Efficient portfolio allocation consisting of 50% credit and 50% longterm government bonds
Top-down allocation via scenario analysis, fundamental bottom-up approach for credit
Consideration of relevant ESG aspects along all steps of the investment process
Indexed performance (as at: 19.08.2025)
NAV: EUR 127.97 (17.08.2025)
Rolling performance (19.08.2025)
| B-EUR | Benchmark | |
| 17.08.2024 - 17.08.2025 | 3.49% | n.a. |
| 17.08.2023 - 17.08.2024 | 7.16% | n.a. |
| 17.08.2022 - 17.08.2023 | -0.46% | n.a. |
Annualized performance (19.08.2025)
| B-EUR | Benchmark | |
| 1 year | 3.49% | n.a. |
| 3 years | 3.35% | n.a. |
| Since Inception p.a. | 0.61% | n.a. |
Cumulative performance (19.08.2025)
| B-EUR | Benchmark | |
| 1M | 0.77% | n.a. |
| YTD | 2.12% | n.a. |
| 1 year | 3.49% | n.a. |
| 3 years | 10.39% | n.a. |
| Since Inception | 2.38% | n.a. |
Annual performance
| B-EUR | Benchmark | |
| 2024 | 4.34% | n.a. |
| 2023 | 4.93% | n.a. |
| 2022 | -7.59% | n.a. |
Facts & Key figures
Investment Focus
The fund is an unconstrained fixed income fund with the objective of achieving an excess return of 2-4% p.a. versus the respective 3-month money market rate over the cycle. The fund is actively managed and invests in bonds worldwide, with a neutral portfolio made of 50% credit and 50% longterm government bonds. Scenario analysis and proprietary valuation models support an experienced team of specialists to express their market views and to define the most successful top down allocation. For the selection of credit a fundamental bottom-up approach is applied. The management team has the option to invest in government bonds via futures markets. The portfolio is mainly invested in liquid assets, the fund offers daily liquidity. The fund takes ESG factors into consideration while implementing the aforementioned investment objectives.Show moreShow less
Investment suitability & Risk
Low risk
High risk
General Information
| Investment Manager | Bellevue Asset Management AG |
| Custodian | CACEIS BANK, LUXEMBOURG BRANCH |
| Fund Administrator | CACEIS BANK, LUXEMBOURG BRANCH |
| Auditor | PriceWaterhouseCoopers |
| Launch date | 30.09.2021 |
| Year end closing | 30. Jun |
| NAV Calculation | Daily "Forward Pricing" |
| Cut of time | 15:00 CET |
| Management Fee | 1.10% |
| Subscription Fee (max.) | 5.00% |
| ISIN number | LU2382177330 |
| Valor number | 113468085 |
| Bloomberg | BGINBEU |
| WKN | A3C4GD |
Legal Information
| Legal form | Luxembourg UCITS V SICAV |
| SFDR category | Article 8 |
Key data (31.07.2025, base currency EUR)
| Volatility | 2.26 |
| Sharpe ratio | 0.23 |
| No. of positions | 57 |
Benefits & Risks
Benefits
- Fund targets a risk adjusted return of 2% to 4% over the respective 3-month money market rate return across the economic cycle.
- Backed by credit analysis with a solid track record at Bellevue since June 2015.
- Government bonds overlay acts as a hedge while contributing to performance.
- Ability to assume leverage and to go short for hedging purpose.
- UCITS V regulated unconstrained total return strategy with daily liquidity.
Risks
- The fund may engage in derivatives transactions. The increased opportunities gained come with an increased risk of losses.
- The fund actively invests in bonds. Their issues may become insolvent.
- The investment in fixed-interest securities gives rise to interest rate risks
- Investing in emerging market bonds entails the additional risk of political and social instability.
- The fund invests in foreign currencies, which means a corresponding degree of currency risk against the reference currency.
Review / Outlook
In July, the fund returned +0.44% with a volatility of 1.3%, while the Bloomberg Global Aggregate (EUR Hedged) Index declined by 0.31%.
This month’s contributors were credit (+0.57%) and government bonds (-0.11%). Trade tariff expectations influenced markets, favoring risk-on assets, supported by positive US trade agreements with major trading partners.
Credit performed in line with broader markets. Within credit, corporates’ outperformance mitigated emerging-market underperformance. Corporates benefited from positive news regarding Auchan (ELOFR) bonds. Management announced that the bonds would be transferred from the holding company to the real estate subsidiary, enhancing their prospects. Emerging markets were impacted by Braskem bonds, but as explained in last month’s newsletter, we remain optimistic about their recovery and are continuing to hold them. Government bonds were affected by a 15 bp increase in the yield on 10-year US Treasuries to 4.37%.
During the month, we slightly increased credit from 55% to 56%. We added Finnair 4.75%, due 2029, yield to maturity 3.68%, rated BB+. We believe these bonds offer an attractive risk/reward ratio given the 56% ownership by the Finnish government, rated AA+. We maintained the allocation to long-term government bonds at 28%.
The fund offers a EUR yield of 4.0% with a duration of 4.1 years and an average credit rating of A.
On July 11, 2025, we reviewed our scenarios as follows:
Base scenario: Settling down in a world of tariffs. The global economy navigates the initial wave of tariffs well and shows resilience. While tariff discussions continue, markets now expect less extreme final levels than those announced on Liberation Day. Inflation keeps trending down gradually. We expect equity markets to continue to grind higher. This scenario is neutral for credit and slightly negative for government bonds.
