Fact sheet: Artemis High 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
INCOME
Why Money Observer Rates Artemis High Income

Rated Fund 2016-2018. Assesses a company's bonds and shares

This fund was highly commended in the Larger Sterling Bond Fund category

of Money Observer's 2015 awards. Morningstar rates it a ムcompelling' long-term offering for investors looking for a high

income fund. It yields more than 5 per cent and offers the choice of a quarterly or monthly income.

Although it invests primarily in bonds, which must make up at least 80 per cent of the portfolio to qualify for inclusion in a bond sector, it also invests in shares to give it greater growth potential. Alex Ralph, a bond specialist, has been lead manager since 2015. On the equity allocation, she is supported by Artemis' income team.

The team carry out their own research, analysing companies from both an equity and a bond perspective. Rather than relying on credit-rating agencies, they make their own assessments of each bond, focusing on the issuing company's free cash flow and its ability to service its debt and refinance itself. For equities, they analyse how companies are investing for the future, paying particular attention to the outlook for dividends.

This dual perspective gives the team a more complete understanding of a company's capital structure than is available to a bond or equity specialist alone. It allows them to assess whether a company's shares represent a more attractive claim on its future cash flows than its bonds, or vice versa.

One of Ralph's aims is to find bonds that have been mispriced due to a lack of broker coverage or thin trading. This can result in attractive yields and a potentially strong total return.

3 Year Performance
Fund Performance15.1%
Average of Rated Funds Group15.8%
Sector Performance8.8%
Fund information
Fund name
Artemis High Income I Inc
Fund manager company
Artemis Fund Managers Limited
Fund type
Unit Trust
Fund managers
  • Alex Ralphsince 01/02/2014
Accolades
Highly Commended - Large Fund - Sterling Bond
Fund objective
The fund aims to achieve an above average level of income together with the prospect of rising income and some capital growth over the longer term.
Benchmark
  • No Specified Index
Investment style
Strategic Investment
Investment method
Fixed Interest
Quick stats
1 Year return
4.2%
1 Year rank in sector
2/81
Sector
UT Sterling Strategic Bond
Yield
5.3%
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.
0.69%
Fund size
£1,332m (£1,183m 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.
24
Bid price
84.23
Offer price
85.84
Top in this sector
Fund name1 Year
GAM Credit Opportunities GBP4.8%
Artemis High Income4.2%
Schroder Strategic Bond4.2%
AXA Framlington Mgd Inc4%
EdenTree Amity Sterling Bd3.6%
...more in UT Sterling Strategic Bond

Performance snapshot

Holdings snapshot

  • UK45.1%
    USA6.8%
    France5.9%
    Luxembourg5.2%
    Netherlands5.1%
  • Banks17.3%
    Financials8.9%
    Life Insurance8.2%
    Insurance7.5%
    Government Bonds6.5%
  • UK Fixed Interest19%
    Global Investment Grade Fixed Interest18.2%
    UK Equities13.4%
    US Fixed Interest6.9%
    UK Gilts6.5%

