Investment Strategy
Berenberg Credit Opportunities is a benchmark-independent, flexible bond fund investing in global corporate bonds - with a focus on Europe. The objective of the strategy is to achieve a medium to long-term performance comparable to the EUR High Yield, with less volatility and lower drawdowns. The focus is on fundamental analysis. To identify attractive opportunities and market inefficiencies, the fund management uses a broad and flexible toolbox. Interest rate, credit and currency risks can be actively managed using derivatives.
- Diversified and flexible global corporate and financial bond portfolio with focus on European issuers
- The fund operates independently of benchmarks
- Average duration is between 3 and 5 years
- Wide range of instruments including single stocks, funds and derivatives
Learn more about our Berenberg Fixed Income investment philosophy
Fund data
ISIN | LU0636630005 |
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WKN | A1JBQ7 |
Inception date | 28.07.2011 |
Issue price (24.04.2024) | 132.66 EUR |
Redemption price (24.04.2024) | 128.80 EUR |
Fund volume | 41.98 Mio. EUR |
Share class volume | 13.06 Mio. EUR |
Currency | EUR |
Minimum investment | - |
Asset Manager | Joh. Berenberg, Gossler & Co. KG |
Management company | Universal-Investment-Luxembourg S.A. |
Custodian | State Street Bank International GmbH, Luxembourg Branch |
Use of income | Accumulating |
End of financial year | 31.12. |
Registration and Distribution | DE, CH, LU |
SFDR Classification (Sustainable Finance Disclosure Regulation) | Article 8 |
Costs
Issue surcharge | Up to 3.00% |
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Management fee p.a. | 1.00% |
Custodian fee p.a. | 0.06% |
Total Expense Ratio (TER) p.a. | 1.24% |
Performance fee | none |
Chances and risks
Chances | Risks |
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Attractive return potential over the medium to long term | Bonds are susceptible to fluctuations, price losses possible |
Above-average performance by exploiting various value drivers of the bond market | Unit value may fall below the purchase price at which the client acquired the unit |
Possible additional income through active and opportunistic management | No guarantee of success due to active and opportunistic management |
Generation of attractive distributable income |
Further details on the opportunities and risks of this fund can be found in the sales prospectus.
Indexed performance
Performance in 12-month periods
Monthly performance
Year | Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | YTD |
---|---|---|---|---|---|---|---|---|---|---|---|---|---|
2014 | 0.02 | 0.65 | 0.31 | 0.46 | 0.30 | 0.44 | 0.27 | -0.10 | 0.04 | 0.35 | 0.63 | 0.22 | 3.63 |
2015 | 0.67 | 0.77 | -0.45 | -0.08 | -0.14 | -1.40 | 0.73 | -0.49 | -1.85 | 1.34 | 0.37 | -0.66 | -1.21 |
2016 | -0.98 | -0.01 | 1.58 | 0.86 | -0.31 | -0.30 | 1.35 | 0.43 | -0.66 | 0.11 | -0.88 | 0.27 | 1.43 |
2017 | 0.14 | 0.69 | -0.29 | 0.41 | 0.20 | 0.35 | 0.59 | -0.13 | 0.46 | 0.91 | -0.08 | 0.11 | 3.40 |
2018 | 0.36 | -0.76 | -0.63 | 0.14 | -1.61 | -0.87 | 1.36 | -0.69 | 0.53 | -1.08 | -1.65 | -0.75 | -5.56 |
2019 | 1.73 | 1.23 | 0.18 | 1.28 | -0.57 | 1.16 | 0.66 | -0.33 | 0.68 | 0.68 | 0.71 | 1.00 | 8.71 |
2020 | 1.02 | -0.69 | -11.69 | 3.49 | 2.10 | 2.94 | 1.18 | 1.52 | 0.32 | 0.41 | 3.56 | 1.04 | 4.33 |
2021 | 0.62 | 0.57 | 0.39 | 1.13 | 0.08 | 0.69 | 0.31 | 0.34 | 0.25 | -0.47 | -0.27 | 0.37 | 4.07 |
2022 | -0.82 | -3.55 | -0.91 | -1.80 | -1.62 | -4.81 | 1.69 | -0.83 | -3.99 | -0.29 | 2.95 | -0.16 | -13.51 |
2023 | 2.83 | 0.23 | -2.14 | 0.70 | 0.48 | 1.03 | 1.26 | 0.15 | 0.18 | 0.07 | 2.25 | 2.56 | 9.93 |
2024 | 1.47 | 0.02 | 1.40 | - | - | - | - | - | - | - | - | - | 2.79 |
