Prudential Long Term Bond S3

Essentials Portfolio Analysis Background Data Prudential Risk Performance View PDF Factsheet
Portfolio data accurate as at:

Performance

Discrete performance - to latest available quarter end

30/09/15
to
30/09/16
30/09/16
to
30/09/17
30/09/17
to
30/09/18
30/09/18
to
30/09/19
30/09/19
to
30/09/20
Fund 24.4% -3.6% 0.6% 21.4% 6.7%
Benchmark 24.6% -4.5% 0.3% 21.1% 6.0%

Performance - to latest available quarter end

Quarter Annualised
3
2020
3 Years to
30/09/20
5 Years to
30/09/20
10 Years to
30/09/20
Fund -0.8% 9.2% 9.3% 8.8%
Benchmark -1.0% 8.8% 8.9% 8.5%

Top 10 Holdings

Stock % Weight
3¼% Treasury Gilt 2044 4.95
1½% Treasury Gilt 2047 3.66
4¼% Treasury Gilt 2055 3.21
4% Treasury Gilt 2060 2.97
4½% Treasury Gilt 2042 2.81
4¼% Treasury Stock 2036 2.73
3½% Treasury Gilt 2045 2.64
4¾% Treasury Stock 2038 2.63
3¾% Treasury Gilt 2052 2.60
4¼% Treasury Gilt 2046 2.57
Total 30.77

Fund Aims

Objective: The investment strategy of the fund is to purchase units in the M&G PP Long Term Bond Fund - the underlying fund.

Underlying Fund Objective: The fund invests, via other M&G PP funds, in long-dated bonds split equally between UK Government gilts and corporate bonds. It is a “fund of funds” with the gilts component passively managed. The actively managed corporate bonds are mainly high quality sterling issues, but may include limited amounts of high yield and hedged non-sterling bonds. The split between government and corporate bonds may be reviewed from time to time.

Performance Objective: To match the performance of the benchmark as closely as possible.

Fund Manager

M&G Treasury & Investment Office manager of the underlying fund for 19 years and 11 months

Photo of M&G Treasury & Investment Office With access to investment professionals around the world and assets under management of £178bn, the M&G Treasury & Investment Office (T&IO) has a broad and well-resourced investment capability. T&IO set the strategic asset allocation and undertakes the ‘manager of managers’ role for our insured funds. Over the years they have built a thorough and effective governance framework, which includes the setting and monitoring of investment mandates, regular performance and activity health checks and independent analysis of investment, credit and liquidity risks.

Fund Overview

Daily price (30/11/2020) 413.40
Fund size (30/09/2020) £31.06m
Underlying Fund size £31.56m
Number of holdings 214
Annual Management Charge (AMC) Please refer to the "Fund Guide"
for your specific pension plan
Launch date 30/04/2002

Asset Allocation

pie chart
  UK Gilts 54.45%
  UK Corporate Bonds 25.01%
  International Bonds 19.82%
  Cash and Equivalents 0.71%

Performance comment

Performance as at Q2 2020 - Investor sentiment recovered strongly in the second quarter of 2020 as a slowing in new COVID-19 cases and signs of a pick-up in economic activity raised hopes that the worst of the crisis may be over. Markets were also buoyed by the unprecedented stimulus measures announced by governments and central banks around the world. Having sold off sharply towards the end of the previous quarter, UK corporate bonds rallied, delivering solid returns as credit spreads tightened over the quarter. This rebound was evident in both the investment grade and high yield segments. UK government bonds (gilts) also generated positive performance over the quarter, with the expectation of increased central bank activity more than offsetting concerns over the huge increases in government borrowing. This helped drive gilt yields back towards their lows during the height of the pandemic crisis, with 10-year gilt yields ending the quarter at 0.2% compared to 0.4% at the end of March.

The funds strategic asset allocation remains 50% UK long-dated gilts and 50% UK long-dated corporate bonds. The fund is rebalanced to these weightings shortly after each quarter-end.

Source: M&G

Important Information

Some funds may invest in ‘underlying’ funds or other investment vehicles. The performance of our fund, compared to what it’s invested in won’t be exactly the same. That can be due to additional charges, cash management (needed to help people to enter and leave our fund when they want), tax and the timing of investments (this is known as a fund’s dealing cycle, it varies between managers and can be several days).

