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For Professional Client Use Only
Neuberger Berman
Global Opportunistic Bond FundSeptember 30, 2018
For Professional Client Use Only
Government Bond Yields – End of Bull Run?
-2%
0%
2%
4%
6%
8%
10%
12%
14%
1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020
US 10yr UK 10yr EUR 10yr
Source: Bloomberg, 10Year Generic Government Bonds & Neuberger Berman Forecast
10 Year Government Bond Rates
As of September 30, 2018
2
For Professional Client Use Only
Credit Spreads – Renewing Post-GFC Tights
0
2
4
6
8
10
12
14
16
18
20
0%
1%
2%
3%
4%
5%
6%
7%
2001 2003 2005 2007 2009 2011 2013 2015 2017
Cre
dit
Sp
read
(O
AS
), %
Cre
dit
Sp
read
(O
AS
), %
EUR IG Credit (LHS) US IG Credit (LHS) Global High Yield (RHS)
Source: Bloomberg Barclays Indices. Euro Aggregate Corporate, Sterling Aggregate Corporate, US Aggregate Corporate, Global High Yield Corporate.
Credit Spreads
As of September 30, 2018
3
For Professional Client Use Only
Cost of Hedging Dollar Assets is Highest in 20 Years
-4%
-3%
-2%
-1%
0%
1%
2%
3%
4%
Dec-98 Dec-00 Dec-02 Dec-04 Dec-06 Dec-08 Dec-10 Dec-12 Dec-14 Dec-16
EURUSD Hedge Cost GBPUSD Hedge Cost
Rec
eive
Hed
gin
g P
rem
ium
Pay
Hed
gin
g C
ost
Source: Bloomberg, Neuberger Berman Calculations. The 3m hedging cost is based off the 3m forward points for the EURUSD & GBPUSD currency pairs.
Cost of Hedging Dollar Assets
As of September 30, 2018
4
For Professional Client Use Only
Investment Opportunities Vary Over Time
Capital markets are often short-sighted in their pricing of assets
2009
HY Credit
60.7%
Senior Loans
53.8%
EM Sovereign
24.7%
IG Credit
16.3%
EM Local
12.5%
DM Sovereign
0.9%
2011
EM Sovereign
6.4%
DM Sovereign
5.4%
IG Credit
5.0%
HY Credit
3.2%
Senior Loans
1.6%
EM Local
0.0%
2012
HY Credit
18.9%
EM Sovereign
17.3%
EM Local
13.9%
IG Credit
10.8%
Senior Loans
10.2%
DM Sovereign
4.5%
2013
HY Credit
7.1%
Senior Loans
5.4%
IG Credit
0.0%
DM Sovereign
-0.2%
EM Sovereign
-4.1%
EM Local
-5.7%
2010
HY Credit
15.4%
EM Local
12.8%
EM Sovereign
11.1%
Senior Loans
9.7%
IG Credit
7.4%
DM Sovereign
3.5%
2014
DM Sovereign
8.4%
EM Sovereign
7.8%
IG Credit
7.7%
Senior Loans
1.5%
EM Local
-4.5%
HY Credit
2.5%
Senior Loans
-25.3%
HY Credit
-27.0%
EM Sovereign
-8.0%
IG Credit
-4.8%
EM Local
-4.4%
DM Sovereign
9.2%
2008
0%
2015
DM Sovereign
1.4%
EM Sovereign
0.9%
IG Credit
-0.2%
Senior Loans
-0.8%
HY Credit
-2.0%
EM Local
-12.0%
2016
DM Sovereign
3.8%
EM Sovereign
8.5%
IG Credit
6.1%
Senior Loans
10.2%
HY Credit
16.2%
EM Local
6.5%
DM Sovereign
2.3%
EM Sovereign
9.3%
IG Credit
5.8%
Senior Loans
4.1%
HY Credit
8.0%
EM Local
14.7%
2017
Annual Returns Data as of December 31, 2017. Source: ICE BofA ML Developed Market Sovereign Bond Index (WSAV), ICE BofA ML Global High Yield Index (HW00), ICE BofA ML Local Debt Markets Debt Index (LDMP), ICE
BofA ML Global Broad Market Corporate Index (G0BC), ICE BofA ML EM External Sovereign Hard Currency (EMGB), S&P/LSTA Leveraged Loans (SPBDAL),
Indices are unmanaged, are not available for direct investment and are not subject to fees and expenses typically associated with managed accounts or investment funds.
