EnCor Fixed Income Strategy,
Fund for Qualified investors
INVESTMENT PLAN
The sub-fund’s investment strategy is to grow investors’ funds mainly through investments in sovereign and corporate debt instruments from various sectors, issued by issuers mainly from the Czech Republic, supplemented by issuers from the EU and the USA, while maintaining a low level of credit risk. In the case of foreign currencies, investments are hedged against currency risk in CZK.
The sub-fund’s investment strategy additionally includes the provision of secured loans, for example to developers with a proven track record of successful projects or companies with positive cash flow.
KEY INFORMATION
| Fund type: | Fund for qualified investors |
| ISIN (class A): | CZ0008043106 |
| Currency: | CZK |
| Date of foundation: | 11 January 2018 |
| Date of inception: | 1 May 2018 |
| Liquidity: | monthly |
| Management Fee: | 0,45 % p.a. |
| Total cost (TER): | Do 1,2 % p.a. |
| Minimum investment: | 1 mil. CZK |
| Investment horizon: | 1 year or more |
WHY INVEST IN THE FUND?
STABLE YIELD
The fund achieves a stable return, as the development of the unit price in the previous 5 years indicates. The fund aims to achieve a long-term return of 1.5-2% above the level of bank deposits.
YIELD ABOVE INFLATION
We evaluate 20-30 new opportunities per month, often unavailable to the retail investor, from which the fund ultimately invests in 1-2 with the best risk/reward ratio. In this way, we can achieve superior returns while maintaining low risk.
RISK MANAGEMENT
Our risk management focuses on diversification across sectors and issuers, which protected the fund against a significant downturn during the Covid-19 outbreak. We also actively manage interest rate risk, which helped the fund achieve a positive return even in 2022, when the bond market was falling significantly.