High-quality portfolio designed for long-term stability

1. Aimed at mitigating risk with a long-term vision
   The Global Corporate Bond fund offers a high-quality approach to investment. By excluding sub-investment grade securities, this fund remains committed to long-term growth by minimising its exposure to credit risks.


2. Portfolio directly crafted by a global team of sector specialists
   Operating a direct pipeline from idea to investment, the Global Corporate Bond fund enables a dedicated team of global investment analysts to drive research-led returns with conviction and efficiency.


3. Fundamental security selection
   With the fund’s focus on fundamental research and the ability of its investment analysts to express their convictions directly into its portfolio, the majority of the fund’s excess returns is expected to be driven through security and industry selection.

Recent global events have set the stage for uncertain economic times.

Offering the potential for stability and resilience

• Periods of uncertainty highlight the importance of having a fixed income allocation in a portfolio. Our Global Corporate Bond fund is especially suited; its portfolio is dedicated to investment-grade issues and does not actively allocate to high-yield credit, resulting in greater stability and resilience from its lower credit risk.
   

Volatility can exacerbate risk

• With today’s market volatility, scope creep (an intentional allocation to riskier, high-yield issues) should be avoided more than ever, as any risks can be amplified. We believe bond funds should behave like bond funds.
   

An information advantage

• With the macroeconomic environment shifting rapidly, this is a good time for active management. This is especially true for the Global Corporate Bond fund, where a team of sector specialists build the portfolio alongside the Principal Investment Officer. With a deep understanding of the individual industries and sectors, our analysts can react quickly when the market environment changes.

The fund’s investment objective is to provide your clients, over the long term, with a high level of total return consistent with capital preservation and prudent risk management by investing in corporate investment-grade bonds worldwide.

• High-quality returns: This fund consists of exclusively investment-grade credit, selected by a global team of sector specialists, while some of its peers may be actively allocating to high-yield securities. The goal? To provide more stable outcomes for your clients’ investment-grade credit exposure.


• Long-term vision: Excluding riskier high-yield bonds to avoid uncertain short-term wins enables the Global Corporate Bond fund to stick to its longer-term vision, and provides a clear risk profile when incorporated as part of your client’s investment portfolio.

Invested capital is at risk; the funds aim to achieve a positive return over the long term although there is no guarantee this will be achieved over that or any time period.

Fundamental research drives security selection within the Global Corporate Bond fund portfolio. Integration with equity research allows our fixed income analysts to build truly differentiated insights, and 90% of expected excess returns are driven through security and industry selection. The fund’s consistent track record evidences Capital Group’s success when investing in this corporate bond asset class.

Adopting a truly long-term investment strategy is a crucial part of the Global Corporate Bond approach.
 

Past results are not a guarantee of future results.

Taking the long view
We base our investment decisions on a long-term perspective, aligning our goals with the interests of your clients. Superior, long-term returns are our goal. The Global Corporate Bond investment team is rewarded for their results, not the level of assets they manage.