Fact sheet: Axa Framlington Managed Income

Rated Fund Information
Rated Funds Group
?Money Observer has arranged all its Rated Funds into easy to understand Rated Fund Groups, comprising funds and investment trusts.
STERLING BONDS
Sector
UT Sterling Strategic Bond
Fund type
Unit Trust
Primary aim
No data available.
Why Money Observer Rates Axa Framlington Managed Income

New for 2017. Run by a manager with equity expertise

As its name suggests, the main aim of this fund is to generate a steady level of income and it is currently yielding over 4 per cent. To do so it invests principally in convertible securities, corporate bonds and other fixed income securities (including government bonds) of predominantly UK issuers.

However, capital growth is also an objective so when selecting securities George Luckraft, the manager, is looking for those with yield and value characteristics which create the potential for attractive total return. The fund can also invest in ordinary shares.

Although he runs a bond fund, Luckraft is head of UK equities at Axa Investment Management and also runs the Axa Framlington Monthly Income fund.

However, having an equity mindset for assessing a company's prospects and its ability to service its debts is important when investing in corporate bonds, particularly convertibles. Convertibles are a type of hybrid security that pay interest as bonds do, but can be exchanged for shares in a company when these shares rise above a fixed price.

In volatile markets, they can be an attractive proposition to investors. Investors can enjoy the best of both worlds, receiving interest now plus the potential for capital gain. Luckraft also needs to be on top of how companies are progressing, as this affects the value of their bonds.

3 Year Performance
Fund Performance17.3%
Average of Rated Funds Group18.1%
Sector Performance9.3%
Fund information
Fund name
AXA Framlington Managed Income Z Acc
Fund manager company
AXA IM UK
Fund type
Unit Trust
Fund managers
  • George Luckraftsince 08/09/2002
Accolades
Fund objective
The aim of this Fund is to produce a high income with potential for long-term growth of capital.
Benchmark
  • FTSE All Share Index
Investment style
Cautious
Investment method
None
Quick stats
1 Year return
5.5%
1 Year rank in sector
10/81
Sector
UT Sterling Strategic Bond
Yield
4.9%
Ongoing charge (OCF)
?A fund’s ongoing charges figure (OCF) is similar to the old-style total expense ratio. It reflects the annual charge to investors in the fund, in percentage terms, but does not include extra performance-related fees (where these are levied) or the fund’s trading expenses on its underlying investments.
0.59%
Fund size
£448m (£323m last year)
FE Risk score
?FE Risk Scores measure the riskiness of instruments relative to the FTSE 100 index of shares. Weekly volatility is measured over three years with recent behaviour counting more heavily than earlier behaviour. Cash-type investments will have scores close to zero. Funds will tend to have scores in the 0-150 range. The FTSE 100 is always scored at 100. There is no upper limit.
22
Top in this sector
Fund name1 Year
GAM Credit Opportunities GBP11.3%
Man GLG Stgc Bd7.8%
TwentyFour Dyn Bd7.1%
Old Mutual Bond 16.9%
Artemis High Income6.4%
...more in UT Sterling Strategic Bond

Performance snapshot

Holdings snapshot

  • UK94.3%
    Money Market3.8%
    International1.1%
    Others0.8%
  • No data available.
  • UK Corporate Fixed Interest75.6%
    UK Equities10.2%
    UK Gilts4.2%
    Money Market3.8%
    Global Corporate Fixed Interest2.7%