Past performance is not necessarily indicative of future results. As with any investment, there is the possibility of profit as well as the risk of loss.
5
For Professional Client Use Only
Why Neuberger Berman for Multi-Sector Fixed Income?
Broad employee ownership, high retention rates and employee alignment with investors
150+ fixed income investment professionals globally managing over $132 billion in assets
Managing Multi-Sector Fixed Income strategies since 2004
Coverage of all key sectors and geographies across developed and emerging markets
Best-in-class capabilities in security selection, sector allocation and macro management
Ownership Structure and Stability
Global Investment Platform
Legacy and Experience
Breadth of Capabilities
Investment Excellence
As of June 30, 2018
6
For Professional Client Use Only
Neuberger Berman Global Opportunistic Bond Fund
Flexible strategy that tactically allocates to changing market conditions
With the flexibility to invest across the fixed income spectrum
Adaptive to changing market conditions
No persistent biases or tilts in portfolio
Coupled with strong risk management
GLOBAL STRATEGY
DYNAMIC SECTOR ALLOCATION
MULTIPLE ALPHA SOURCES
COLLABORATIVE RESEARCH-DRIVEN PROCESS
A track record of client partnerships and long-term performance
HIGHLY EXPERIENCED TEAM
1
2
3
4
5
Source: Neuberger Berman.
The investment objective of an Absolute Return Fund is to achieve a positive return over a specified period. However, there is no guarantee that this will be achieved over any stated period: capital invested is at risk.
Our Offering Global Opportunistic
Benchmark Bloomberg Barclays
Global Aggregate Index
Investment Universe Broad Fixed Income
Type Global
Expected Tracking Error (over market cycle) 200-400
Asset Allocation
Individual Sectors Long / Short
Total Portfolio Long
Active Duration Management +/- 50% benchmark
AvailabilityUCITS fund (Dublin)
Separate Accounts
Liquidity Daily
Launch Date December 2016
7
For Professional Client Use Only
Global Opportunistic: Performance
Consistent outperformance versus the benchmark
Source: Neuberger Berman as of September 30, 2018. Past performance is no guarantee of future results . Please see attached additional GIPS notes and disclosures, which are required as part of this presentation.
0.4
1.9
4.85.0
4.5
0.0
0.8
2.4
3.1
2.7
0.4
1.1
2.5
1.9 1.8
0.00
1.00
2.00
3.00
4.00
5.00
6.00
YTD 2018 1 Year 3 Years 5 Years Since Inception(10/1/2012)
Global Opportunistic Composite - Gross (%) Bloomberg Barclays Global Aggregate USD-Hedged Index (%) Value Added (%)
Total Return (%, gross of fees)
3 Years 5 Years
Since Inception
(10/1/2012)
Annualized Tracking Error (%) 2.54 2.42 2.35
Information Ratio 0.98 0.78 0.74
8
For Professional Client Use Only
Experienced and Stable Fixed Income Team
As of June 30, 2018.Research and Trading professionals can be shared across multiple teams and may be counted more than once.1. As previously announced Andy Johnson will be retiring at the end of 2018 and will transition his portfolio management responsibilities to a group of senior portfolio managers across Global Investment Grade and the Multi-Sector Fixed Income Group. Given our team-based approach, each account will continue to be managed by portfolio managers that have a deep understanding of each portfolio and the client’s unique objectives.
Experienced investment team leverages the depth of insights from across the NB FI platform
Supported By Global Fixed Income Team With Over 150 ProfessionalsMulti-Sector Portfolio Managers
Brad TankChicago35 Yrs of Exp.
Ashok BhatiaChicago25 Yrs of Exp.
Jon JonssonLondon22 Yrs of Exp.
