Aviva Investors Premier Fixed Income Fund

Global aggregate investment capability

Our global aggregate process draws upon the extensive skill, resources and experience of our award-winning fixed income team. Our strategy aims to maximise the capabilities of dedicated sovereign, credit, emerging markets and mortgage teams in both the UK and US all brought together in a single portfolio.

Why global aggregate?
Allocating to a global aggregate strategy provides investors with broad exposure to a global range of fixed income asset classes.

A global aggregate strategy invests in the asset classes included in the Barclays Global Aggregate Index. This benchmark is considered by many investors as one of the most comprehensive global bond benchmarks in existence. It includes over 12,000 bonds across 21 currencies; government and corporate bonds, investment-grade emerging markets bonds and mortgage backed securities are all included (as of June 2009).

Barclays Global Aggregate Index
Asset class breakdown, 30 June 2009

Why Aviva Investors?

  • Extensive skill, resources and experience we have a 130-strong global fixed income team
  • Strong analytical focus bringing quantitative and qualitative research together
  • High risk-adjusted return target derived from the low correlation between sources of return within the portfolio
  • Dynamic risk budgeting targets risk exposure towards the most efficient asset classes with respect to the current market environment

Our process
Active performance is driven by a broad range of investment strategies, each with an independent process and a low correlation to the other strategies. The investable strategies are:

  • Global sovereign
  • Global credit
  • Sector and asset allocation
  • Active currency
  • Emerging markets
  • Mortgages

The sovereign, sector and asset allocation processes are thematic, primarily qualitative in nature with quantitative model support. Credit analysis is a fundamental, bottom-up process. The overall management of the global aggregate strategy and process is overseen by Shahid Ikram, who has ownership of the high level risk budget.

Our team
Our 130-strong global fixed income team have a proven track record in active investment across all global aggregate asset types.

The overall global aggregate strategy is overseen by Shahid Ikram, a senior portfolio manager in the global sovereign team with additional oversight of the asset allocation and currency process.

Credit portfolio managers, headed by Mark Wauton in London, are supported by what we believe is one of the largest buy-side credit analyst teams in the UK.

 

Investing with us

  • Global aggregate strategy is fully hedged to the AUD
  • Performance target of index +2%
  • Active tracking error range of 2-4%
  • Currently over £2.1 billion in global aggregate assets under management (31 December 2008)
  • Alpha generation comes from both physical positions as well as a range of futures and swaps-based strategies

© 2009 Aviva Investors Australia Limited

The information provided is of a general nature and has been prepared without taking account of your individual investment objectives, financial situation or particular investment needs. It is not intended as financial advice to retail clients. Information, including forecast financial information and hypothetical examples should not be considered as a recommendation in relation to holding, purchasing or selling securities or other instruments. While every reasonable effort has been made to ensure the comments made in the webcasts are accurate and reliable, some facts and opinions may change without notice due to changing market conditions and actual results may vary from forecasts provided. Past performance is not an indication of future performance. Before making an investment decision, you should consider the appropriateness of the information, having regard to your objectives, financial situation and needs. We recommend you consult with your financial adviser, who can help you determine how best to achieve your financial goals and whether investing in a fund is appropriate for you. Please note that unless otherwise stated, all returns are gross of management fees. Investment in the Aviva Investors Investment Funds will only be made upon receipt of a completed application form from the current PDS, a copy of which can be obtained from Aviva Investors. Aviva Investors Premier Fixed Income Fund ARSN 090 827 311. Aviva Investors Australia Limited ABN 85 066 081 114 Level 28 Freshwater Place, 2 Southbank Boulevard, Southbank VIC 3006 GPO Box 2007s, Melbourne 3001 Telephone: (03) 9220 0300 Facsimile: (03) 9220 0333 Email: investorservices.au@avivainvestors.com A member of the Aviva plc group. Website: www.avivainvestors.com.au