Robeco Customized Euro Government Bonds Fund - EUR Z
Investing in euro-denominated bonds issued by the EMU member countries
Share classes
Share classes
Every share class of a product invests in the same portfolio of securities and has the same investment objectives and policies. However, their parameters might deviate. For instance and amongst others, their distribution type, currency exposure or fees and expenses might differ. The most common share classes at Robeco are:
a) D/DH shares, which are regular shares and available for all Investors;
b) I/IH shares, for institutional investors as defined from time to time by the Luxembourg supervisory authority.
For more information on share classes please go to the prospectus.
Z-EUR
F-EUR
G-EUR
Class and codes
Asset class:
Bonds
ISIN:
NL0015000Z70
Bloomberg:
ROBNVCZ NA
Index
Bloomberg Euro-Aggregate: Treasury (EUR)
Sustainability-related information
Sustainability-related information
Under the EU Sustainable Finance Disclosure Regulation, products can be labelled as either Article 6, 8 or 9 fund.
Article 6 - The fund is not in scope of enhanced sustainability disclosures compared to Article 8 and 9.
Article 8 - The fund does not have a sustainable investment objective but promotes environmental or social characteristics and is subject to enhanced sustainability disclosures.
Article 9 - The fund has a sustainable investment objective and is subject to enhanced sustainability disclosures.
Regardless of Article 8 or 9, the companies in which investments are made must follow good governance practices, and sustainable investments must not do any significant harm.
Article 8
- Overview
- Performance & costs
- Portfolio
- Sustainability
- Commentary
- Documents
MISSING: fund.detail.tabs.
Key points
- Outspoken active and adaptive approach
- Country allocation main performance driver
- Active duration and yield curve positioning
About this fund
Robeco Customized Euro Government Bonds is an actively managed fund that invests only in euro-denominated government bonds issued by the EMU-member countries. The selection of these bonds is based on fundamental analysis. The fund's objective is to provide long term capital growth.The fund employs an investment process combining top-down and bottom-up elements. Fundamental analysis is performed on each of the three performance drivers: country allocation, duration (interest-rate sensitivity) management and yield curve positioning. Country ESG scores are part of our bottom-up analysis. The targeted duration of the fund can vary over time and depends on the interest rate vision.
Key facts
Total size of fund
€ 160,101,971
Size of share class
€ 10,294,126
Inception date share class
26-07-2022
1-year performance
4.68%
Dividend paying
No
Fund manager
Michiel de Bruin
Stephan van IJzendoorn
Michiel de Bruin is Head of Global Macro and Portfolio Manager. Prior to joining Robeco in 2018, Michiel was Head of Global Rates and Money Markets at BMO Global Asset Management in London. He held various other positions before that, including Head of Euro Government Bonds. Before he joined BMO in 2003, he was, among others, Head of Fixed Income Trading at Deutsche Bank in Amsterdam. Michiel started his career in the industry in 1986. He holds a post graduate diploma investment analyses from the VU University in Amsterdam and is a Certified EFFAS Analyst (CEFA) charterholder. He holds a Bachelor’s in Applied Sciences from University of Applied Sciences in Amsterdam. Stephan van IJzendoorn is Portfolio Manager and member of Robeco’s Global Macro team. Prior to joining Robeco in 2013, Stephan was employed by F&C Investments as a Portfolio Manager Fixed Income and worked in similar functions at Allianz Global Investors and A&O Services prior to that. Stephan started his career in the Investment Industry in 2003. He holds a Bachelor’s in Financial Management, a Master's in Investment Management from VU University Amsterdam and is Certified European Financial Analyst (CEFA) Charterholder. This fund is managed within Robeco’s Rates team, which consists of four portfolio managers. The team is focused on government bond strategies including quantitative duration strategies. The investment professionals in the rates team combine portfolio management and research in one function. Furthermore, the team is supported by four dedicated quantitative researchers and four fixed income traders. On average, the members of the rates team have an experience in the asset management industry of sixteen years, of which ten years with Robeco.
