- Jupiter Dynamic Bond (the “Fund”) primarily invests in fixed interest securities. A significant portion of the Fund may be invested in high yield bonds, investment grade bonds, government bonds and convertible bonds.
- Such investments may be subject to interest rate risks, credit risks, repayment risks, liquidity risks, exchange rate risks and risks associated with changing market conditions. Investments in higher yielding assets also carry a greater risks of default and downgrading.
- The Fund may make use of but not limited to any one or a combination of the following financial derivative instruments (“FDI”) for hedging, efficient portfolio management or investment purposes: currency forward contracts (including non-deliverable forwards), futures, options (including interest rate, credit and currencies), swaps (including credit default swaps, interest rate swaps, total return swaps) credit linked instruments and other fixed income, currency and credit derivatives. In adverse circumstances, the Fund’s use of FDI may become ineffective in hedging / efficient portfolio management and the Fund may suffer significant losses in relation to those investments.
- Income (“Inc”) or Income Distribution (“Inc Dist”) Classes of the Fund may at its discretion pay dividend out of gross income while charging/ paying all or part of the fund’s fees and expenses to/ out of the capital of the fund, resulting in an increase in distributable income for the payment of dividends by the fund and therefore, the fund may effectively pay dividend out of capital. Payment of dividends out of capital amounts to a return or withdrawal of part of an investor’s original investment or from any capital gains attributable to that original investment. Any distributions involving payment of dividends effectively out of the fund’s capital may result in an immediate reduction of the net asset value per unit.
- This investment involves risks which may result in loss of part or the entire amount of your investment. Investors should not base their investment decision on this document alone and must refer to the Hong Kong offering documents of the Fund for further details (including risk factors) prior to investing.
Flexible, active and unconstrained fixed income
The Jupiter Dynamic Bond Fund is a ‘go anywhere,’ high-conviction fund, meaning the managers are able to seek out the best opportunities within the fixed interest universe on a global basis while carefully managing downside risk.
Experienced, diversified
The highly experienced fund management team constantly assess the dynamics of global fixed income markets, managing risk in the portfolio through adjustments to asset allocation, security selection and duration management. The result is a flexible and highly diversified, global, unconstrained bond fund that can be the cornerstone of an investor’s fixed income allocation.
Go anywhere approach
The investment managers aim to deliver returns for investors through a range of market conditions by diversifying across different types of debt and across the credit spectrum. As a ‘go anywhere’ bond fund, the team have the freedom to seek the best opportunities in the global fixed income universe. The team is structured to be able to react quickly to new ideas and changing market circumstances rather than having to go through investment committees.
No benchmark
The unconstrained approach means that investors are not tied to a benchmark, as the fund shifts between government, investment grade and high yield bonds. It also has access to more complex assets such as derivatives with the aim of generating returns and/or reducing the overall costs and risks of the Fund.
Diversification potential
The ability of the fund managers to balance the portfolio between different subsectors of the fixed income universe can allow the fund to perform through a range of market conditions. Fixed income assets can act as a diversifier to investments in equities as the asset classes typically exhibit relatively low correlation to one another. The income stream from bonds may be more consistent than that provided by shares due to the defined nature of coupon payments. Furthermore, bonds can offer a means of providing an income above the interest rates available on savings accounts.
Investment philosophy
The team aims to maintain a balance between macro and credit risk. Long-term fundamental research underpins the active views. The team has an unconstrained investment approach and an emphasis on special themes. They favour credits with a clear commitment to de-leveraging and aim to identify and manage downside risk.
Active interest rate risk management
The possibility to flexibly alter the portfolio duration of the fund provides the managers with an additional lever to cushion portfolio risk or even to benefit from changes in interest rates.
Please note
Market and exchange rate movements can cause the value of an investment to fall as well as rise, and you may get back less than originally invested. The views expressed are those of the individuals mentioned at the time of writing, are not necessarily those of Jupiter as a whole, and may be subject to change. This is particularly true during periods of rapidly changing market circumstances.
Meet the team
Jupiter Fixed Income Team
Investors in the fund can benefit from the expertise and experience of our fund managers and credit analysts, who optimise exposure to all parts of the global bond market in any environment. The team is headed by Ariel Bezalel, Head of Strategy, Fixed Income, who has over 20 years of experience in sovereign and credit markets, along with Fund Manager Harry Richards, Fund Manager Vikram Aggarwal, a team of dedicated credit analysts led by Luca Evangelisti, Head of Credit Research, with additional expertise provided by Matthew Morgan, Investment Director, Fixed Income. The whole team is based in London, with the single location fostering strong team interaction, communication, and agility of active fund management.
Important information
This material is issued by Jupiter Asset Management (Hong Kong) Limited and has not been reviewed by the Securities and Futures Commission (“SFC”). Investment involves risk and the Hong Kong offering documents should be read for further details including the risk factors. Past performance is no guide to the future. The value of investments and the income from them can fall as well as rise and you may get back less than originally invested. The investment returns may be denominated in a foreign currency other than US/HK dollar. US/HK dollar-based investors are therefore exposed to fluctuations in the US/HK dollar/ foreign currency exchange rate. No information in this material should be interpreted as investment advice. Any holdings and stock examples are used for illustrative purposes only. The views expressed are those of the presenter at the time of preparation and may change in the future. If you are unsure of the suitability of this investment please contact your Financial Adviser. Prospective purchasers of Shares should inform themselves as to the legal requirements, exchange control regulations and applicable taxes in the countries of their respective citizenship, residence or domicile. The Hong Kong offering documents and Articles of Incorporation are available at www.jupiteram.com (has not been reviewed and approved by the SFC) and upon request. If you would like to make references to any of the technical terms shown in this material please refer to the glossary page of our website at http://www.jupiteram.com/en/Glossary, or ask for professional advice.