Keith Ney: January 2013.
e-fundresearch.com: What is the current size of the fund?
Galvis and Ney: The asset under management: 5 864 M€ (as of end of September).
e-fundresearch.com: Do you also manage other funds or mandates?
Carlos Galvis also runs Carmignac Capital Plus.
e-fundresearch.com: What is the total amount of assets you manage currently?
Carlos Galvis currently manages 7 450 M€ (Capital Plus and Sécurité).
e-fundresearch.com: How long have you been in the business as a fund manager?
Carlos Galvis brings 15 years of experience in the asset management industry, including 3 at Carmignac Gestion.
Keith Ney, 14 years of experience, including 8 at Carmignac Gestion.
e-fundresearch.com: What are the main steps in your investment process and in which area is your competitive edge to add value to investors?
Carlos Galvis, Keith Ney: The fund’s investment strategy is based mostly on the managers’ analysis of the behaviour of fixed income securities of different maturities (yield curve analysis), of different countries and of different ratings; corporate and public issuers alike.
The yield curve positioning is made on the basis of the fund manager’s inflationary and monetary policy expectations.
Issuing countries are selected based on the conclusions of the macroeconomic research carried out internally.
Corporate bonds are selected via financial and sector research provided by the whole management team. The main selection criteria for corporate bonds are companies’ fundamentals and quantitative factors such as the yield premiums they offer compared to government bonds.
- An investment universe broad enough to benefit from a privileged access to the best performance drivers within the Fixed Income markets
- Cross-fertilization of ideas within the fund management team
Carmignac Sécurité’s fund managers can count on inputs from a dedicated credit team, as well as from the expertise of their equity specialists if needed
- A highly flexible investment process that focuses on delivering maximum returns and capital protection
Active management of the fund’s modified duration: between -3 and +4
A dynamic allocation between government and corporate bonds
A unique forward looking credit strategy
Possibility to invest in euro-denominated emerging bonds
Active management of market risks
- Over 24 years of steady, positive returns regardless of market conditions.
e-fundresearch.com: Which benchmark is most relevant and how should investors compare the fund vs. benchmarks or peer groups?
Galvis and Ney: The benchmark of the fund is the EURO MTS 1-3 years.
e-fundresearch.com: Which performance did you achieve for the fund YTD and over the past five calendar years in absolute terms and relative to relevant benchmark or other reference indices?
Galvis and Ney:
Performance YTD (end of September); 1.15% (vs. 1.20% for the benchmark)
Cumulated performance over 5 years: 23.93% (vs. 15.12%)
Annualized performance over 5 years: 4.38% (vs. 2.86%).
e-fundresearch.com: Thank You!