Source: London Stock Exchange Group plc and its group undertakings (collectively, the “LSE Group”). © LSE Group 2019. FTSE Russell is a trading name of certain of the LSE Group companies. e.g., “FTSE®” “Russell®”, “FTSE Russell®”, “MTS®”, “FTSE4Good®”, “ICB®”, “Mergent®, The Yield Book®,” are a trade mark(s) of the relevant LSE Group companies and are used by any other LSE Group company under license. “TMX®” is a trade mark of TSX, Inc. and used by the LSE Group under license. All rights in the FTSE Russell indexes or data vest in the relevant LSE Group company which owns the index or the data. Neither LSE Group nor its licensors accept any liability for any errors or omissions in the indexes or data and no party may rely on any indexes or data contained in this communication. No further distribution of data from the LSE Group is permitted without the relevant LSE Group company’s express written consent. The LSE Group does not promote, sponsor or endorse the content of this communication.

Source of portfolio data: Broadridge. Source of performance data: FE fundinfo. We can’t predict the future. Past performance isn’t a guide to future performance. The figures shown are intended only to demonstrate performance history of the fund, after allowing for the impact of fund charges and further costs, but take no account of any Annual Management Charge paid for by the deduction of units. Charges and further costs may vary in the future and may be higher than they are now. Fund performance is based upon the movement of the daily price and is shown as total return in GBP with gross income reinvested. The value of your investment can go down as well as up so you might get back less than you put in.

This factsheet is intended for the trustees, sponsors, advisers and members of occupational pension schemes using Prudential group pension contracts and Prudential grouped personal pensions and Stakeholder pension contracts. Its purpose is to provide an insight into how investment markets and funds have performed over the period and is provided for information only. If you are not familiar with any of the investment terminology included, then please contact an adviser. Investors should refer to their scheme documentation (e.g. Fund Guide) for fund availability, investment strategy, any scheme information and charges. Every care has been taken in populating this output, however it must be appreciated that neither Broadridge, Prudential nor their sources guarantee the accuracy, adequacy or completeness of this information or make any warranties regarding results from its usage.

Portfolio data accurate as at:

Asset Allocation

pie chart
  UK Gilts 54.45%
  UK Corporate Bonds 25.01%
  International Bonds 19.82%
  Cash and Equivalents 0.71%

Bond Sector Breakdown

Expand allCollapse all
Industry Supersector Sector Subsector
 
Bonds 99.29% - - -
 
Cash and Equivalents 0.71% - - -
 
Non-Classified 0.00% - - -

Regional Allocation

pie chart
  UK 79.47%
  North America 8.31%
  Developed Europe - Excl UK 7.98%
  Non-Classified 2.12%
  South & Central America 0.90%
  Cash and Equivalents 0.71%
  Other Regions 0.51%

Fixed Interest Currencies

pie chart
  Pound Sterling 96.48%
  US Dollar 2.56%
  Cash 0.71%
  Euro 0.24%

Regional Breakdown

Expand allCollapse all
Region Country
 
UK 79.47% -
 
United Kingdom - 79.47%
 
North America 8.31% -
 
United States - 8.31%
 
Developed Europe - Excl UK 7.98% -
 
France - 3.79%
 
Netherlands - 2.09%
 
Luxembourg - 0.66%
 
Sweden - 0.43%
 
Ireland - 0.37%
 
Italy - 0.32%
 
Belgium - 0.31%
 
Non-Classified 2.12% -
 
South & Central America 0.90% -
 
Mexico - 0.90%
 
Cash and Equivalents 0.71% -
 
Australia & New Zealand 0.34% -
 
Australia - 0.34%
 
Japan 0.17% -
 
Japan - 0.17%

Fixed Interest Maturity Profile

< 5Yr Maturity
 
 
0.36%
5Yr - 10Yr Maturity
 
 
0.54%
10Yr - 15Yr Maturity
 
 
1.67%
> 15Yr Maturity
 
 
96.72%
Cash And Equivalents
 
 
0.71%

Fixed Interest Quality Profile

AAA
 
 
0.88%
AA
 
 
58.76%
A
 
 
16.70%
BBB
 
 
17.88%
Sub-Investment Grade
 
 
0.46%
Unknown Quality
 
 
4.61%
Cash and Equivalents
 
 
0.71%

Top 10 Holdings

Stock % Weight Sector Country
1 3¼% Treasury Gilt 2044 4.95% Bonds United Kingdom
2 1½% Treasury Gilt 2047 3.66% Bonds United Kingdom
3 4¼% Treasury Gilt 2055 3.21% Bonds United Kingdom
4 4% Treasury Gilt 2060 2.97% Bonds United Kingdom
5 4½% Treasury Gilt 2042 2.81% Bonds United Kingdom
6 4¼% Treasury Stock 2036 2.73% Bonds United Kingdom
7 3½% Treasury Gilt 2045 2.64% Bonds United Kingdom
8 4¾% Treasury Stock 2038 2.63% Bonds United Kingdom
9 3¾% Treasury Gilt 2052 2.60% Bonds United Kingdom
10 4¼% Treasury Gilt 2046 2.57% Bonds United Kingdom

