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Overview

Alma Advent Global Convertible Fund invests in convertible bonds globally.
The fund’s management is delegated to Advent Capital Management.

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

Fund Strategy

Long only global convertibles strategy seeking attractive returns from “theoretically cheap”, positively asymmetric balanced convertible securities with attractive risk/reward profiles offering 75% – 85% of the underlying equity upside, while limiting downside risk.


Investment Manager

Advent Capital Management is a US headquartered manager with an office in London and resources dedicated to Asia, with over $8.5bn AUM, founded in 1995. Advent has one of the largest platforms in the world emphasizing convertibles as an asset class.


Key Persons

David Hulme, 
Portfolio Manager
Prior to joining Advent in 2002, David worked at Van Eck Global Asset Management as an Investment Director and Portfolio Manager. David has more than 20 years involvment as a Portfolio Manager on Advent Balanced Strategies.  David is a graduate of Cambridge University and is an Associate of the UK Society of Investment Professionals (ASIP). He is also a member of the Association of Chartered Accountants, which is the U.K. equivalent of a Certified Public Accountant.

Tony Huang,
Associate Portfolio Manager
Prior to joining Advent in 2007, Tony was at Essex Investment Management in Boston where he headed the Technology sector research coverage and managed Essex’s diversified Research Fund. Tony has more than 14 years involvement as an Associate Portfolio Manager on Advent’s closed end funds. Tony is a graduate of the University of Pennsylvania’s Wharton School of business. He has received the Chartered Financial Analyst (CFA) designation.

 


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.

Investment Manager's Commentary

as of 31/01/2024

Market Review and Outlook

Global equity markets generally rose in January, but with mixed performance across sectors and regions. The MSCI ACWI (USD Hedged) returned +1.28% during the month, breaking through its all-time high from early 2022. In the U.S., equities performed well as steady inflation and solid earnings results helped push the S&P 500 to a record high. In Europe, equity markets generally improved, but fears of a continued higher-for-longer rate environment and poor consumer sales numbers dampened investor confidence. Emerging markets, negatively impacted by weak economic data in China and a strengthening U.S. Dollar, were amongst the worst performing equities, with the MSCI Emerging Markets Index returning -3.44% (USD Hedged). Global bond markets were mixed, as the ICE BofA Global Broad Market Index (GBMI) returned) -0.27% (USD Hedged) and the ICE BofA Global High Yield Index (HW00) returned +0.43% (USD Hedged). Global convertibles, represented by the Refinitiv Global Focus Index (USD Hedged, “RGF”), decreased by 1.38% in January. There was $5.2 billion of new convertible issuance in January, which is in-line with issuance in January 2023, and we expect the momentum that we saw in 2023 new issuance to continue this year, as lower interest expense and less dilutive accounting standards make convertible debt financing more attractive to companies seeking to access capital markets.

Advent Capital Management took over as sub-investment manager mid-month and began to transition the portfolio to reflect our investment philosophy and alignment with Article 8 commitments.

 

Fund

The Fund advanced significantly in December driven primarily by the US and Europe, while Japan was a modest detractor. All sectors posted positive returns. Similar to November, Technology and Industrials were the primary contributors followed by Consumer Cyclical and Healthcare.

The Fund underperformed the benchmark mainly due to a lack of exposure to low credit quality names in the Consumer Cyclical & Healthcare sectors that rose sharply in December. Trading activity focused on selling bonds that have fallen out of the balanced region, as well as taking profit on names that appreciated. Buying activity was relatively light and consisted of adding to existing positions.


Facts & Documents

Facts

Fund Domicile: Luxembourg

Fund Type: UCITS SICAV

Fund Launch: 30 November 2016

Base Currency: USD

Depositary, Administrator, Transfert Agent: BNP Paribas SA

Dealing: Each day with a 1-day notice

Cut-off time: 12pm CET

Management Company: Alma Capital Investment Management SA (LU)

Investment Manager: Advent Capital Management, LLC (US)

Fund Managers: David Hulme and Tony Huang

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

Sustainability-related disclosures:
The information related to the integration of sustainability risks and to the potential adverse sustainability impacts at the sub-fund level can be found in the prospectus of the Fund.

Identifiers:

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

Documents

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