Fixed income strategies

Carmignac Portfolio Sécurité

Luxembourg SICAV sub-fundEuropean marketSRI Fund Article 8
Share Class

LU1792391911

Flexible, low duration solution to navigate European fixed income markets
  • Low duration euro fixed income Fund.
  • Flexible and active approach with a modified duration range from -3 to +4.
Asset Allocation
Bonds70.4 %
Other29.6 %
Data as of:  31 Jul 2024.
Risk Indicator
2/7
Recommended Minimum Investment Horizon
2 years
Cumulative Performance since launch
+ 7.5 %
0.0 %
+ 7.5 %
+ 3.7 %
+ 7.1 %
From 16/03/2018
To 29/08/2024
Calendar Year Performance 2023
-
-
-
-
- 3.5 %
+ 3.9 %
+ 2.5 %
+ 0.4 %
- 4.2 %
+ 4.5 %
Net Asset Value
100.07 €
Asset Under Management
1 417 M €
Market
European market
SFDR - Fund Classification

Article

8
Data as of:  29 Aug 2024.
​Past performance is not necessarily indicative of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor). The Sustainable Finance Disclosure Regulation (SFDR) 2019/2088 is a European regulation that requires asset managers to classify their funds as either 'Article 8' funds, which promote environmental and social characteristics, 'Article 9' funds, which make sustainable investments with measurable objectives, or 'Article 6' funds, which do not necessarily have a sustainability objective. For more information please refer to https://eur-lex.europa.eu/eli/reg/2019/2088/oj.

Carmignac Portfolio Sécurité fund performance

Take a look at the Fund's performance supported by our Fund managers’ market commentary and strategy insight.

Our monthly comments

Data as of:  31 Jul 2024.
Fund management team
[Management Team] [Author] Allier Marie Anne

Marie-Anne Allier

Fund Manager
[Management Team] [Author] Guedy Aymeric

Aymeric Guedy

Fund Manager, Analyst

Market environment

  • The United States reported robust growth of +2.8% in the second quarter, thanks to robust domestic demand.- The US labor market nevertheless showed signs of rebalancing, with a drop in private-sector hiring and a rise in the unemployment rate.- Growth in the eurozone also surprised positively, at +0.3% in the second quarter, as did inflation, which reaccelerated to +2.5% year-on-year.- In such environment, the European Central Bank and the US Federal Reserve maintained the status quo in their monetary policy, with the latter adopting a conciliatory stance and keeping a close eye on job market trends.- Lastly, the Bank of Japan tightened its monetary policy by a further 0.15% this year, and announced a detailed plan to reduce its balance sheet on the strength of inflation hovering above the 2% threshold.

Performance commentary

  • The Fund delivered a positive performance, in line with its performance indicator.- The portfolio mainly benefited from its exposure to credit, boosted by the fall in interest rates over the period and, to a lesser extent, by the narrowing of yield spreads. Our financial bonds were the main contributor, while our protective measures aimed at reducing our exposure to the riskiest part of the market had a slight impact on performance.- On the sovereign debt side, we benefited from our long positions on the short end of German debt, as interest-rate markets eased and yield curves steepened.- Finally, the portfolio continues to benefit from the good performance of our selection of Collateralized Loan Obligations (CLOs) and our exposure to money market instruments.

Outlook strategy

  • The resilience of the various economies, characterized by a soft landing in Europe thanks to improving real incomes, with inflation gradually returning towards target, should enable the ECB to gradually continue its rate-cutting cycle.- However, given the presence of both political and geopolitical risks, the portfolio maintains a balanced positioning, with a duration of 2.2 at the end of the period.- On the one hand, a significant allocation to credit, mainly invested in short-term, highly-rated corporate bonds and CLOs, offering an attractive source of carry.- And secondly, a long position on the short end of the German curve, which should benefit from a flight to quality in an unfavorable scenario, but also from ECB rate cuts. This position was slightly reduced at the end of the period, as the market now fully anticipates two further rate cuts for the rest of the year.- We are also retaining protection on the credit market (iTraxx Xover), as markets are trading at tight levels in a geopolitical context that remains uncertain.- Finally, an allocation in money market instruments, which represent an attractive source of carry with limited risk.

Performance Overview

Data as of:  29 Aug 2024.
​Past performance is not necessarily indicative of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor). Morningstar Rating™ :  © Morningstar, Inc. All Rights Reserved. The information contained herein: is proprietary to Morningstar and/or its content providers; may not be copied or distributed; and is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.
Source: Carmignac at 31/08/2024

Carmignac Portfolio Sécurité Portfolio overview

Below is an overview of the composition of the portfolio.

Geographical Breakdown

Data as of:  31 Jul 2024.
Europe78.2 %
North America14.1 %
Eastern Europe6.0 %
Asia-Pacific1.4 %
Latin America0.3 %
Total % of bonds100.0 %
Europe78.2 %
itItaly
18.1 %
esSpain
15.7 %
ieIreland
11.1 %
frFrance
9.4 %
deGermany
4.2 %
gbUnited Kingdom
3.5 %
Grèce
3.3 %
nlNetherlands
2.6 %
chSwitzerland
2.0 %
Norvège
1.8 %
ptPortugal
1.7 %
Suède
1.6 %
atAustria
1.2 %
adAndorra
0.9 %
beBelgium
0.6 %
fiFinland
0.3 %
smSanMarino
0.3 %
Luxembourg
0.2 %

Key figures

Below are the key figures for the Fund, which will give you a clearer idea of the Fund's management and bond positioning.

Exposure Data

Data as of:  31 Jul 2024.
Modified Duration2.1
Yield to Maturity4.3 %
Average Coupon3.1 %
Number of Issuers157
Number of Bonds251
Average RatingA-
Yield to Maturity (YTM) is the estimated annual rate of return expected on a bond if held until maturity and assuming all payments made as scheduled and reinvested at this rate. For perpetual bonds, the next call date is used for computation. Note that the yield shown does not take into account the FX carry and fees and expenses of the portfolio. The portfolio’s YTM is the weighted average individual bonds holdings' YTMs within the portfolio.

The strategy in a nutshell

Discover the Fund’s main features and benefits through the words of the Fund Managers.
Fund Management Team
[Management Team] [Author] Allier Marie Anne

Marie-Anne Allier

Fund Manager
[Management Team] [Author] Guedy Aymeric

Aymeric Guedy

Fund Manager, Analyst
For over 35 years, we have maintained our active and conviction-driven approach, while being able to adapt to different market configurations. This is what we want to continue offering to investors.
[Management Team] [Author] Allier Marie Anne

Marie-Anne Allier

Fund Manager
View Fund's characteristics
Reference to certain securities and financial instruments is for illustrative purposes to highlight stocks that are or have been included in the portfolios of funds in the Carmignac range. This is not intended to promote direct investment in those instruments, nor does it constitute investment advice. The Management Company is not subject to prohibition on trading in these instruments prior to issuing any communication. The portfolios of Carmignac funds may change without previous notice.
The reference to a ranking or prize, is no guarantee of the future results of the UCIS or the manager.
Carmignac Portfolio is a sub-fund of Carmignac Portfolio SICAV, an investment company under Luxembourg law, conforming to the UCITS Directive.