Senior Portfolio Managers1
Thanos BardasChicago20 Yrs of Exp
Ugo LancioniLondon23 Yrs of Exp.
Shanghai
Singapore
The Hague
Atlanta
London
New York
Chicago
Alex GitnikLondon21 Yrs of Exp.
Adam GrotzingerSingapore15 Yrs of Exp.
Global Investment Grade Credit Government Debt Municipal BondsSecuritizedDiversified CurrencyEmerging Market Debt
Global Non-Investment Grade
Lead PM (Yrs Exp.):
Tom O’Reilly (29)
46 Investment Resources
Lead PM (Yrs Exp.):
Dave Brown (27)
37 Investment Resources
33 Investment Resources
Lead PMs (Yrs Exp.):
Rob Drijkoningen (28)
& Gorky Urquieta (24)
Lead PM (Yrs Exp.):
Thanos Bardas (20)
9Investment Resources
Lead PM (Yrs Exp.):
Ugo Lancioni (23)
9 Investment Resources
Lead PM (Yrs Exp.):
Tom Sontag (37)
18Investment Resources
Lead PM (Yrs Exp.):
James Iselin (25)
16 Investment Resources
9
For Professional Client Use Only
Overview of Asset Allocation and Portfolio Construction Process
Develop Market
and Macro Insights
Value Asset
Classes
Develop Asset
Allocations
Select Individual
Securities
Senior Multi-Sector Portfolio Managers determine risk budget and asset allocation
Sector-specialty teams are
responsible for selecting
securities and managing
their allocations
This material is intended as a broad overview of the portfolio managers' style, philosophy and investment process and is subject to change without notice.
10
For Professional Client Use Only
Asset Allocation Process
What market expectations
are driving/determining
asset prices?
Provide context
How do our views differ
from the markets?
Determine attractive
opportunities to allocate
capital
How much confidence do
we have in our views?
Determine how much
capital to allocate to each
opportunity
11
For Professional Client Use Only
Trade Example: Adding HY Exposure in January 2016
IMPLEMENTEXAMINE TEST COMPARE
Confidence:
HIGH
Our view:
Continued
Economic
growth
Possible trade ideas
based on expected
outcomes:
• Rates
• FX
• Credit
• EMD
Consensus
view:
U.S is
heading into
recession
ALLOCATE
Decision:
Add HY exposure to
portfolios through
actively managed
portfolio
12
For Professional Client Use Only
Multi-Sector Portfolios: Our Views on Credit Markets
Asset Class View Main Positions and Changes Recent Changes
Municipals
Tax-exempt municipals are fairly valued
Taxable municipals look attractive relative to similarly-
rated IG credit
Modest positions in tax-exempt municipals
Increasing taxable municipal exposure
_______________________Source: Neuberger Berman, As of September 30, 2018. For illustrative and discussion purposes only. Nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. This material is not intended as a formal research report and should not be relied upon as a basis for making an investment decision. Investing entails risks, including possible loss of principal. Past performance is no guarantee of future results.
Spread widening driven by technicals, not fundamentals
EUR IG credit is relatively cheapIG Credit
Overweight short duration IG
Overweight financials in US and corporate
hybrids in EUR
Securitized Spread sectors such as seasoned CRT and non-AAA
ABS remain attractive
Overweight pre-2018 vintage CRT, reducing
non-agency MBS exposure, and selective
additions to credit-oriented ABS
High YieldHigh yield remains on track for low-to-mid single digit
total returns
EUR HY is relatively cheap
Underweight CCC’s
Underweight cyclicals
Bank Loans
Robust demand with elevated CLO issuance
Defaults will likely remain low but increase in lower-
rated issuance and diminished debt cushions bear
watching
Maintaining reduced exposure, increasing focus
on mezzanine CLOs
Emerging
MarketsBoth low beta and high beta EM exposure is
attractive given valuations and fundamentals
Diversified exposure, focused on hard
currency
Modest increases to Turkey and Argentina
13
For Professional Client Use Only
Global Opportunistic: Diversified Array of Risks
Source: Neuberger Berman. For illustrative purposes only.