Performance
Per period
Per annum
- Per period
- Per annum
1 month
0.98%
1.01%
3 months
-0.96%
-0.57%
YTD
-0.96%
-0.57%
1 year
4.68%
4.01%
Since inception 07/2022
1.65%
0.38%
2023
7.45%
7.21%
Statistics
Rating
The average credit quality of the securities in the portfolio. AAA, AA, A en BAA (Investment Grade) means lower risk and BB, B, CCC, CC, C (High Yield) higher risk.
AA2/AA3
AA3/A1
Option Adjusted Modified Duration (years)
The interest rate sensitivity of the portfolio.
7.80
7.00
Maturity (years)
The average maturity of the securities in the portfolio.
9.60
8.60
Yield to Worst (%)
The average yield of the securities in the portfolio (lowest yield to either call date or redemption date).
2.80
3.00
Costs
Ongoing charges
Indication of annual charges that are deducted for this fund. This indication is based on the costs over the last calendar year and may vary from year to year. Transaction costs incurred by the fund, any performance fees and other one-off costs are not included in the ongoing charges.
0.00%
Included management fee
A fee paid by the fund to the asset management company for the professional management of the fund.
0.00%
Included service fee
This fee is intended to cover official fees, such as the cost of annual reports, annual shareholders' meetings and price publications.
0.00%
Transaction costs
The transaction costs shown are the average annual transaction costs over the last three years calculated in accordance with European regulations.
0.09%
Fiscal product treatment
The fund is established in the Netherlands. The fund is managed as a 'naamloze vennootschap' (public limited company). The fund has the status of 'tax-exempt investment institution' in the sense of article 6a of the Dutch Corporate-Income Tax Act 1969, and, as such, is exempt from corporate-income tax. The fund is also exempt from withholding Dutch dividend tax on its dividend distributions. In principle the fund cannot use the Dutch treaty network to reduce any foreign withholding tax, nor can it recover any Dutch dividend tax on its income.
Fiscal treatment of investor
For private investors residing in the Netherlands real interest and dividend income or capital gains received on their investments are not relevant for tax purposes. Participating units held by private investors who are taxpayers in the Netherlands belong in Box 3. If and insofar as an investor's net assets exceed the net wealth exemption limit, said investor is liable from 1 January to pay 1.2% annually on the balance of his or her net assets. Investors who are subject to Dutch corporate-income tax will be taxed for the result achieved on their investment in the fund. This result can consist of realized current income, and realized and unrealized capital gains. For Dutch corporate-income tax purposes, the shares or participating units must be valued at market value in the balance sheet and dividends received must be included in the taxable result. Investors who are not subject to (exempt from) Dutch corporate-income tax (e.g. pension funds) are not taxed on the achieved result. Investors residing outside the Netherlands are subject to their respective national tax regime applying to foreign investment funds. The above is based on the current fiscal legislation and regulations in the Netherlands. We advise individual investors to consult their financial or tax adviser about the tax consequences of an investment in this fund in their specific circumstances before deciding to invest in the fund.
Fund allocation
Country
Duration
Rating
Sector
- Country
- Duration
- Rating
- Sector
Policies
The fund is not exposed to currency risks, as the fund invests in Euro-denominated bonds.
Robeco Euro Government Bonds makes use of government bond futures. These derivatives are regarded very liquid.
The fund does not distribute dividend. The income earned by the fund is reflected in its share price. This means that the fund's total performance is reflected in its share price performance.
Robeco Customized Euro Government Bonds is an actively managed fund that invests only in euro-denominated government bonds issued by the EMU-member countries. The selection of these bonds is based on fundamental analysis. The fund's objective is to provide long term capital growth.The fund employs an investment process combining top-down and bottom-up elements. Fundamental analysis is performed on each of the three performance drivers: country allocation, duration (interest-rate sensitivity) management and yield curve positioning. Country ESG scores are part of our bottom-up analysis. The targeted duration of the fund can vary over time and depends on the interest rate vision. The fund aims for a better sustainability profile compared to the Benchmark by promoting certain E&S (i.e. Environmental and Social) characteristics within the meaning of Article 8 of the European Sustainable Finance Disclosure Regulation, integrating sustainability risks in the investment process and applying Robeco’s Good Governance policy. The fund applies sustainability indicators, including but not limited to, normative, activity-based and region-based exclusions and invests partly in green, social or sustainable bonds. The majority of bonds selected will be components of the Benchmark, but bonds outside the Benchmark may be se-lected too. The fund can deviate substantially from the weightings of the Benchmark. The fund aims to outperform the Benchmark over the long run, whilst still controlling relative risk through the applications of limits (on currencies) to the extent of deviation from the Benchmark. This will consequently limit the deviation of the per-formance relative to the Benchmark. The Benchmark is a broad market weighted index that is not consistent with the ESG characteristics promoted by the fund.