Performance vs Sector

Cumulative performance
 1 mth3 mth6 mth1 yr3 yr5 yr
Fund-1.1%0.3%0.8%5.5%17.3%36.2%
Sector-1.2%-0.4%-0.5%2.8%9.3%21.7%
Rank within sector38 / 8521 / 8420 / 8210 / 813 / 754 / 67
Quartile2nd1st1st1st1st1st
Calendar performance
 YTD - 20182017201620152014
Fund-0.6%7.9%11.1%0.4%7.7%
Sector-1.2%4.9%7.3%-0.3%6.8%
Rank within sector28 / 8511 / 817 / 7627 / 7332 / 72
Quartile2nd1st1st2nd2nd
Risk statistics
Alpha
?Alpha is a measure of a fund's over- or under-performance by comparison to its benchmark. If the Alpha is 5, the fund has outperformed its benchmark by 5%; so the greater the Alpha, the greater the outperformance.
2.13
Beta
?Beta estimates a fund's volatility by comparison to that of its benchmark. A fund with a beta close to 1 means that the fund will move generally in line with the benchmark. Higher than 1 and the fund is more volatile than the benchmark and vice versa.
1.1
Sharpe
?This commonly-used measure calculates the level of return over and above the return of a notional risk-free investment, such as cash. The difference in returns is then divided by the fund's volatility. The resulting ratio is an indication of the amount of excess return generated per unit of risk.
0.58
Volatility
?Volatility (or standard deviation), when applied to an investment fund, expresses its risk. It shows how widely a range of returns varied from the fund's average return over a particular period. For example, if a fund had an average return of 5%, and its volatility was 15, this would mean that the range of its returns over the period had swung between +20% and -10%.
4.21
Tracking error
?This measures the standard deviation of a fund's excess returns over the returns of an index or benchmark portfolio. As such, it can be an indication of 'riskiness' in the manager's investment style. A Tracking Error below 2 suggests a passive approach. At 3 and above the the manager will be deploying a more active investment style.
2.36
Information ratio
?This is a useful risk-adjusted measure of actively managed fund performance. It is calculated by deducting the returns of the fund's benchmark from the fund's overall returns, then dividing the result by its tracking error. The higher the Information Ratio the better. It is generally considered that a figure of 0.5 reflects a good performance, 0.75 very good, and 1.00 outstanding.
1.03
R-Squared
?An indication of how closely correlated a fund is to an index or a benchmark. Values for R-Squared range between 0 and 1, with 0 indicating no correlation at all and 1 showing a perfect match. Values upwards of 0.7 suggest that the fund's behaviour is increasingly linked to its benchmark.
0.69
Price movement
52 week high160
52 week low149.2
Current bid price-
Current offer price-
Current mid price157.9
Region
1UK94.27%
2Money Market3.84%
3International1.13%
4Others0.76%
Industry sector
No data available.
Asset type
1UK Corporate Fixed Interest75.64%
2UK Equities10.22%
3UK Gilts4.23%
4Money Market3.84%
5Global Corporate Fixed Interest2.67%
6Global Government Fixed Interest1.52%
7International Equities1.13%
8Others0.75%
Individual holdings
1UNITED KINGDOM GILT 4.5% 03/07/20194.23%
2LEGAL & GENERAL GROUP PLC VAR PERP2.06%
3HSBC BK CAP FUNDING STERLING 2 VAR PERP1.99%
4TULLETT PREBON PLC 5.25% 01/26/20241.98%
5AA BOND CO LTD 5.5% 07/31/20221.94%
6PRUDENTIAL PLC1.91%
7Premier Foods Finance PLC RegS 6.500 MAR 15 211.89%
8RIO TINTO FINANCE PLC 4% NTS 11/12/29 GBP1000001.88%
9ARROW GLOBAL FINANCE PLC 5.125% BDS 15/09/24 GBP10000 REG S1.87%
Management
Fund manager group
AXA Investment Managers
Fund manager company
AXA IM UK
Fund type