As of September 30, 2018
Positions taken across the range of fixed income markets and geographies
Rates USD36%
Rates non-USD4%
DM Gov. Spreads-3%
Rates Local EM5%
IG Corp Spreads1%
HY Corp Spreads14%
EM Spreads14%
Securitized Spreads1%
Inflation6%
Foreign Exchange16%
Rates USD
Rates non-USD
DM Gov. Spreads
Rates Local EM
IG Corp Spreads
HY Corp Spreads
EM Spreads
Securitized Spreads
Inflation
Foreign Exchange
Global Opportunistic
14
For Professional Client Use Only
Global Opportunistic: Strong Diversification Benefits
Risk reduction through various sources of positions
Source: Neuberger Berman, Blackrock Aladdin. Data as of September 30, 2018.Spread and rates sub-factors shown on contribution to volatility basis.For illustrative purposes only.
As of September 30, 2018
Rates USD*
Rates non-USD*
DM Gov. Spreads*
Rates Local EM*
IG Corp Spreads*
HY Corp Spreads*
EM Spreads*
Securitized Spreads*
0
50
100
150
200
250
300
350
400
450
500
Rates Spreads Foreign Exchange Inflation Diversification Benefit Diversified
15
For Professional Client Use Only
No persistent tilts or biases
Dynamic Risk Allocation
Source: Neuberger Berman. As of September 30, 2018. Representative portfolio information is subject to change without notice. Past performance is not necessarily indicative of future results. As with any investment, there is the possibility of profit as well as the risk of loss
Global Opportunistic Active Risk Contribution (Tracking Error Bps Annualized)
-50
0
50
100
150
200
250
300
350
400
450
Jan-15 Apr-15 Jul-15 Oct-15 Jan-16 Apr-16 Jul-16 Oct-16 Jan-17 Apr-17 Jul-17 Oct-17 Jan-18 Apr-18 Jul-18
US Rates
Non-US Rates
DM Gov. Spreads
Inflation
Rates Local EM
IG Corp Spreads
HY Corp Spreads
Emerging Market Debt
Securitized Spreads
FX
16
For Professional Client Use Only
Global Opportunistic: Composite Attribution
Source: Neuberger Berman.1. Refers to the difference in calculation methodology between composite performance and attribution. Any discrepancy in the total outperformance number between the two is attributed to ‘Rounding Effect’ and displayed as such.Past performance does not predict or guarantee future results. As with any investment, there is the possibility of profit as well as the risk of loss. Please note that some figures may appear incorrect due to rounding..
Return Attribution
As of September 30, 2018 – benchmarked to the Bloomberg Barclays Global Aggregate USD-Hedged
Index
2013 2014 2015 2016 2017
YTD
2018
Average Since
Inception
Global Securitized +50 +68 +23 +71 +156 +35 +67
Security Selection +44 +70 +20 +39 +145 +34 +59
Asset Allocation +6 -2 +2 +32 +11 +1 +8
Global Investment Grade Corporates +26 +6 +1 +62 +10 +9 +19
Security Selection +36 +2 -10 +97 +35 +8 +28
Asset Allocation -10 +4 +11 -35 -25 +1 -9
Emerging Markets Debt -13 +6 -85 +33 +64 -96 -15
Security Selection -15 +0 +0 +0 +0 +0 -3
Asset Allocation +2 +6 -85 +33 +64 -96 -13
Global Rates +25 +11 -8 +39 +4 -2 +11
Security Selection +12 +7 -1 +16 +26 -52 +1
Asset Allocation +13 +4 -7 +23 -22 +49 +10
US High Yield +112 -42 -113 +248 +60 +35 +50
US Senior Floating Rate Loans +37 +0 +2 +24 +13 -0 +13
Yield Curve -112 +21 +74 -71 +83 +46 +7
Active FX Overlay Only -31 +110 +82 -18 +45 +34 +37
FX Hedging & Other -5 -57 -30 -61 -78 -14 -41
Cash +16 +7 +0 +5 +10 +13 +8
Trading Effects & Other +8 +13 -13 +14 +1 -17 +1
Rounding Effect1
+2 -3 -3 +0 +0 +0 -1
TOTAL +115 +140 -70 +345 +369 +41 +157
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - basis points - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
17
For Professional Client Use Only
Risk Considerations
Market Risk: The risk of a change in the value of a position as a result of underlying market factors, including among other things,
the overall performance of companies and the market perception of the global economy.
