.77 (1) -0.18 (4) 1.82 (1) Dynamic Bond Fund M&G / M&G Alpha Opportunities Fund (B GBP Share Class) 4.32 (2) 1.68 (3) 0.87 (6) NN IP / NN (L) First Class Yield Opportunities P Cap 3.63 (2) -0.35 (7) 1.65 (2)

M&G / M&G Alpha Opportunities Fund (A GBP Share Class) 4.32 (2) 1.67 (4) 0.87 (6) La Française / La Française Lux - Multistratégies 3.59 (3) -0.87 (13) 0.26 (12) Obligataires M&G / M&G Total Return Credit Investment Fund (C GBP 4.22 (4) 1.4 (7) 0.83 (10) Amundi / Amundi Funds Credit Unconstrained 3.58 (4) -0.56 (10) 1.4 (3) Share Class) M&G / M&G Total Return Credit Investment Fund (F GBP 4.22 (4) 1.39 (8) 0.84 (9) Invesco / Invesco Active Multi-Sector Credit Fund (A-Acc 3.53 (5) -1.61 (15) 0.81 (5) Share Class) Shares) MacKay Shields / MacKay Shields Unconstrained Bond 4.02 (6) 0.92 (11) 1.35 (2) M&G / M&G Alpha Opportunities Fund (A EUR Share Class) 3.49 (6) 0.68 (1) 0.6 (6) Portfolio Class E1 GBP Shares Invesco / Invesco Global Unconstrained Bond Fund 3.91 (7) -0.03 (18) 0.85 (8) M&G / M&G Total Return Credit Investment Fund (A EUR 3.37 (7) 0.41 (2) 0.56 (9) Share Class) Putnam / Putnam Fixed Income Global Alpha Fund 3.48 (8) 2.9 (1) 0.79 (11) MacKay Shields / MacKay Shields Unconstrained Bond 3.14 (8) -0.05 (3) 1.08 (4) Portfolio Class E1 EUR Shares Amundi / Amundi Funds II- Strategic Income - GBP hedg 3.35 (9) -1.61 (23) 0.53 (13) Invesco / Invesco Global Total Return (EUR) Bond Fund 2.37 (9) -0.5 (9) 0.2 (13) Pooled Lux J.P. Morgan / JPM Unconstrained Bond Fund 3.34 (10) 1.06 (10) 1.46 (1) UBP / UBAM - Absolute Return Fixed Income 2.04 (10) -0.32 (5) 0.28 (10)

Stone Harbor / Stone Harbor Multi Asset Credit QIF Fund - I 3.24 (11) -2.24 (25) 0.5 (15) Vontobel / Vontobel Fund - Bond Global Aggregate 1.65 (11) -1.1 (14) -0.66 (17) Share GBP Invesco / Invesco Tactical Bond Fund (UK) 3.22 (12) 0.39 (15) 0.93 (4) Insight / Bonds Plus Fund (EUR) 1.56 (12) -0.66 (11) 0.27 (11)

AB (AllianceBernstein) / AB Diversified Yield Plus 2.69 (13) -0.19 (19) 0.39 (18) NN IP / NN (L) Absolute Return Bond 1.12 (13) -0.45 (8) 0.58 (8)

AB (AllianceBernstein) / Diversified Yield Plus Portfolio - S 2.61 (14) -0.27 (20) 0.37 (19) NN IP / NN Absolute Return Bond 1.08 (14) -0.32 (5) 0.59 (7) (GBP) Net Payden / Payden Absolute Return Investing (PARI) 2.57 (15) 0.86 (12) 0.51 (14) Vontobel / Vontobel Fund – Absolute Return Bond (EUR) 0.08 (15) -0.7 (12) -0.16 (14) Composite - GBP Loomis Sayles / Loomis Sayles Strategic Alpha Fund - GBP 2.48 (16) 0.85 (13) 0.42 (17) Insight / BNY Mellon Absolute Return Bond (C0850) -0.29 (16) -3 (17) -0.37 (15)

BlackRock / BlackRock Absolute Return Bond Fund 2.01 (17) 0.11 (16) 0.44 (16) Insight / Absolute Insight Currency (EUR) -4.36 (17) -4.73 (18) -1.72 (18)

Aberdeen Standard Investments / Aberdeen Target Return 1.84 (18) 2.35 (2) 0.71 (12) Aviva Investors / Aviva Investors Multi Strategy Fixed -1.67 (16) -0.54 (16) Bond Fund Income Kames Capital / Kames Absolute Return Bond Fund 1.75 (19) 1.07 (9) 0.37 (19)

