UBS Sterling Corporate Bond Indexed Fund

A fund for cost conscious investors

Launched on 22 March 2013, with retail share classes available on 2 April 2013, the UBS Sterling Corporate Bond Indexed Fund aims to achieve returns that are consistent with the performance of the Markit iBoxx Sterling Non-Gilts Index by predominantly investing in fixed income securities.

The Fund uses a stratified sampling method, rather than full replication, as we believe this is more efficient and cost effective for a Fund such as this. The Fund has a target tracking error of +/- 35bps.

The Fund provides access to investment grade Sterling bonds and may be suitable for those investors seeking a lower risk capital growth profile than equity funds may provide.

For those investors looking for income, the Fund will pay distributions on a quarterly basis.

Dedicated passive expertise

We believe passive investing requires manager skill, experience and technology to achieve the best performance possible whilst closely tracking the underlying benchmark.

We seek to construct a portfolio that delivers the return of the underlying benchmark with very low tracking error by controlling risk and minimising costs.

Coupled with long-term experience

Passive management has been a capability in our firm for over 30 years; we set up one of the first index-tracking funds in the UK in 1979.  Whilst we already have an established record of running our Life Fund offering the UBS Sterling Corporate Bond Indexed Fund is the first time we are doing so via a UK OEIC, allowing a broader range of investors access to a low-cost fund.

Why choose UBS for passive?

Why choose UBS for passive?

"With our proprietary portfolio management platform coupled with our risk management tools, we have the controls in place for efficient passive management. We believe this, in conjunction with our 30 year experience in managing passive assets, sets us apart from many of our competitors."