Credit Risk: The risk that bond issuers may fail to meet their interest repayments, or repay debt, resulting in temporary or
permanent losses to the Strategy.
Liquidity Risk: The risk that the Strategy may be unable to sell an investment readily at its fair market value. In extreme market
conditions this can affect the Strategy’s ability to meet redemption requests upon demand.
Interest Rate Risk: The risk of interest rate movements affecting the value of fixed-rate bonds.
Derivatives Risk: The Strategy is permitted to use certain types of financial derivative instruments (including certain complex
instruments). This may increase the Strategy’s leverage significantly which may cause large variations in the value of your share.
(Investors should note that the Strategy may achieve its investment objective by investing principally in Financial Derivative
Instruments (FDI). There are certain investment risks that apply in relation to the use of FDI.)
Counterparty Risk: The risk that a counterparty will not fulfil its payment obligation for a trade, contract or other transaction, on the
due date.
Operational Risk: The risk of direct or indirect loss resulting from inadequate or failed processes, people and systems including
those relating to the safekeeping of assets or from external events.
Currency Risk: Investors who subscribe in a currency other than the base currency of the Strategy are exposed to currency risk.
Fluctuations in exchange rates may affect the return on investment. The past performance shown is based on the share class to
which this presentation relates. If the currency of this share class is different from your local currency, then you should be aware
that due to exchange rate fluctuations the performance shown may increase or decrease if converted into your local currency.
18
APPENDIX
For Professional Client Use Only
Global Opportunistic Bond Fund: Characteristics
As of September 30, 2018
Global
Opportunistic
Bond Fund
Bloomberg Barclays
Global Aggregate
Index
Yield to Worst (%) 4.96 3.54
Weighted Average Duration (years) 5.07 7.05
Weighted Average Quality (S&P) A- AA-
Weighted Average Coupon 3.95 2.72
Source: Blackrock Aladdin. Past performance is not indicative of future results. Portfolio characteristics are as of the date indicated and subject to change without notice.
1. Credit-quality ratings are obtained from Barclays using ratings derived from Moody’s, S&P, and Fitch. When calculating the credit quality breakdown, if a security is rated by each of these three rating agencies, then the middle
rating will be used. If only two rating agencies rate a security, then the lower of the two ratings will be used. If only one rating agency rates a security, then that one rating will be used. Where none of the agencies rate a security,
the security will be considered unrated. Portfolio holdings, underlying ratings of holdings and credit quality composition may change materially over time.
Components are rounded to 2 decimal places and may incorporate immaterial rounding differences as a result.
Characteristics Sector Duration Contribution
Credit Quality1
Cash1.96%
AAA23.22%
AA2.85%
A13.65%
BBB20.91%
BB and below
37.39%
Duration Contribution (years)
Portfolio Benchmark Active
High Yield 1.13 - 1.13
US Credit 0.75 1.09 -0.35
Non-US Credit 0.55 0.89 -0.33
Non Agency MBS/CMOs 0.00 0.01 -0.01
CRTs 0.00 0.00 0.00
MBS 0.54 0.74 -0.20
CMBS - 0.04 -0.04
US Rates -1.05 0.94 -1.99
Non US-Rates 1.48 3.31 -1.83
US TIPS 0.70 0.70
Non US-TIPS 0.46 0.46
US Agencies 0.04 0.02 0.02
CLOs 0.00 0.00
Emerging Market Debt 0.45 0.00 0.45
Net Unsettled Positions 0.00 0.00
Cash / Equivalents 0.00 0.00 0.00
Total 5.07 7.05 -1.98
20
For Professional Client Use Only
Global Opportunistic Bond Fund: Currency Positioning
Source: Neuberger Berman.