Important Information

Some funds may invest in ‘underlying’ funds or other investment vehicles. The performance of our fund, compared to what it’s invested in won’t be exactly the same. That can be due to additional charges, cash management (needed to help people to enter and leave our fund when they want), tax and the timing of investments (this is known as a fund’s dealing cycle, it varies between managers and can be several days).

Source: London Stock Exchange Group plc and its group undertakings (collectively, the “LSE Group”). © LSE Group 2019. FTSE Russell is a trading name of certain of the LSE Group companies. e.g., “FTSE®” “Russell®”, “FTSE Russell®”, “MTS®”, “FTSE4Good®”, “ICB®”, “Mergent®, The Yield Book®,” are a trade mark(s) of the relevant LSE Group companies and are used by any other LSE Group company under license. “TMX®” is a trade mark of TSX, Inc. and used by the LSE Group under license. All rights in the FTSE Russell indexes or data vest in the relevant LSE Group company which owns the index or the data. Neither LSE Group nor its licensors accept any liability for any errors or omissions in the indexes or data and no party may rely on any indexes or data contained in this communication. No further distribution of data from the LSE Group is permitted without the relevant LSE Group company’s express written consent. The LSE Group does not promote, sponsor or endorse the content of this communication.

Identification Codes

Sedol Code 3169403
Mex Code PUPR
Isin Code GB0031694036
Citi Code P282

Fund Charges

Annual Management Charge (AMC) Please refer to the "Fund Guide"
for your specific pension plan

Aims and Benchmark

Aims Objective: The investment strategy of the fund is to purchase units in the M&G PP Long Term Bond Fund - the underlying fund. Underlying Fund Objective: The fund invests, via other M&G PP funds, in long-dated bonds split equally between UK Government gilts and corporate bonds. It is a “fund of funds” with the gilts component passively managed. The actively managed corporate bonds are mainly high quality sterling issues, but may include limited amounts of high yield and hedged non-sterling bonds. The split between government and corporate bonds may be reviewed from time to time. Performance Objective: To match the performance of the benchmark as closely as possible.
Benchmark 50% FTSE Actuaries UK Conventional Gilts Over 15 Years Index and 50% iBoxx Sterling Over 15 Years Non-Gilts Index
Sector ABI Sterling Long Bond

Important Information

Some funds may invest in ‘underlying’ funds or other investment vehicles. The performance of our fund, compared to what it’s invested in won’t be exactly the same. That can be due to additional charges, cash management (needed to help people to enter and leave our fund when they want), tax and the timing of investments (this is known as a fund’s dealing cycle, it varies between managers and can be several days).

Source: London Stock Exchange Group plc and its group undertakings (collectively, the “LSE Group”). © LSE Group 2019. FTSE Russell is a trading name of certain of the LSE Group companies. e.g., “FTSE®” “Russell®”, “FTSE Russell®”, “MTS®”, “FTSE4Good®”, “ICB®”, “Mergent®, The Yield Book®,” are a trade mark(s) of the relevant LSE Group companies and are used by any other LSE Group company under license. “TMX®” is a trade mark of TSX, Inc. and used by the LSE Group under license. All rights in the FTSE Russell indexes or data vest in the relevant LSE Group company which owns the index or the data. Neither LSE Group nor its licensors accept any liability for any errors or omissions in the indexes or data and no party may rely on any indexes or data contained in this communication. No further distribution of data from the LSE Group is permitted without the relevant LSE Group company’s express written consent. The LSE Group does not promote, sponsor or endorse the content of this communication.

Charges and further costs may vary in the future and may be higher than they are now.

