Aegon Investment Grade Bond Fund Income
HL comment
Our view on this Fund
The impact of the credit crunch has been felt across bond markets and the fund’s exposure to financial bonds, albeit the stronger names, has been a drag on performance. The fund had no exposure to the insurer AIG, preferring the bonds of companies like Lloyds TSB and Credit Agricole. David Roberts believes that while risks remain, a significant amount of bad news is already priced into bonds.
12-11-2008
Information from the fund manager
Please note: The information in this box has been provided by, and is issued by, the fund manager and not Hargreaves Lansdown.
HL group comment: Aegon
Our view on this Fund Management Group as a whole
Aegon Asset Management in the UK is a subsidiary of the Aegon NV group. The headquarters for the UK division are in Edinburgh, although there is close contact with their offices in the Netherlands and the US. Until January 2001, Aegon Asset Management was better known as Scottish Equitable. Although the two companies joined together in 1994, the decision to re-brand the Asset Management arm of the two companies took place in 2001. They manage more than £40 billion of assets in the UK and are well known for their fixed income range of investments. They also have a growing reputation in UK equities and a distinguished record in ethical investing.
13-09-2007
HL sector comment: GBP Corporate Bond
Our view on this sector
Yields on many investment grade and higher risk high yielding bonds have gone up dramatically in the last few months as many investors have sold forcing prices down and yields up. The level of defaults being priced in looks historically high and are far greater than seen during the Great Depression giving an opportunity for investors to tap into high yields and potentially capital growth as global economic concerns ease. Recent sector changes make it easier for investors to compare like with like in the corporate bond universe.
20-11-2008