Positive scenario: A world of stimuli. Tariff discussions fade into the background. Stimuli such as fiscal expansion in both the US and Europe, along with a more dovish Fed, become the main drivers of the equity markets. President Trump’s One Big Beautiful Bill Act is passed. European economies benefit from Germany’s new government-led fiscal easing. Inflation remains under control. This scenario is positive for equities and credit and negative for government bonds.
Negative scenario: Trade war. Major economies end up with extravagant tariffs, increasing recession risk. In addition, disruptive US policies at home and abroad further dampen market sentiment. We expect financial markets to focus more on recession fears than inflation concerns. Equity markets correct by around 20%. This scenario is negative for credit and positive for government bonds, though we apply less hedging value to US Treasuries.
Documents
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Legal notices
Co-Lead Portfolio Manager
Malek Bou-Diab
Malek Bou-Diab joined the Bellevue Global Macro team as Portfolio Manager in August 2024. He joined Bellevue Asset Management in 2009 as Senior Portfolio Manager Frontier Markets and Quant Analyst. Prior to that, he worked as Portfolio Manager at Julius Baer in the Emerging Markets team. From 2003 to 2007 he worked as a quantitative risk analyst at Deutsche Bank AG in London. He completed his PhD thesis in theoretical physics at the Swiss Federal Institute of Technology Zurich (ETH) between 1999 and 2003.
Head Investments
Markus Peter
Markus Peter was appointed CEO of Bellevue Asset Management in June 2025. He has been Head Investments at Bellevue Asset Management since 2009 and a member of the Group Executive Board since 2024. He previously held several management positions during his 10 years with Julius Baer Group, including head product management and development, investment advisory as well as a product specialist for absolute return products. Prior to joining Julius Baer he was employed by IBM, treasury and project finance, as well as by Swiss Bank Corporation, equity and equity derivative trading. Markus Peter holds a master in business economics from the University of St. Gallen (HSG).
Co-Lead Portfolio Manager
Alexandrine Jaecklin
Alexandrine Jaecklin joined Bellevue Asset Management in June 2015 as portfolio manager in charge of the bond selection. Before, Alexandrine worked for 15 years at UBS. She joined UBS as a credit analyst for Emerging Markets on the sell side in New York and London, and then moved to the Wealth Management in Zürich to cover European Financial credits. She spent the last 6 years of her time at UBS advising directly institutional private clients with a focus on bond markets on managing their portfolio. Prior to UBS, she was an research analyst at Laidlaw Global Securities (New York), Smith Barney (New York), and the United Overseas Bank (BNP subsidiary - Geneva) in the fields of Emerging Markets and fixed income. She holds a Master in International Relations, Economics section, from the Graduate Institute of International Studies (HEI) in Geneva.
Co-Lead Portfolio Manager
Malek Bou-Diab
Malek Bou-Diab joined the Bellevue Global Macro team as Portfolio Manager in August 2024. He joined Bellevue Asset Management in 2009 as Senior Portfolio Manager Frontier Markets and Quant Analyst. Prior to that, he worked as Portfolio Manager at Julius Baer in the Emerging Markets team. From 2003 to 2007 he worked as a quantitative risk analyst at Deutsche Bank AG in London. He completed his PhD thesis in theoretical physics at the Swiss Federal Institute of Technology Zurich (ETH) between 1999 and 2003.Head Investments
Markus Peter
Markus Peter was appointed CEO of Bellevue Asset Management in June 2025. He has been Head Investments at Bellevue Asset Management since 2009 and a member of the Group Executive Board since 2024. He previously held several management positions during his 10 years with Julius Baer Group, including head product management and development, investment advisory as well as a product specialist for absolute return products. Prior to joining Julius Baer he was employed by IBM, treasury and project finance, as well as by Swiss Bank Corporation, equity and equity derivative trading. Markus Peter holds a master in business economics from the University of St. Gallen (HSG).Co-Lead Portfolio Manager
Alexandrine Jaecklin
Alexandrine Jaecklin joined Bellevue Asset Management in June 2015 as portfolio manager in charge of the bond selection. Before, Alexandrine worked for 15 years at UBS. She joined UBS as a credit analyst for Emerging Markets on the sell side in New York and London, and then moved to the Wealth Management in Zürich to cover European Financial credits. She spent the last 6 years of her time at UBS advising directly institutional private clients with a focus on bond markets on managing their portfolio. Prior to UBS, she was an research analyst at Laidlaw Global Securities (New York), Smith Barney (New York), and the United Overseas Bank (BNP subsidiary - Geneva) in the fields of Emerging Markets and fixed income. She holds a Master in International Relations, Economics section, from the Graduate Institute of International Studies (HEI) in Geneva.Co-Lead Portfolio Manager
Malek Bou-Diab
Malek Bou-Diab joined the Bellevue Global Macro team as Portfolio Manager in August 2024. He joined Bellevue Asset Management in 2009 as Senior Portfolio Manager Frontier Markets and Quant Analyst. Prior to that, he worked as Portfolio Manager at Julius Baer in the Emerging Markets team. From 2003 to 2007 he worked as a quantitative risk analyst at Deutsche Bank AG in London. He completed his PhD thesis in theoretical physics at the Swiss Federal Institute of Technology Zurich (ETH) between 1999 and 2003.
