Alternative strategies

Carmignac Portfolio Merger Arbitrage Plus

Global marketArticle 8
Share Class

LU2585801256

An active absolute return strategy focusing on merger arbitrage opportunities
  • An active merger arbitrage strategy that aims to provide positive absolute returns, with limited correlation to equity markets.
  • An alternative strategy with a socially responsible investment approach, focusing on officially announced M&A deals in the developed markets.
  • Strategy offering positive correlation with interest rates.
Risk Indicator

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Lowest risk Highest risk
Recommended Minimum Investment Horizon
3 years
Cumulative Performance since launch
+ 9.5 %
-
-
-
+ 4.4 %
From 14/04/2023
To 04/09/2025
Calendar Year Performance 2024
-
-
-
-
-
-
-
-
+ 2.8 %
+ 3.1 %
Net Asset Value
109.55 €
Asset Under Management
225 M €
Net Equity Exposure31/07/2025
82.7 %
SFDR - Fund Classification

Article

8
Data as of:  4 Sep 2025.
​Past performance is not necessarily indicative of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor).
The return may increase or decrease as a result of currency fluctuations, for the shares which are not currency-hedged.

Carmignac Portfolio Merger Arbitrage Plus fund performance

Take a look at the Fund's performance supported by our Fund managers’ market commentary and strategy insight.

Our monthly comments

Data as of:  29 Aug 2025.
Fund management team

Market environment

• The month was particularly quiet in terms of ongoing transactions, with few specific news items. Noteworthy, however, was the rejection by Banca Generali shareholders of the acquisition by Mediobanca.• The positive note of the month came from M&A activity, which remained very buoyant despite the summer period, which is usually quieter.
• Thirty-three new transactions were announced in August, up 27% from last year, for a total of $92 billion.
• With $30 billion, Europe is proving to be one of the main drivers of the recovery in M&A activity. One example is the $23 billion acquisition of Dutch coffee and tea producer JDE Peet's by US company Keurig Dr Pepper.
• Against a backdrop of continuing low interest rates, private equity funds are continuing to grow in strength, with 30% of announced transactions being LBOs. An example is Thoma Bravo's $11 billion acquisition of Dayforce in the United States.
• During the month, there was a general tightening of merger arbitrage spreads, supported by the redeployment of capital after a month of July marked by the completion of 34 transactions totalling approximately $190 billion.

Performance commentary

• The fund posted positive performance during the month.• The main contributors to performance were: Frontier Communications, Verona, and Spartannash.
• The main detractors from performance were: Olo, Cantaloupe, and Banca Generali.

Outlook strategy

• The fund's investment rate stands at 109%, up from the previous month. Despite the high number of transactions exiting the portfolio over the last two months, new transactions announced at the end of July and in August have increased the capital deployed in the strategy.• With 65 positions in the portfolio, diversification remains satisfactory: the increase in the investment rate is therefore accompanied by a marginal increase in the overall risk of the portfolio.
• 2025 continues to look much more promising than 2024 thanks to an antitrust environment that is more favorable to M&A activity worldwide: a change of administration in the US following Trump's election, the publication of the Draghi report in Europe recommending the emergence of national champions to face global competition, regulators in the UK pushed by politicians to prioritize economic activity, and the Japanese market continuing to open up to foreign capital.
• Lower interest rates should also drive M&A activity in the coming quarters.
• While the instability linked to the tariff war launched by the Trump administration, combined with geopolitical tensions, slowed momentum and made the recovery less sustained than hoped for in the first half of the year, the significance of the announcements made at the end of the summer and the increase in bidding wars allow us to be very optimistic about the second half of the year.

Performance Overview

Data as of:  4 Sep 2025.
​Past performance is not necessarily indicative of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor).
​Morningstar Rating™ :  © YYYY Morningstar, Inc. All Rights Reserved. The information contained herein: is proprietary to Morningstar and/or its content providers; may not be copied or distributed; and is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.
Source: Carmignac at 07/09/2025

Carmignac Portfolio Merger Arbitrage Plus Portfolio overview

Below is an overview of the composition of the portfolio.

Geographical Breakdown

Data as of:  31 Jul 2025.
North America44.7 %
Europe ex-EUR16.0 %
Europe EUR13.7 %
Others8.4 %
View details

Key figures

Below are the key figures for the Fund, which will give you a clearer idea of the Fund's management and equity positioning.

Exposure Data

Data as of:  31 Jul 2025.
Net Equity Exposure82.7 %
Number of long strategies52
Merger arbitrage exposure96.0 %
Cash and other24.0 %

The strategy in a nutshell

Discover the Fund’s main features and benefits through the words of the Fund Managers.
Fund Management Team
The advantage of Merger Arbitrage strategy is that it carries virtually no market risk. The only associated risk is that of a deal failure. That is why our approach is very cautious on two levels: we’re very selective in choosing the deals and we aim to maintain a highly diversified portfolio.
View Fund's characteristics

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Reference to certain securities and financial instruments is for illustrative purposes to highlight stocks that are or have been included in the portfolios of funds in the Carmignac range. This is not intended to promote direct investment in those instruments, nor does it constitute investment advice. The Management Company is not subject to prohibition on trading in these instruments prior to issuing any communication. The portfolios of Carmignac funds may change without previous notice.
The reference to a ranking or prize, is no guarantee of the future results of the UCIS or the manager.
Carmignac Portfolio is a sub-fund of Carmignac Portfolio SICAV, an investment company under Luxembourg law, conforming to the UCITS Directive.
The information presented above is not contractually binding and does not constitute investment advice. Past performance is not a reliable indicator of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor), where applicable. Investors may lose some or all of their capital, as the capital in the UCI is not guaranteed. Access to the products and services presented herein may be restricted for some individuals or countries. Taxation depends on the situation of the individual. The risks, fees and recommended investment period for the UCI presented are detailed in the KIDs (key information documents) and prospectuses available on this website. The KID must be made available to the subscriber prior to purchase.). The reference to a ranking or prize, is no guarantee of the future results of the UCITS or the manager.