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The fund invests in a selection of bonds and other fixed income instruments issued by companies and governments from around the world, covering a wide range of regions and sectors. This fund provides exposure to fixed income products outside of NZ and currency exposure is hedged to remove the impact of changes in value of the NZ dollar.
Risk Indicator (volatility)
Target Asset Allocation
This number indicates the relative 'risk' level of this fund based on the types of assets it is invested in, ranging from level 1 (least risky) to 7 (most risky).
| Risk category | Description of volatility |
| 1 | Very low |
| 2 | Low |
| 3 | Medium |
| 4 | Medium to High |
| 5 | High |
| 6 | Very high |
| 7 | Extremely high |
The risk indicators are calculated using returns of the funds, the returns of the fund’s market index or a combination of both, for the previous five years. Index returns or a mix are used if the fund has existed for less than five years. All Managers are required to use the same methodology so you can compare the risk of different funds if you are researching more than one manager.
| One month | Three months | One year | Three years (p.a) | Five years (p.a) | |
|---|---|---|---|---|---|
| Fund performance1 | 0.36 | -1.23 | 1.63 | 3.62 | -0.03 |
| Appropriate Market Index (AMI)2 | 0.19 | -0.52 | 1.32 | 3.22 | 0.23 |
AMI (appropriate market index) is a theoretical portfolio with similar underlying assets as the fund. This allows investors to see a comparison of how the value of those assets have changed in the market relative to the fund.
| Security Name | Percentage |
|---|---|
| Japan Treasury Disc Bill 130426 0.00 Gb | 7.16% |
| French Discount T-Bill 270526 0.00 Gb | 2.93% |
| Federal National Mortgage Association 150446 2.50 Tba | 2.86% |
| USD BNP Paribas A/C | 2.55% |
| Japan Treasury Disc Bill 110526 0.00 Gb | 2.12% |
| Japan Treasury Disc Bill 060426 0.00 Gb | 2.05% |
| Federal National Mortgage Association 150442 6.00 Tba | 1.82% |
| Japan 5 Year Issue 201229 1.10 Gb | 1.54% |
| Fnma 30 Year Conventional 140451 2.00 Tba | 1.43% |
| Japan Government 200952 1.40 Gb | 1.24% |
Commentary
As of 20 April 2026
Market Overview
Global bonds were volatile over April, with returns broadly modest to positive overall. Early gains were driven by easing geopolitical tensions, but these reversed as oil prices surged and inflation expectations rose.
The US yield curve bear flattened over the month, with sovereign bond yields surging to historically high levels in many economies. Credit markets were more resilient, with spreads tightening and supporting excess returns amid continued risk appetite. However, with spreads having returned to historically tight levels, GSAM believe near term returns are likely to be driven primarily by carry rather than material spread tightening.
Fund Highlights