Are you an:

Don't let the labels put you off!
If you're not an investor, but you want to learn, you can select investor


Register for FundCalibre!

We just need to know
if you are an:

Don't let the labels put you off!
If you're not an investor, but you want to learn, you can select investor


Rathbone Ethical Bond

Elite Rated by FundCalibre

This fund invests in quality investment grade bonds. It has a higher income target than most of its peers. Ethical exclusions are simple: no mining, arms, gambling, pornography, animal testing, nuclear power, alcohol or tobacco, which rules out about one third of the index. All positions must also have at least one positive environmental, social or corporate governance quality.

Company Description

Established in 1999, Rathbone Unit Trust Management is the asset management subsidiary of Rathbone Brothers Plc. It was awarded the Elite Provider for Equities in 2016 and 2017. Rathbone Brothers Plc is listed on the London Stock Exchange and employs more than 250 investment professionals in a number of offices around the UK.


Fund Manager

Bryn Jones has been managing this fund since November 2004. He studied human geography at the University of Birmingham and believes learning how people act the way they do is a very useful tool, particularly when meeting company management teams. Before joining Rathbones, Bryn worked with Merrill Lynch Investment Managers.


My fund offers one of the best yields in the corporate bond fund universe and the bonus of a strong ethical screening process.

Bryn Jones - Fund Manager

The Investment Process

The fund has a four step investment process. Idea generation comes first, with extensive research and meetings. This is followed by a ‘four Cs plus’ approach to credit quality assessment, which looks at character, capacity, collateral and covenants. Relative valuations are considered in the penultimate step of the process. Then the ethical screen is applied at the final stage. Bryn will hold a decent position in bonds he likes and zero in those he doesn’t.


The risk profile for this fund is average relative to its sector, but it is not low-risk. In the words of Bryn, it is not a diversification from equities or somewhere to hide if things get nasty. It tends to do better when markets are rising steadily or falling, and may underperform in strongly performing gilt markets.

Our Opinion

This fund typifies stable management, with Bryn having been at the helm for over 10 years. It has managed to outperform regardless of its ethical constraints, illustrating that income and ethics can be combined without sacrifice. It is a solid core investment grade fund.

  • Fund
  • Sector

©2014 FundCalibre Limited. All Rights Reserved. The information, data, analyses, and opinions contained herein (1) include the proprietary information of FundCalibre, (2) may not be copied or redistributed without prior permission, (3) do not constitute investment advice offered by FundCalibre, (4) are provided solely for informational purposes and therefore are not an offer to buy or sell a fund, and (5) are not warranted to be correct, complete, or accurate. FundCalibre shall not be responsible for any trading decisions, damages, or other losses resulting from, or related to, this information, data, analyses, or opinions or their use. The Elite Fund rating is subjective in nature and reflects FundCalibre’s current expectations of future events/behaviour as they relate to a particular fund. Because such events/behaviour may turn out to be different than expected, FundCalibre does not ,guarantee that a fund will perform in line with its FundCalibre benchmark. Likewise, the Elite Fund rating should not be seen as any sort of guarantee or assessment of the creditworthiness of a fund or of its underlying securities and should not be used as the sole basis for making any investment decision. FundCalibre disclaims any responsibility for trading decisions, damages or other losses resulting from any use of the Elite Fund rating.