Performance vs Sector

Cumulative performance
 1 mth3 mth6 mth1 yr3 yr5 yr
Fund0.2%1.1%1.2%4.2%15.1%32.3%
Sector-0.4%-0.4%-0.8%0.3%8.8%17.4%
Rank within sector2 / 851 / 852 / 842 / 818 / 754 / 70
Quartile1st1st1st1st1st1st
Calendar performance
 YTD - 20182017201620152014
Fund0.3%9%7.8%2.2%5.4%
Sector-1.5%4.9%7.3%-0.3%6.8%
Rank within sector2 / 854 / 8137 / 7610 / 7344 / 72
Quartile1st1st2nd1st3rd
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.
1.16
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.
1.24
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.
0.3
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%.
4.76
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.
2.69
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.
0.68
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.
0.7
Price movement
52 week high87.49
52 week low84
Current bid price84.23
Current offer price85.84
Current mid price-
Region
1UK45.09%
2USA6.79%
3France5.92%
4Luxembourg5.25%
5Netherlands5.1%
6Money Market3.87%
7Germany3.65%
8Cayman Islands3.52%
9Italy2.85%
Industry sector
1Banks17.28%
2Financials8.89%
3Life Insurance8.22%
4Insurance7.5%
5Government Bonds6.5%
6Oil & Gas Exploration & Production6.05%
7Travel5.54%
8Telecommunications5.16%
9Wireless & Mobile Communications3.92%
Asset type
1UK Fixed Interest18.95%
2Global Investment Grade Fixed Interest18.23%
3UK Equities13.37%
4US Fixed Interest6.91%
5UK Gilts6.5%
6French Fixed Interest5.36%
7Luxembourg Fixed Interest5.25%
8Money Market3.87%
9German Fixed Interest2.96%
Individual holdings
1HM TREASURY UNITED KINGDOM DMO 1.75% GILT 22/07/19 GBP0.016.5%
2DIRECT LINE INSURANCE GROUP PLC2.24%
3LEGAL & GENERAL GROUP2.09%
4BT GROUP1.79%
5BP1.51%
6PHOENIX GROUP HLDGS 6.625% GTD SUB NTS 18/12/25 GBP1000001.42%
7RBS CAPITAL TRUST II 6.425% BDS PERP USD10001.21%
8VODAFONE GROUP PLC1.19%
9NORDEA BANK AB1.14%
Management
Fund manager group
Artemis
Fund manager company
Artemis Fund Managers Limited
Fund type
Unit Trust
Fund objective
The fund aims to achieve an above average level of income together with the prospect of rising income and some capital growth over the longer term.
Benchmark
  • No Specified Index
Investment style
Strategic Investment
Investment method
Fixed Interest
Fund managers
NameSinceBiography
Alex Ralph01/02/2014Alex runs the Artemis Strategic Bond Fund alongside James Foster and is the manager of the Artemis High Income Fund. She graduated in 2000 from the London School of Economics and joined Royal Sun Alliance, as a credit analyst. In 2002, Alex moved into managing retail bond funds with ISIS, initially specialising in the high-yield market but later adding duration and investment-grade positioning. Alex joined Artemis in April 2005 and is a CFA charterholder.
Compliance
IA Recognised, UCITS IV Compliant
Domicile
No data available.
Fund for sale in
United Kingdom
Artemis High Income I Inc
Initial charge1%
Annual charge0.63%
Min single investment£250,000
Min regular saving£500
Available in ISAYes
Ongoing charge (OCF)0.69%
Total expense ratio (TER)0.69%
Bid price84.23
Offer price85.84
Mid price-
CurrencyGBX
Price updated21/05/2018
TypeIncome
Institutional or retail classRetail
Domicile-
Citi codeBUH5
Artemis High Income I Monthly Inc
Initial charge1%
Annual charge0.63%
Min single investment£250,000
Min regular saving£500
Available in ISAYes
Ongoing charge (OCF)0.69%
Total expense ratio (TER)-
Bid price84.23
Offer price85.84
Mid price-
CurrencyGBX
Price updated21/05/2018
TypeIncome
Institutional or retail classRetail
Domicile-
Citi codeK7PQ
Artemis High Income R Inc
Initial charge5.25%
Annual charge1.25%
Min single investment£1,000
Min regular saving£500
Available in ISAYes
Ongoing charge (OCF)1.31%
Total expense ratio (TER)1.34%
Bid price78.54
Offer price83.42
Mid price-
CurrencyGBX
Price updated21/05/2018
TypeIncome
Institutional or retail classRetail
Domicile-
Citi codeP171
Artemis High Income R Monthly Inc
Initial charge-
Annual charge-
Min single investment£0
Min regular saving£0
Available in ISANo
Ongoing charge (OCF)-
Total expense ratio (TER)-
Bid price-
Offer price-
Mid price-
CurrencyGBX
Price updated01/01/1900
TypeIncome
Institutional or retail classRetail
Domicile-
Citi codeK7PR
Data provided by

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