Carmignac Portfolio Credit

Luxembourg SICAV sub-fundGlobal marketArticle 6

Share Class

LU1623762843

Access the entire credit spectrum for maximum flexibility

Conviction-driven and opportunistic strategies on global credit markets.
Non-benchmarked approach with high selectivity for a rigorous portfolio allocation.

Key documents

Monthly Factsheet KID

Asset Allocation

Bonds94.4 %

Other5.6 %

Data as of: 29 Nov 2024.

Risk Indicator

2/7

Recommended Minimum Investment Horizon

3 years

Cumulative Performance since launch Cumulative Performance 10 YearsCumulative Performance 5 YearsCumulative Performance 3 YearsCumulative Performance 12 Months

+ 47.9 %

0.0 %

+ 18.2 %

+ 4.0 %

+ 8.1 %

From 31/07/2017
To 27/12/2024

Calendar Year Performance 2014Calendar Year Performance 2015Calendar Year Performance 2016Calendar Year Performance 2017Calendar Year Performance 2018Calendar Year Performance 2019Calendar Year Performance 2020Calendar Year Performance 2021Calendar Year Performance 2022Calendar Year Performance 2023

-

+ 1.8 %

+ 1.7 %

+ 20.9 %

+ 10.4 %

+ 3.0 %

- 13.0 %

+ 10.6 %

Net Asset Value

147.95 €

Asset Under Management

1 666 M €

Market

Global market

SFDR - Fund Classification

Article

6

Data as of: 29 Nov 2024.

Data as of: 27 Dec 2024.

Past performance is not necessarily indicative of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor). The return may increase or decrease as a result of currency fluctuations, for the shares which are not currency-hedged. The Sustainable Finance Disclosure Regulation (SFDR) 2019/2088 is a European regulation that requires asset managers to classify their funds as either 'Article 8' funds, which promote environmental and social characteristics, 'Article 9' funds, which make sustainable investments with measurable objectives, or 'Article 6' funds, which do not necessarily have a sustainability objective. For more information please refer to https://eur-lex.europa.eu/eli/reg/2019/2088/oj.

Fixed income strategiesCarmignac Portfolio Credit

Carmignac Portfolio Credit fund performance

Take a look at the Fund's performance supported by our Fund managers’ market commentary and strategy insight.

Our monthly comments

Data as of: 31 Oct 2024.

Fund management team

Pierre Verlé

Head of Credit, co-Head of Fixed Income, Fund Manager

[Management Team] [Author] Deneuville Alexandre

Alexandre Deneuville

Fund Manager

Market environment

US growth continues to gravitate above its historical average at +2.8% in the third quarter, benefiting from resilient domestic demand.- All the indicators point to greater resilience in the US economy, while inflation has also shown resilience, with a smaller-than-expected fall in the headline component to +2.4% YoY and a reacceleration in core inflation to +3.3% YoY.- The low point now seems to be behind us in the eurozone, as indicated by the stronger-than-expected rebound in GDP growth of +0.4% in the third quarter in the zone, on the back of more favourable momentum in Germany and France.- The European Central Bank cut its key rate by a further 25bp this month. This decision comes against a backdrop of headline inflation in the region at a 3-year low, contrasting with core inflation and the service component of inflation, which are still above the ECB's target at +2.7% and +3.9% respectively.- This environment of resilient growth has pushed yields higher, with the US 10-year gaining +50bp and its German counterpart +27bp. Risk appetite also paused, with credit spreads widening by +3bp on the Itraxx Xover index over the month.

Performance commentary

The Fund delivered a negative performance in absolute terms in October, slightly down on its performance indicator in an environment of sharply accelerating interest rates and slightly widening credit spreads.- Our issuer selection once again made a positive contribution to the Fund's performance, particularly the main investment themes, such as financial bonds and the energy sector.- On the other hand, a special situation in our portfolio made a negative contribution to performance following unfavourable news.- Finally, we continue to benefit from our collateralized loan obligations (CLOs), which are performing steadily.

Outlook strategy

We continue to focus on our core investment themes through a selection of high yield bonds, energy, financials and our selection of CLOs (collateralized loan obligations).- In addition, in this volatile environment, we are maintaining our market hedging strategies at over 20%, to protect the portfolio against the risk of further market disruption, while focusing on alpha.- Indeed, after years of weakness due to abundant liquidity and a low cost of capital, default rates should return to more normal levels, which we see as a catalyst that should create real idiosyncratic opportunities.- Finally, the portfolio's high carry (over 6.9%) and attractive credit valuations should mitigate short-term volatility and help generate medium- to long-term returns.

Performance Overview

Data as of: 26 Dec 2024.

View Performance in detail

Past performance is not necessarily indicative of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor). Morningstar Rating™ : © Morningstar, Inc. All Rights Reserved. The information contained herein: is proprietary to Morningstar and/or its content providers; may not be copied or distributed; and is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.The return may increase or decrease as a result of currency fluctuations, for the shares which are not currency-hedged.

Source: Carmignac at 30/12/2024

Carmignac Portfolio Credit Portfolio overview

Below is an overview of the composition of the portfolio.

Geographical Breakdown

Data as of: 29 Nov 2024.


Europe	71.3 %
Latin America	9.7 %
North America	8.7 %
Eastern Europe	3.4 %
Asia	2.6 %
Africa	2.2 %
Middle East	2.1 %
Total % of bonds	100.0 %

Europe71.3 %


France	13.5 %
United Kingdom	12.0 %
Ireland	10.8 %
Italy	7.6 %
Spain	4.2 %
Grèce	4.2 %
Austria	3.9 %
Norvège	3.0 %
Switzerland	2.6 %
Suède	2.3 %
Belgium	1.7 %
Netherlands	1.6 %
Germany	1.5 %
Portugal	1.2 %
Finland	1.2 %
Jersey	0.1 %

Asset Allocation

Data as of: 29 Nov 2024.


Bonds	94.4 %
Cash, Cash Equivalents and Derivatives Operations	3.4 %
Equities	2.2 %
Credit Default Swap	-19.7 %

View details

Top 10

Data as of: 29 Nov 2024.


TOTALENERGIES 17/07/2036	2.0%
PARATUS ENERGY SERVICES 9.50% 27/12/2026	1.4%
ENI TV 13/07/2029	1.4%
BELFIUS BANK 06/05/2031	1.2%
BP CAPITAL MARKETS 22/03/2029	1.2%
BORR IHC LTD / BORR FINANCE 10.38% 15/11/2026	1.1%
IWG US FINANCE 6.50% 28/03/2030	1.0%
NEWCO HOLDING USD 20 9.38% 07/11/2026	1.0%
BNP PARIBAS 06/12/2029	1.0%
FINNAIR OYJ 4.75% 24/02/2029	0.9%

View details

View Portfolio allocation

Key figures

Below are the key figures for the Fund, which will give you a clearer idea of the Fund's management and bond positioning.

Exposure Data

Data as of: 29 Nov 2024.

Modified Duration3.5

Yield to Maturity6.5 %

Average Coupon6.4 %

Number of Issuers230

Number of Bonds308

Average RatingBB+

Yield to Maturity (YTM) is the estimated annual rate of return expected on a bond if held until maturity and assuming all payments made as scheduled and reinvested at this rate. For perpetual bonds, the next call date is used for computation. Note that the yield shown does not take into account the FX carry and fees and expenses of the portfolio. The portfolio’s YTM is the weighted average individual bonds holdings' YTMs within the portfolio.