The Berenberg Euro Enhanced Liquidity fund invests in variable and fixed-interest bonds, primarily from European issuers with short and medium maturities and investment grade creditworthiness (rating of AAA to BBB-, based on Standard & Poor's classification). The aim of the strategy is to achieve stable and attractive returns above those of money market investments. Bonds are selected based on a quantitative investment process, which is supplemented by opportunistic, discretionary management decisions. The duration is actively and dynamically managed and ranges between 0 and 2 years.
- Euro bond fund with short duration and active management approach
- Individual securities are selected on the basis of a benchmark
- Average duration is between 0 and 2 years
- Investment segments are primarily government bonds, covered bonds as well as corporate and financial bonds
Further details on the opportunities and risks of this fund can be found in the sales prospectus.
Performance in 12-month periods
Monthly market comment
Diverging economic data from the USA and Europe shaped market events in the reporting period. While these were mostly positive for the USA, the economic data in the Eurozone continued to cloud over. The eagerly awaited central bank meeting in Jackson Hole, on the other hand, did not provided any new insights. Overall, however, market expectations about the future development of key interest rates shifted in August. For the USA, first interest rate cuts are now expected later, while for the Eurozone, further interest rate increases were partially priced out. Overall, this led to a steepening of the euro interest rate structure, which was primarily driven by the rise in long-term yields. In addition, credit spreads of corporate bonds widened.
Felix Stern joined the Asset Management division of Berenberg in 2000 as a fixed income portfolio manager. Currently he is heading the fixed income selection team within the Asset Management and is responsible for institutional mandates. As a senior portfolio manager he is responsible for the selection of corporate and financial bonds as well as short-term bond market investments. He is also the lead manager for several of Berenbergs institutional mutual funds. Prior to joining Berenberg, he worked several years for the Market Research department of British American Tobacco, Germany. Felix is a CCrA - Certified Credit Analyst (DVFA) and also has a German Diploma in business economics from the Fernuniversität in Hagen.
Daniel Fuchs, FRM, joined Berenberg in 2009. Within the fixed income selection team he is specialized for the selection of government and corporate bonds. He has more than 12 years experience with fixed income and equity strategies for portfolio management. Previously, he worked at Steubing Derivatives Brokerage and Independent Derivatives Consulting AG in 2005, where he was responsible for trading and portfolio management of structured products. Daniel has a master’s degree in economics with focus on statistics/econometrics and international financial markets from the University of Constance. He is a certified EUREX trader and Financial Risk Manager (FRM).