Source: Berenberg, Management company
The charts and tables regarding performance shown here are based on own calculations according to the method developed by the German Investment Funds Association (BVI). They illustrate past performance. Future performance can deviate both positively and negatively from these calculations. Gross performance (BVI method) takes into account all charges at fund level (e.g. management fee), net performance plus the issue surcharge. Additional charges can arise for individual investors (e.g. custody account fees, commissions and other fees). Model calculation (net): An investor wants to purchase fund units for EUR 1,000 EUR. Considering a max issue surcharge of 3.00% he has to payEUR 30.00 for the purchase. Also, fees may be charged for the administration of the safe custody account, which will lower the performance. Past performance is not a reliable indicator of future performance.
Performance after issue surcharge
1 year | 11.38% |
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3 years | -0.88% |
5 years | 10.59% |
since inception | 28.80% |
Max. Drawdown 5 years | -16.76% |
Source: Berenberg, Management company | State: 24 Apr 2024
Risk figures
Volatility - 1 year | 1.80% |
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Volatility - 3 years | 3.00% |
Sharpe Ratio - 3 years | -0.54 |
Maximum Drawdown - since inception | -16.76% |
Currencies
Sectors
Countries
Asset classes
Top Holdings
Monthly market comment
The continued moderate decline in inflation and core inflation in the eurozone leads the monetary authorities and the market to believe that the inflation rate could approach the 2% mark in the medium term. The ECB decided not to raise interest rates at its last meeting. However, the market continues to expect an initial rate cut in June and up to three further rate cuts over the course of the year. The yield on 10-year German government bonds traded volatile and was quoted at 2.30% towards the end of the month, 11 bp lower than in the previous month. Companies from the industrial and banking sectors reported positive earnings, which led to further spread tightening of IG corporate bonds by 8 bp. The broad high-yield segment, on the other hand, saw spreads widen by 12 bp due to bond price declining based on several downgrades of an idiosyncratic nature. Positive flows into euro-denominated corporate bond funds are providing a technical tailwind for the markets. Year-to-date fund flows into HY are already almost twice as high as in the entirety of last year.
Portfolio Management
Christian Bettinger
Christian Bettinger, CFA, has been with the company since June 2009. As fund manager of the mutual funds Berenberg Euro Bonds and Berenberg Credit Opportunities, he is responsible for the selection of corporate bonds in the Multi Asset area. After apprenticeship as a banker and studying business administration at the Catholic University of Eichstaett-Ingolstadt, he first went through the trainee program at Berenberg. In February 2010, the business graduate was taken over early as a junior fund manager with a focus on derivatives and fixed income. Bettinger is a CFA-Charterholder, Certified Financial Engineer (CFE) and admitted Eurex trader.
Gerald Deutsch
Gerald Deutsch joined Berenberg in 2021. He started his career in the Berenberg Graduate Program with assignments in discretionary equity and fixed income portfolio management, fixed income research, as well as in institutional fund sales both in Germany and Switzerland. He exited the program early in 2022 and became a fixed income portfolio manager with a focus on corporate credit. He holds a Master of Finance from Frankfurt School of Finance & Management and a Bachelor of Psychology from the University of Kent.