As of September 30, 2018
Duration Contribution by Currency (years) Active Currency Positions
4.1%
3.8%
3.1%
3.0%
1.0%
1.0%
1.0%
1.0%
0.3%
0.2%
-0.2%
-4.6%
-5.3%
-8.5%
-10.0% -6.0% -2.0% 2.0% 6.0%
JPY
GBP
SEK
NOK
RUB
BRL
ZAR
MXN
AUD
CAD
USD
CHF
NZD
EUR
FX Positions vs. Benchmark
-0.5 0.0 0.5 1.0 1.5 2.0 2.5 3.0
JPY
USD
EUR
GBP
AUD
CAD
NZD
NOK
KRW
CHF
SEK
Others
Bloomberg Barclays Global Aggregate Index Global Opportunistic
21
For Professional Client Use Only
Global Opportunistic: Asset Allocation Historical Perspective
Source: Neuberger Berman. Sector information is as of the dates indicated and subject to change without notice. The Benchmark is the Bloomberg Barclays Global Aggregate USD-Hedged Index.Representative portfolio information (characteristics, holdings, weightings, etc.) is subject to change without notice. Investing entails risks, including possible loss of principal. Please see additional disclosures at the end of this material, which are a required part of this presentation.
As of September 30, 2018
-35%
-15%
5%
25%
45%
65%
85%
105%
125%
145%
May-13 Nov-13 May-14 Nov-14 May-15 Nov-15 May-16 Nov-16 May-17 Nov-17 May-18
Active Currency
Bank Loans
Emerging Market Debt
High Yield
US Agencies
US CMBS
Non-Agency MBS/CMOs
MBS
Non-US IG Credit
US IG Credit
Non US-TIPS
US TIPS
Non US-Rates
US Rates
Cash / Net Unsettled
Historical
Allocation (%)
Current Allocation
(%)
Lowest Highest Portfolio Benchmark
0.0 29.6 17.94 --
0.0 23.6 0.00 --
3.5 14.1 12.94 --
10.0 22.8 11.40 --
0.0 1.1 1.08 0.61
0.7 6.5 0.72 0.78
4.0 17.4 14.89 0.24
11.1 29.3 13.73 14.14
4.1 10.7 9.49 14.28
7.4 11.0 8.98 16.28
1.6 7.5 6.98 --
3.3 10.3 8.36 --
7.5 22.9 9.65 38.12
0.0 7.6 5.97 15.53
-23.6 2.6 -4.18 --
Global Opportunistic Asset Allocation
22
For Professional Client Use Only
Global Opportunistic: Return Capture
Since inception Upside Capture: 120%, Downside Capture: 71% (vs Bloomberg Barclays Global
Aggregate USD Hedged Index)
Data as of September 30, 2018. Inception Date of Global Opportunistic Composite is October 1, 2012.Source: Neuberger Berman, Bloomberg Barclays Global Aggregate USD Hedged Index, Bloomberg Barclays Global Treasury USD Hedged Index, Bloomberg Barclays Global Aggregate Corporate USD Hedged Index, Bloomberg Barclays Global Securitized USD Hedged Index, ICE BofAML U.S. High Yield Index (H0A0) S&P/LSTA Leveraged Loan Index, J.P. Morgan EMBI Global Diversified Index.Past performance is no guarantee of future results . Please see attached additional GIPS notes and disclosures, which are required as part of this presentation.
Returns (gross of fees) and Volatility since strategy inception
Global Opportunistic
Global Aggregate Global Govt.
Global IG Corp.
Global Securitized
Bank Loans
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
0.0% 1.0% 2.0% 3.0% 4.0% 5.0%
To
tal R
etu
rn, p
.a.
Volatility, p.a.
23
For Professional Client Use Only
Neuberger Berman Global Opportunistic Bond Fund Performance
ANNUALIZED RATES OF RETURN1
As of September 30, 2018
Preliminary figures are presented.1. Periods less than one year are not annualized.Past performance is not necessarily indicative of future results. As with any investment, there is the possibility of profit as well as the risk of loss.