Unit Trust
Fund objective
The aim of this Fund is to produce a high income with potential for long-term growth of capital.
Benchmark
  • FTSE All Share Index
Investment style
Cautious
Investment method
None
Fund managers
NameSinceBiography
George Luckraft08/09/2002George joined AXA Investment Managers in 2002 and is the lead fund manager for the AXA Framlington Managed Income and AXA Framlington Monthly Income Funds. Previously he worked for Carrington Pembroke (subsequently ABN AMRO and now Artemis Unit Trust Managers) where he was Head of UK Equities. George graduated from Cambridge with a degree in Engineering and Land Economy in 1980.
Compliance
IA Recognised, UCITS IV Compliant, UCITS V Compliant
Domicile
No data available.
Fund for sale in
United Kingdom
AXA Framlington Managed Income R Acc
Initial charge-
Annual charge1%
Min single investment£1,000
Min regular saving£100
Available in ISAYes
Ongoing charge (OCF)1.09%
Total expense ratio (TER)1.13%
Bid price-
Offer price-
Mid price987.6
CurrencyGBX
Price updated20/02/2018
TypeAccumulation
Institutional or retail classRetail
Domicile-
Citi codeFR08
AXA Framlington Managed Income R Gr Acc
Initial charge-
Annual charge1%
Min single investment£1,000
Min regular saving£100
Available in ISAYes
Ongoing charge (OCF)1.09%
Total expense ratio (TER)1.13%
Bid price-
Offer price-
Mid price167.1
CurrencyGBX
Price updated20/02/2018
TypeAccumulation
Institutional or retail classRetail
Domicile-
Citi code03TN
AXA Framlington Managed Income R Gr Inc
Initial charge-
Annual charge1%
Min single investment£1,000
Min regular saving£100
Available in ISAYes
Ongoing charge (OCF)1.09%
Total expense ratio (TER)1.13%
Bid price-
Offer price-
Mid price113
CurrencyGBX
Price updated20/02/2018
TypeIncome
Institutional or retail classRetail
Domicile-
Citi code03TO
AXA Framlington Managed Income R Inc
Initial charge-
Annual charge1%
Min single investment£1,000
Min regular saving£100
Available in ISAYes
Ongoing charge (OCF)1.09%
Total expense ratio (TER)1.13%
Bid price-
Offer price-
Mid price142.4
CurrencyGBX
Price updated20/02/2018
TypeIncome
Institutional or retail classRetail
Domicile-
Citi codeFR07
AXA Framlington Managed Income Z Acc
Initial charge-
Annual charge0.5%
Min single investment£100,000
Min regular saving£5,000
Available in ISAYes
Ongoing charge (OCF)0.59%
Total expense ratio (TER)0.66%
Bid price-
Offer price-
Mid price157.9
CurrencyGBX
Price updated20/02/2018
TypeAccumulation
Institutional or retail classRetail
Domicile-
Citi code11VN
AXA Framlington Managed Income Z Gross Acc
Initial charge-
Annual charge0.5%
Min single investment£100,000
Min regular saving£5,000
Available in ISAYes
Ongoing charge (OCF)0.59%
Total expense ratio (TER)-
Bid price-
Offer price-
Mid price167.1
CurrencyGBX
Price updated20/02/2018
TypeAccumulation
Institutional or retail classRetail
Domicile-
Citi code11VO
AXA Framlington Managed Income Z Gross Inc
Initial charge-
Annual charge0.5%
Min single investment£100,000
Min regular saving£5,000
Available in ISAYes
Ongoing charge (OCF)0.59%
Total expense ratio (TER)-
Bid price-
Offer price-
Mid price120.2
CurrencyGBX
Price updated20/02/2018
TypeIncome
Institutional or retail classRetail
Domicile-
Citi code11VQ
AXA Framlington Managed Income Z Inc
Initial charge-
Annual charge0.5%
Min single investment£100,000
Min regular saving£5,000
Available in ISAYes
Ongoing charge (OCF)0.59%
Total expense ratio (TER)0.66%
Bid price-
Offer price-
Mid price120.2
CurrencyGBX
Price updated20/02/2018
TypeIncome
Institutional or retail classRetail
Domicile-
Citi code11VP
Data provided by

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