SYZ Asset Management’s OYSTER – European Corporate Bonds EUR fund has been ranked best fund in the UK over three years and ten years by Lipper in the “Bond Euro – Corporates” category.
OYSTER – European Corporate Bonds EUR is a UK-registered sub-fund of the OYSTER SICAV which is a Luxembourg domiciled UCITS managed by SYZ Asset Management (Luxembourg) SA. This accolade underlines the breadth of winning strategies offered by SYZ Asset Management, which is already well-known for its European equities franchise. Indeed, in the past, Absolute Return and Dynamic Allocation funds managed by SYZ Asset Management have received several awards in Europe.
Managed by SYZ Asset Management (Luxembourg) SA, the OYSTER – European Corporate Bonds EUR fund has been advised since inception by Andrea Garbelotto, Head of Fixed Income at Banca Albertini Syz SpA, the Italian bank of the SYZ Group. OYSTER – European Corporate Bonds EUR is actively managed through a conviction portfolio mainly focused on European investment grade securities. The fund follows a “top-down” approach, with a fundamental macroeconomic scenario driving the allocation between financials and non-financials, countries and sectors. In the current environment the fund is benefitting mainly from being overweight in subordinated instruments and, to a lesser extent, from being overweight in periphery countries.
“These good results are based on an active investment strategy with an opportunistic approach. The outperformance comes from actively combining macro-economic forecasts, bond selection and duration management in our investment decision process,” says Andrea Garbelotto, the fund’s advisor.
“Technical factors will remain the key drivers of credit markets’ performance in 2015. Amid expectations of modest Eurozone growth in 2015, rising geopolitical tensions and deflationary risks, the ECB’s monetary policy continues to be expansive, in contrast to an increasingly hawkish Fed, which looks set to enter a rate-hike cycle in mid-2015. The size of the programme is at levels that more than balances the expected net issue of government bonds over the next two years, and, in our view, will contribute significantly to the efforts being made to guarantee the sustainability of public debt in higher-risk countries. In this context, we are positive on the European credit markets in 2015 and we prefer BBB-rated bonds, financial, subordinated & hybrids, as well as long-term maturities (5-10Y)”, says Garbelotto.