(Boursier.com) — With the launch of Palatine Objective 30-month returna buy&hold type bond fund integrating ESG criteria, Palatine Asset Management intends to allow investors to benefit from the opportunities offered by the rise in interest rates, in particular short rates which are currently reaching all-time highs in the ten years, and by the inversion of the yield curve which makes it possible to crystallize attractive returns over a horizon of 30 months.
Diversified allocation.
Palatine Objectif Rende 30 mois is based on a diversified allocation to limit credit risk and maximize the return offered. The manager therefore carries out a rigorous selection of issuers mainly located in the OECD zone and presenting solid fundamentals over relatively short maturities. At the time of incorporation, it is invested for a minimum of 20% in securities with a maturity of more than 2 years and consists mainly of bonds denominated in euros known as high credit quality.
Details of the exhibition.
It can also marginally invest up to 15% of its assets in so-called non-investment grade bonds in the high tranche without falling below a BB- rating, which limits its exposure tactically and defensively. Thus the rating targeted by the portfolio is between AAA and BB-, the average minimum rating of the portfolio is BBB- equivalent to Standard & Poors.
ESG criteria.
The integration of ESG criteria also makes it possible to adopt a holistic approach to risk. “In a market environment that is still complicated and marked by the geopolitical situation, inflation and high levels on the equity markets, Palatine Objectif Rendement 30 mois presents itself as an excellent opportunity to capture an attractive return during this period of relative uncertainty. pending an improvement in visibility on the markets,” underlines Michel Escalera, CEO of Palatine Asset Management. “It therefore perfectly meets the profile of a cautious investor,” he continues.
Subscription open.
Subscription is open until June 22 with a maturity date of December 19, 2025. Its rate of return will be estimated more precisely when building up the portfolio from June 22. Based on current market levels, it can be assessed in a range between 3.5% and 4%.
Conclusion
A 30-month bond fund…
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