Category: Open Ended Investment Company
The fund aims to provide a combination of capital growth and income, net of the
Ongoing Charge Figure, higher than the average return of the IA £ Corporate
Bond Sector over any five-year period.
Core investment: At least 70% of the fund is invested, directly or through
derivatives, in investment grade bonds and investment grade asset-backed
securities, issued by companies from anywhere in the world, including emerging
markets. These bonds are denominated in Sterling or hedged back to Sterling.
Other investments: The fund may invest in government bonds, high yield bonds,
high yield asset-backed securities, other funds (including funds managed by
M&G) and cash or assets that can be turned into cash quickly.
Investments in asset-backed securities are limited to 20% of the fund.
Derivatives: The fund may invest via derivatives and use derivatives to reduce the
risks and costs of managing the fund.
Strategy in brief: The fund manager selects investments based on an
assessment of macroeconomic, asset, sector and stock-level factors. Spreading
investments across issuers and industries is an essential element of the strategy.
Benchmark: IA £ Corporate Bond Sector
The benchmark is a target which the Fund seeks to outperform. The sector has
been chosen as the benchmark as the fund is a constituent of the sector. The
benchmark is used solely to measure the fund’s performance and does not
constraint portfolio construction.
The fund is actively managed. The fund manager has complete freedom in
choosing which investments to buy, hold and sell in the fund.
The benchmark is shown in the share class currency.
You can find more information about the fund in the Prospectus.
You can find an explanation of some of the terms used in this document in the
glossary at https://docs.mandg.com/docs/glossary-master-en.pdf
The following information can be found on the M&G website:
￭ an explanation of some terms used in this document: https://docs.mandg.com/
￭ the Prospectus including the fund’s objective and investment policy.
You can buy and sell shares in the fund on any business day. Instructions received
before 11.30 CET will be dealt at that day’s price.
Any income from the fund may be paid out to you quarterly.
In addition to the charges set out in the charges section, the fund will incur
portfolio transaction costs which are paid from the assets of the fund.
Recommendation: This fund may not be appropriate for investors who plan to
withdraw their money within 5 years.