Swip offering high-yield returns with lower volatility

Absolute Return Bond's highest risk position is similar to government debt, but the fund has returned 5.4% bid to bid over one year

Swip's £15m Absolute Return Bond fund has an eighth of the volatility of high-yield bond portfolios but delivers similar results, according to co-manager Craig Inches. It has returned 5.4% bid to bid over one year to 24 September, compared to the IMA Global Bond sector average of 0.3%. Absolute Return Bond is currently listed in the IMA Specialist sector, but Inches believes Global Bonds would provide a more sensible frame of comparison. The fund was one of three absolute return offerings launched by the group a year ago, vaunted as correction-defying vehicles. Absolute Return Macro, ru...