The changing landscape of sterling credit

The characteristics of sterling credit markets and rating agency methodologies have seen radical changes over recent years. To demonstrate these and changes in the wider sterling credit landscape, we consider how one of our sterling portfolios, the RL Ethical Bond Fund, has adjusted over recent years.

ESG investing started as an equity specialism, and much of the data and analysis used today is still centred on equities, so are ESG factors relevant for corporate bonds and what role do Green bonds play? Martin Foden explores this and discusses sustainable fixed income investing and how two distinct processes – ESG and credit analysis – can be integrated to seek to achieve positive outcomes for investors.

Distinct and clearly-defined investment approaches have been stretched and morphed to make sustainable investing appeal to a much wider investor base. But what does Sustainable really mean, and how does Mike Fox and his team put it into effect at Royal London Asset Management (including some stock stories that might surprise you)?

Government bonds have rarely been as volatile as they are right now, providing excellent opportunities for active government bond managers. Craig Inches, Head of Rates and Cash and Gareth Hill, Fund Manager, look at current global themes and review key strategies they adopt across RLAM’s Government Bond fund range.

The great thing about global equities is that it’s a big world out there, the main challenge with global equities is that it’s a big world out there.
With a universe of 5,000+ potential investments we have developed a differentiated, proven and repeatable process to find differentiated stocks off the beaten track to seek to drive a successful long term track record. Peter Rutter explains how we do that and why it's valuable to clients.

Will Kenney, Senior Fund Manager, presents the latest review and outlook from our Global Equities team.

Senior Fund Manager, Martin Cholwill, presents his UK equity income quarterly review.

Recent research indicates that despite the growing popularity of responsible investing, the confusing landscape can be a barrier to holding the conversation with investors. Ashley Hamilton Claxton, Head of Responsible Investment, tracks the evolution of responsible investing, demystifies the various labels attached to investment funds, and discusses how understanding the primary investment objective of funds can help with the client conversation.

The last decade has seen huge developments in sustainability across much of the globe, and this is having a growing influence on the way investments are managed. The key change was the growing realisation that applying ESG factors and looking at sustainable themes was beneficial for returns – it doesn’t require investors to make costly choices. But what do the coming years have in store? Mike Fox examines how sustainability will develop over the next coming years.

Will Kenney, Senior Fund Manager shares the latest views from our Global Equities Team

Martin Cholwill, Senior Fund Manager will be sharing with listeners an update on our UK Equity Income Fund as well as discussing his latest views and outlook.

The terminology can be confusing – what is the difference between sustainable and responsible, for example? The sector’s newly-fashionable status has led to some blurring of the terminology in the scramble to launch new products. So Mike Fox describes the sustainable investing landscape and explains the benefit of doing right rather than avoiding the bad.

To complete the series, Paola Binns, Senior Portfolio Manager within our credit fixed income team, will be joining Ewan McAlpine, Senior Client Portfolio Manager and Defaqto’s Paul Tinkler. Paola will share with listeners her insights into multi asset investment from a fixed income perspective, considering how fixed income markets have developed over time, how economic cycles affect fixed income asset classes and what fixed income strategies investors could consider as part of a multi asset proposition.

To continue the journey, investment director Nersen Pillay will once again join Senior Client Portfolio Manager Ewan McAlpine and Defaqto’s Paul Tinkler to discuss the difference between strategic and tactical asset allocation, how to use the economic and business cycle to guide tactical investment decisions and why risk adjusted returns matter to multi asset investors.

CPD link: https://emailcc.com/s/6a7eb701d41bc332aff616e7414994d2566a0ea9

Multi asset income funds have seen increasing interest as companies need better returns on cash; schemes become cash flow negative and individuals seek income in retirement. There are, however, many different approaches to generating an income including both fixed income and multi asset income approaches. These can have a focus on synthetic or natural income, and very different targets for income, capital growth and protection.

This webinar will discuss topics that include:

Is the demand for income likely to persist?
Should income even matter?
What is a sustainable level of income?
What are the strengths and drawbacks of the different approaches?
What are the risks of an income portfolio and how do you manage them?

Panel:
Moderated by Justin Simler - Consultant
Kandarp Acharya, Senior Portfolio Manager, Wells Capital Management
Ewan McAlpine, Senior Client Portfolio Manager - Fixed Income, Royal London Asset Management
Etienne Vincent, Global Head of Quantitative Portfolio Management, BNP Paribas Asset Management

With volatility and uncertainty prevalent on the back of trade wars and Brexit, we continue to seek out opportunities at attractive prices. Will Kenney, Senior Fund Manager, Global Equities, gives the inside track on a couple of holdings in which we have ongoing confidence.

Nersen Pillay, Investment Director within our multi asset team kicks-off the series, joining Ewan McAlpine, Senior Client Portfolio Manager and Defaqto’s Paul Tinkler to introduce listeners to the fundamentals of multi asset investing and provide an insight into strategic asset allocation as well as key elements to consider when assessing or adopting a multi asset investment approach. Use the following link to access the structured CPD once you have viewed the webinar: https://emailcc.com/s/fb9afe436f24e4deb2eebd2614196c77ade446d9

Reflecting on the impact interest rate movements and bond yields are having on the market, Will Kenney, Senior Fund Manager in our Global Equities Team, reiterates the team’s focus on wealth creation rather than trying to predict short-term changes in markets.

Richard Marwood, Senior Fund Manager provides listeners with an update on Q2 from the perspective of our equity income team. Uncertainties still linger and markets can seem polarised in some ways, Richard shares his thoughts on the key reasons around this and how the team are managing allocation in the Royal London UK Equity Income Fund.