Fixed income strategies

Carmignac Credit 2029

Share Class

FR001400KAW2

Carmignac Credit 2029 : Characteristics & Risks

You may find in this section information on characteristics, costs, and risks of the Fund. ​If you have any questions, please do not hesitate to contact Carmignac for further details and assistance.​

Investment Universe and Objective

Carmignac Credit 2029 is a target maturity bond fund that follows a buy-and-hold strategy on credit markets. With a careful selection of issuers, a target performance objective and predetermined end date, Carmignac Credit 2029 gives investors visibility over their investment and diversifies the risks to which they are exposed.

The Fund’s investment objective is to offer annualised performance, net of management fees, from the Fund’s inception on 20/10/2023 until its maturity on 28/02/2029, of over:

  • For A EUR Acc and A EUR Ydis units: 4,22%;

  • For F EUR Acc and F EUR Ydis units: 4,72%;

  • for AW EUR Acc and AW EUR Ydis units: 3.92%;

  • for FW EUR Acc and FW EUR Ydis units: 4.42%.

This objective is based on the fulfilment of market assumptions made by the management company (probability of default, recovery rate, exercise of early redemption options, repayments, hedging costs, etc.) when the Fund is launched, and only applies to subscriptions at this time. For subsequent subscriptions, performance will depend on market conditions at that time, which we cannot predict and which may therefore result in divergent performance. The market assumptions made by the management company may prove incorrect, which would prevent the Fund from reaching its performance objective. Under no circumstances should the investment objective be construed as a promised yield or performance, which is not guaranteed.

This annualised performance will be generated primarily from the Fund’s buy-and-hold strategy and is net of management fees. It takes into account the estimate of any currency hedging costs, defaults calculated by the management company, and any capital losses realised on the resale of certain instruments before their maturity.

The Fund’s assets will include bonds (including contingent convertible bonds for up to 15% of the net assets) as well as securitisation vehicles (up to 40% of the net assets) and credit default swaps (up to 20% of the net assets). The Fund is unconstrained in its division of assets between private and public issuers. It will therefore be exposed to corporate and government bond markets until liquidated (as described in the Investment Strategy section). Up to 30% of the net assets may be held outside the OECD, including on emerging markets. The portfolio’s average rating will be BBB- or higher (investment grade).

The Fund is an actively managed UCITS. The investment manager has discretion over the portfolio’s composition, subject to compliance with the stated investment objective and policy.

Characteristics

General Characteristics
Management Company
Carmignac Gestion S.A
Legal Form
French mutual fund (FCP)
ISIN
FR001400KAW2
Bloomberg
CARCRAE FP
Detailed Characteristics
SFDR - Fund Classification
Article 8
Risk Indicator

1

2

3

4

5

6

7

Lowest risk Highest risk
Recommended minimum investment horizon
5 years
Management
Fixed income strategies
Reference Indicator
-
Morningstar Category
Morningstar Category
N.A.
Net Asset Value & Assets Under Management
Date of 1st NAV
20/10/2023
Base Currency
EUR
Share class AUM
8 M€ (18/04/24)
Fund AUM
175 M€ / 187 M$
Dividend Policy
Distribution
Capital Guarantee
No
NAV Frequency
Daily, except on French public holidays for FCP/SICAV; UK bank holidays for OEIC; Stock market holidays in the US, China and Hong Kong for China New Economy Funds. 
Subscribe to NAVs
Order Placement Cut-Off Time
Before 13:00 CET
Distribution
Distribution Frequency
Yearly
Date of the Last Coupon
-
Amount of the Last Coupon
-
Annual dividend target rate
0 %

Fees

One-off costs upon entry or exit
Entry costs
1,00% of the amount you pay in when entering this investment. This is the most you will be charged. Carmignac Gestion doesn't charge any entry fee. The person selling you the product will inform you of the actual charge.
Exit costs
We do not charge an exit fee for this product.
Ongoing costs taken each year
Management fees and other administrative or operating costs
1,14% of the value of your investment per year. This estimate is based on actual costs over the past year.
Transaction Cost
0,40% of the value of your investment per year. This is an estimate of the costs incurred when we buy and sell the investments underlying the product. The actual amount varies depending on the quantity we buy and sell.
Incidental costs taken under specific conditions
Performance fees
20,00% max. of the outperformance once performance since the start of the year exceeds that of the reference indicator and if no past underperformance still needs to be offset. The actual amount will vary depending on how well your investment performs. The aggregated cost estimation above includes the average over the last 5 years, or since the product creation if it is less than 5 years.

Risks

Main Risks of the Fund
Credit
Credit risk is the risk that the issuer may default.
Interest Rate
Interest rate risk results in a decline in the net asset value in the event of changes in interest rates.
Liquidity
Temporary market distortions may have an impact on the pricing conditions under which the Fund might be caused to liquidate, initiate or modify its positions.
Discretionary Management
Anticipations of financial market changes made by the Management Company have a direct effect on the Fund's performance, which depends on the stocks selected.
The Fund presents a risk of loss of capital.
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.
The Fund is a common fund in contractual form (FCP) conforming to the UCITS Directive under French law.