How to invest in bonds
Bonds usually appeal to investors seeking an income stream and a certain level of capital...
Jupiter Distribution has become the first ‘Mixed Investment 0%-35% Shares’ fund to be awarded an Elite Rating by FundCalibre. In the first review of 2016, GAM Star Continental European Equity and GAM Star Credit Opportunities have also gained an Elite Rating.
Clive Hale, director of FundCalibre commented:
“Jupiter Distribution is co-managed by Alastair Gunn and Rhys Petheram. We really like the fact that they attend company meetings together and analyse whether the best opportunities lie in the equity or debt structure, before investing accordingly. Historically, this fund has been one of the most cautious in its sector, whilst managing to post consistently good performance compared with its peers. It’s a strong contender for cautious investors.
“GAM Star Credit Opportunities is another ‘safety first’ fund. It’s a strategic bond fund that seeks to produce a high level of income (currently yielding 4.8%) from investment grade company debt. Very little of what they own yields less than 6% at the initial purchase point and this gives them far less interest rate sensitivity, which is particularly valuable in the current volatile environment.
“Another fine offering from the GAM Star brand is their Continental European Equity fund. The manager is a true stock picker and holdings are therefore idiosyncratic, with many being held for a very long time, so performance comes from a real variety or sources. In a hotly contended sector with a number of big-named managers, this fund has been somewhat overlooked in the past and is consequently less well-known, but nonetheless worthy of consideration.”