This factsheet is for information purposes only. If there is information or terminology included that you would like to discuss, then please contact an adviser. Investors should refer to their policy documentation and supporting brochures for fund availability, investment strategy, any product information and charges. Every care has been taken in populating this output, however it must be appreciated that neither Broadridge, Prudential nor their sources guarantee the accuracy, adequacy or completeness of this information or make any warranties regarding results from its usage.

These risk ratings have been developed by Prudential to help provide an indication of a fund’s potential level of risk and reward based on the type of assets which may be held by the fund. Other companies may use different descriptions and as such these risk ratings should not be considered as generic across the fund management industry.

We regularly review our fund risk ratings, so they may change in the future. If, in our view, there is a material change in the fund's level of risk, for example due to a significant change to the assets held by the fund or in the way the fund is managed, we will provide information on the new risk rating. We recommend that you make sure you understand the risk rating of any fund before you invest.

You should also consider discussing your decision and the appropriateness of a fund's risk rating with an adviser.

  • Higher Risk
  • Medium to Higher Risk
  • Medium Risk
  • Lower to Medium Risk
  • Lower Risk
  • Minimal Risk

Medium Risk

These funds may invest in multi-asset strategies with a higher weighting in equities (or with significant derivative use), while funds investing mainly in property, high yield or government bonds (such as UK Gilts) are also in this category.

Help

Important Information

This factsheet is intended for the trustees, sponsors, advisers and members of occupational pension schemes using Prudential group pension contracts and Prudential grouped personal pensions and Stakeholder pension contracts. Its purpose is to provide an insight into how investment markets and funds have performed over the period and is provided for information only. If you are not familiar with any of the investment terminology included, then please contact an adviser. Investors should refer to their scheme documentation (e.g. Fund Guide) for fund availability, investment strategy, any scheme information and charges. Every care has been taken in populating this output, however it must be appreciated that neither Broadridge, Prudential nor their sources guarantee the accuracy, adequacy or completeness of this information or make any warranties regarding results from its usage.

Important Information

Some funds may invest in ‘underlying’ funds or other investment vehicles. The performance of our fund, compared to what it’s invested in won’t be exactly the same. That can be due to additional charges, cash management (needed to help people to enter and leave our fund when they want), tax and the timing of investments (this is known as a fund’s dealing cycle, it varies between managers and can be several days).

Source: London Stock Exchange Group plc and its group undertakings (collectively, the “LSE Group”). © LSE Group 2019. FTSE Russell is a trading name of certain of the LSE Group companies. e.g., “FTSE®” “Russell®”, “FTSE Russell®”, “MTS®”, “FTSE4Good®”, “ICB®”, “Mergent®, The Yield Book®,” are a trade mark(s) of the relevant LSE Group companies and are used by any other LSE Group company under license. “TMX®” is a trade mark of TSX, Inc. and used by the LSE Group under license. All rights in the FTSE Russell indexes or data vest in the relevant LSE Group company which owns the index or the data. Neither LSE Group nor its licensors accept any liability for any errors or omissions in the indexes or data and no party may rely on any indexes or data contained in this communication. No further distribution of data from the LSE Group is permitted without the relevant LSE Group company’s express written consent. The LSE Group does not promote, sponsor or endorse the content of this communication.

Source of performance data: FE fundinfo. We can’t predict the future. Past performance isn’t a guide to future performance. The figures shown are intended only to demonstrate performance history of the fund, after allowing for the impact of fund charges and further costs, but take no account of any Annual Management Charge paid for by the deduction of units. Charges and further costs may vary in the future and may be higher than they are now. Fund performance is based upon the movement of the daily price and is shown as total return in GBP with gross income reinvested. The value of your investment can go down as well as up so you might get back less than you put in.

This factsheet is intended for the trustees, sponsors, advisers and members of occupational pension schemes using Prudential group pension contracts and Prudential grouped personal pensions and Stakeholder pension contracts. Its purpose is to provide an insight into how investment markets and funds have performed over the period and is provided for information only. If you are not familiar with any of the investment terminology included, then please contact an adviser. Investors should refer to their scheme documentation (e.g. Fund Guide) for fund availability, investment strategy, any scheme information and charges. Every care has been taken in populating this output, however it must be appreciated that neither Broadridge, Prudential nor their sources guarantee the accuracy, adequacy or completeness of this information or make any warranties regarding results from its usage.

Prudential is a trading name of Prudential Pensions Limited. Prudential Pensions Limited is registered in England and Wales. Registered office at 10 Fenchurch Avenue, London EC3M 5AG. Registered number 992726. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.