Risk management is fully embedded in the investment process so as to ensure that the fund's positions remain within set limits at all times.
Sustainability-related disclosures
Sustainability profile
Exclusion based on negative screening
≥15%
ESG Important Information
The sustainability information below can help investors integrate sustainability considerations in their process. This information is for informational purposes only. The reported sustainability information may not at all be used in relation to binding elements for this fund. A decision to invest should take into account all characteristics or objectives of the fund as described in the prospectus.
Sustainability
The fund incorporates sustainability in the investment process via exclusions, negative screening, ESG integration and minimum thresholds for the ESG score of countries as well a minimum allocation to ESG-labeled bonds. The fund complies with Robeco's exclusion policy for countries and does not invest in countries where serious violations of human rights or a collapse of the governance structure take place, or if countries are subject to UN, EU or US sanctions. In addition, the fund excludes the 15% worst ranked countries following the World Governance Indicator 'Control of Corruption'. ESG factors of countries are integrated in the bottom-up country analysis. In the portfolio construction the fund ensures a minimum weighted average score of 6.5 following Robeco's proprietary Country Sustainability Ranking. The Country Sustainability Ranking scores countries on a scale from 1 (worst) to 10 (best) based on 40 environmental, social, and governance indicators. Lastly, the fund invests in a minimum of 10% in green, social or sustainable bonds.The following sections display the ESG-metrics for this fund along with short descriptions. For more information please visit the sustainability-related disclosures.The index used for all sustainability visuals is based on Bloomberg Euro-Aggregate: Treasury (EUR).
Market development
March saw a rangebound moves in rates. In the first half of the month rates generally declined, while interest rates rose somewhat during the second half of the month. 10-year German Bunds ended the month 11 bps lower at 2.30%, while US 10-year Treasuries ended the month 2 bps higher at 4.20%. UK Gilts saw a strong positive performance over the month, as rates declined due to inflation coming in below expectations. March saw two notable central bank meetings. The first was from the Swiss National Bank as it became the first DM central bank to cut rates during its quarterly meeting. The second was the Bank of Japan which decided to increase the policy rate for the first time in 17 years, moving it from -0.1% to 0%.
Performance explanation
Based on transaction prices, the fund's return was 0.98%. The fund posted a positive absolute return over the month, also above its index. Duration contributed to relative performance, while curve positioning subtracted slightly. We expect the ECB to start cutting rates in June, which will benefit bond markets more than is currently priced. In addition, the yield curve should normalize from its very inverted level in this scenario. The main contributor to relative performance over the month was the overweight in SSA bonds, which rallied substantially over the month. Even after the recent rally we still favor SSA bonds over semi-core. The positive risk sentiment also impacted BTPs spreads, which tightened further, thus subtracting from relative performance.
Expectation of fund manager
Michiel de Bruin
Stephan van IJzendoorn
There has been a growing convergence among DM central banks that official rates reached their appropriate levels, and the next step should be a reduction, the BoJ being the exception. This matters for the general direction of interest rates as it should reduce the risk of a new peak in rates in this cycle. While moving in unison toward official rates, ideas on the pace with which rates could be brought to neutral differ across economies. The US, for example, has shown a stronger resilience to the tightening of monetary conditions than the Eurozone. That is why we favor duration positions in Euro rates. The normalization of policy rates should also be accompanied by steepening yield curves, and we continue to hold/add to positions that would benefit from such a move.
Announcements
- Prospectus change: Several Robeco Funds (17-10-2023)
- Publication semi-annual reports 2023 (31-08-2023)
- Announcement Annual General Meeting + meeting documents (24-05-2023)
- Robeco (NL) Umbrella Fund II: Annual General Meeting Documents (24-05-2023)
- Several Robeco funds: Publication Annual Report (28-04-2023)
- Several Robeco funds: Advertisement AVP (18-04-2023)