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Overview

  • Alma Zazove Global Convertible Fund invests in convertible bonds globally.
  • Management of the fund is delegated to Zazove Associates, LLC (US), an SEC-regulated asset management firm founded in 1971, with $2.5bn AUM from institutional and private wealth clients.

Share Class

NAV

Cumulative Performance (%)

Fund Inception 30 November 2016

Daily Monthly Ytd 1Yr 3Yr 5Yr Incept. Incept.Date

The performance data shown represents past performance. Past performance is not a guarantee of future results. Current performance may be lower or higher than the performance quoted. The investment return and the principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost.


Strategy & Manager

Funds Strategy

The investment objective of the Fund is to provide global equity-like returns with significantly less risk

  • The objective is achieved by seeking to capture the majority of stock market advances while simultaneously providing downside protection during market declines
  • Statistical focus on convertible structure is used to create a balanced, diversified portfolio that optimizes the asymmetrical risk/reward characteristics of convertibles
  • The investment approach is not reliant on forecasting or market timing
  • The Fund targets a consistent risk/reward profile at all times


Investment Manager

Zazove Associates, LLC (U.S.A.) is an SEC regulated investment advisor that has specialized in the management of convertible securities since 1971

  • The firm manages US$2.5bn for global institutional investors
  • The firm is independent and 100%employee owned
  • Zazove has expertise across all segments of the market: US, global, and high yield (“busted”) convertibles
  • 24-year track record managing global convertibles

Key Persons

Gregory D. Shorin, JD, CFA Portfolio Manager -Global

Prior to joining Zazove in 1997, Greg was a Senior Associate with the law firm of Baker & Botts where he specialized in the analysis of pricing practices by foreign corporations. He served as Senior Counsel in advising the US Department of Commerce on international trade.

Greg earned his JD from the Georgetown University Law and his BA in Economics and Political Science from SUNY Binghamton.

 

Gene T. Pretti, Chief Executive Officer & Chief Investment Officer

Prior to acquiring Zazove Associates in 1989, Gene worked for First Boston Corporation where he specialized in institutional equity sales. He also has served as an analyst with CUNA Mutual Insurance Co. and Robert W. Baird &Co. He earned his MBA from the University of Wisconsin where he was selected for the Applied Program, an honors program emphasizing Security Analysis and Portfolio Management.


Statistics & Commentary

Performance

The performance data shown represents past performance. Past performance is not a guarantee of future results. Current performance may be lower or higher than the performance data quoted. The investment return and the principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost.

Sector Breakdown as a % of AUM

as of 31/10/2019

Geographical Exposure as a % of AUM

as of 31/10/2019

Portfolio Characteristics

as of 31/10/2019
Main indicators Fund Index
No. of securities 56 200
Investment Premium (%) 23.3 16.6
Conversion Premium (%) 23.1 36.8
Delta (%) 52.0 43.0
Yield to Maturity (%) -3.3 -1.7
Current yield (%) 1.3 0.9
Convertible Duration 1.7 2.1

Top 10 Position Details

as of 31/10/2019
Security name Sector % AUM
LIBERTY MEDIA CORP Communication Services 6.83
SONY CORPORATION Consumer Discretionary 3.52
TOTAL SA Energy 3.07
TORAY INDUSTRIES INC Materials 2.96
CHINA RAILWAY CONSTRUCT Industrials 2.89
BP CAPITAL MARKETS PLC Energy 2.85
STMICROELECTRONICS NV Information Technology 2.84
PALO ALTO NETWORKS Information Technology 2.82
QIAGEN NV Health Care 2.81
VINCI SA Industrials 2.70

Investment Manager's Commentary

as of 31/10/2019

Market Review and Outlook

Equity markets gained on generally strong earnings, particularly in the US, and incremental progress on a US-China trade deal. Japan and Asia Ex-Japan were top performing regions, while Europe lagged, impacted by disappointing economic data. Interest rates increased moderately during the month while credit spreads tightened, causing negative returns in sovereigns and generally positive returns in corporate bonds. Equity market volatility fell substantially. Convertibles as an asset class performed well, driven by equity market gains.  Convertible issuance decreased to $2.9Bln in October, impacted by earnings blackouts.

 

 

Fund

The Fund was well positioned, capturing the vast majority of global equity advances. All regions contributed positively, with holdings in the Americas and Europe performing particularly well relative to the broader regional markets. Technology and Consumer Cyclicals were the top contributors while Healthcare was the primary detractor. The Fund outperformed the benchmark, primarily due to superior security selection across the Americas and Europe. Trading activity was relatively modest and continued to focus on optimization of convertible risk/return structure.


Facts & Documents

Facts

Fund Domicile: Luxembourg

Management Fee: 0.80% p.a. for I shares

Fund Type: UCITS SICAV

Fund Launch: 30 November 2016

Base Currency: USD

Depositary, Administrator, Transfert Agent: BNP Paribas Securities Services (LU)

Dealing: Each day with a 1-day notice

Cut-off time: 12pm CET

Management Company: Alma Capital Investment Management SA (LU)

Investment Manager: Zazove Associates, LLC (USA)

Fund Managers: Greg Shorin, JD, CFA

Countries where the fund is registered:
Luxembourg, France, UK

Identifiers:

Institutional USD Capitalisation Share Class
ISIN: LU1494400200   Ticker: ALZICUS LX    Launch: 30 Nov 2016

Documents

PROSPECTUS
  1. ACIF Prospectus
KIIDS Other sub-funds and other languages
available upon request