Kames Capital / Kames Absolute Return Bond Global Fund 1.57 (20) 0.83 (14) 0.32 (21)

T. Rowe Price / T. Rowe Price Funds SICAV - Dynamic 0.81 (21) -2.29 (26) -0.38 (28) Global Bond Fund Insight / Bonds Plus Fund (C0041) 0.79 (22) -1.59 (22) 0.02 (24)

Insight / Bonds Plus 400 Fund (C0894) 0.54 (23) -3.48 (29) -0.17 (26)

Investec / Investec Target Return Fund -0.82 (24) -4.73 (31) 0.02 (24)

Threadneedle / Threadneedle Global Opportunities Bond -1.08 (25) -1.46 (21) 0.26 (22) Fund (T6GOBF)

18 CAMRADATA.COM Section 7: Performance Tables

27: Performance - MSFI USD

30 September 2018 USD

Manager/Fund 3 Years 1 Year 3 Months

Ranked by performance over 3 years % Rank % Rank % Rank

(Median of Universe) 3.62 1 0.91

Western AM / Macro Opportunities Composite 6.08 (1) -5.59 (41) -1.07 (40)

NAM Global / Nomura Funds Ireland Global Dynamic Bond 5.9 (2) 3.19 (4) 0.9 (23) Fund Invesco / Invesco Multi-Sector Credit Composite 5.51 (3) 1.12 (20) 1.75 (3)

PGIM Fixed Income / PGIM Absolute Return Bond Fund CL 5.27 (4) 3.71 (3) 0.88 (26) R6 Stone Harbor / Multi Asset Credit - Composite 5.23 (5) 0.54 (24) 1.37 (11)

MacKay Shields / MacKay Shields Unconstrained Bond 5.07 (6) 2.72 (7) 1.75 (3) Portfolio Class E1 USD Shares AXA IM / AXA WF Global Strategic Bonds_ I USD 4.91 (7) 2.6 (8) 1.02 (20)

MacKay Shields / Unconstrained Bond Composite 4.87 (8) 2.21 (13) 1.51 (7)

Principal / Global Credit Opportunities Composite 4.82 (9) -0.78 (32) 1.61 (6)

Logan Circle / Long / Short Credit 4.81 (10) 4.5 (2) 2.61 (1)

AB (AllianceBernstein) / Multi-Sector Credit 4.72 (11) 1.67 (17) 1.45 (10)

PGIM Fixed Income / Absolute Return Composite 4.71 (12) 3.12 (5) 0.83 (29)

Amundi / Absolute Return Bonds and Currencies High 4.58 (13) -0.22 (30) 1.82 (2) Volatility Composite Amundi / Amundi Funds II- Strategic Income - USD Pooled 4.2 (14) 0.08 (28) 0.86 (28) Lux J.P. Morgan / JPM Global Strategic Bond Fund 3.96 (15) 2.52 (9) 1.68 (5)

Loomis Sayles / Loomis Sayles Strategic Alpha 3.95 (16) 2.92 (6) 0.88 (26)

Mirae Asset / Mirae Asset Global Emerging Opportunities 3.88 (17) 0.37 (27) 1.48 (9) Bond Fund BGIM / Global Unconstrained Fixed Income Composite 3.88 (17) -2.73 (38) 0.41 (36)

BGIM / Legg Mason Brandywine Global Fixed Income 3.66 (19) -2.92 (39) 0.57 (33) Absolute Return Fund TCW / TCW Unconstrained Fixed Income 3.64 (20) 2.26 (12) 1.06 (18)

Manulife Asset Management (Europe) Limited / Strategic 3.6 (21) -1.16 (34) 1.14 (15) Fixed Income Opportunities Payden / Payden Absolute Return Investing (PARI) 3.5 (22) 2.39 (10) 0.9 (23) Composite Payden / Payden Absolute Return Bond Fund 3.42 (23) 2.36 (11) 0.9 (23)

AB (AllianceBernstein) / AB Unconstrained Bond 3.32 (24) -0.38 (31) 0.44 (34)

BlackRock / BGF Fixed Income Global Opportunities Fund 3.18 (25) 1 (21) 0.37 (37)

19 CAMRADATA.COM Section 8: Fees

Asset management fees are typically based on a percentage of assets under management.

Whilst management fee structures vary from asset manager to asset manager, most tend to have a tier based approach charging percentages for different amounts. Some may also put in place a minimum investment amount or indeed a minimum fee.

However, for the purposed of the analysis shown here we are only looking at the First Tier percentage fee the asset managers are charging.

Please note asset managers will charge lower percentages for assets they manage above the first tier amount but these are not shown here.

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