With low government bond yields and unattractive deposit rates, generating reliable and attractive income from traditional sources has become a challenge.
The fund's primary target is to deliver sustainable income by investing primarily across the broad and diverse global credit universe, with an annualised payout of 5% p.a.1,2 (as at the last record date, paid monthly).
Credit allocation is dynamically managed and unconstrained by a benchmark.
Investors seeking income can be more sensitive to capital loss and market drawdowns. Our proprietary process incorporates drawdown risk analysis to help us mitigate loss to investors’ capital relative to the market.
An in-built risk tool can identify which phase of the economic cycle each market is moving towards. This facilitates optimal credit selection to effectively manage drawdown risk.
We apply forward-looking themes, like technology disruption and changing demographics, in our credit selection process.
This helps us understand how the world is changing, and identify companies that are adapting well to change and those that might be vulnerable.
The fund draws on Schroders’ global credit platform, in-depth credit research expertise and bespoke quantitative techniques in a highly diversified strategy. A fund designed for the market environment of tomorrow.