Fund Performance is representative of the USD Institutional Accumulating Share Class and is Net of Fees. Risk Measures are calculated on a month end basis.
Period1
NB Global Opportunistic Bond FundUSD I Accumulating
(Net of Fees)(%)
Blooomberg BarclaysGlobal AggregateUSD Hedge Index
(%)Value Added
(%)
YTD 2018 -0.38 0.02 -0.40
1 Year 0.96 0.82 +0.14
Since Inception
(12/20/2016 – 09/30/2018)3.11 2.05 +1.06
24
For Professional Client Use Only
Global Opportunistic Fixed Income Composite (Inception 10/1/2012)
Investment Performance Results – As of June 30, 2018
Past performance is no guarantee of future results.Please see attached important disclosures which contain complete performance information and definitions.
Composite Benchmark Composite 3 Year Standard Deviation
Total Return
(%, Gross
of Fees)
Total Return
(%, Net
of Fees)
Bloomberg
Barclays Global
Aggregate
Hedged Index (%)
No. of
Accounts
Market Value
($, m)
Total Firm
Assets
($, bn)
% of Firm
Assets
Internal
Dispersion
Composite
(%)
Bloomberg
Barclays Global
Aggregate Hedged
Index
(%)
YTD Jun-
2018-0.62 -0.81 0.07 ≤ 5 174.8 -- -- -- 3.01 2.31
2017 6.74 6.24 3.04 ≤ 5 154.6 295.2 0.05 -- 3.06 2.63
2016 7.42 6.88 3.95 ≤ 5 69.3 255.2 0.03 -- 3.23 2.73
2015 0.32 -0.19 1.02 ≤ 5 77.3 240.4 0.03 -- 3.53 2.66
2014 8.99 8.45 7.59 ≤ 5 88.0 250.0 0.04 -- -- --
2013 1.01 0.51 -0.14 ≤ 5 80.0 241.7 0.03 -- -- --
3 Months
20122.09 1.96 0.89 ≤ 5 86.1 205.0 0.04 -- -- --
25
For Professional Client Use Only
Global Opportunistic Fixed Income Composite
Investment Performance Disclosure Statement
Compliance Statement• Neuberger Berman Group LLC ("NB", "Neuberger Berman" or the "Firm") claims compliance with the Global Investment Performance Standards (GIPS®) and has prepared and presented this report in compliance with the GIPS® standards. Neuberger
Berman was independently verified for the period January 1, 2011 to December 31, 2016. The GIPS® firm definition was redefined effective January 1, 2011. For prior periods there were two separate firms for GIPS® firm definition purposes and such firmswere independently verified for the periods January 1, 1997 to December 31, 2010 and January 1, 1996 to December 31, 2010, respectively. Verification assesses whether (1) the firm has complied with all the composite construction requirements of theGIPS® standards on a firm-wide basis and (2) the firm's policies and procedures are designed to calculate and present performance in compliance with the GIPS® standards. Verification does not ensure the accuracy of any specific composite presentation.The verification reports are available upon request.
Definition of the Firm• The firm is currently defined for GIPS® purposes as Neuberger Berman Group LLC, ("NB", "Neuberger Berman" or the "Firm"), and includes the following subsidiaries: Neuberger Berman Investment Advisers LLC, Neuberger Berman Europe Ltd., Neuberger
Berman Asia Ltd., Neuberger Berman East Asia Ltd., Neuberger Berman Singapore Pte. Ltd., Neuberger Berman Taiwan Ltd, Neuberger Berman Australia Pty. Ltd., Neuberger Berman Trust Company N.A., Neuberger Berman Trust Company of DelawareN.A. and NB Alternatives Advisers LLC.
Policies• Policies for valuing portfolios, calculating performance, and preparing compliant presentations are available upon request.Composite Description• The Global Opportunistic Fixed Income Composite (the "Composite") includes the performance of all fee-paying Global Opportunistic Fixed Income portfolios, with no minimum investment, managed on a fully discretionary basis by the Investment Grade Fixed
Income team. The Global Opportunistic Fixed Income strategy is designed for investors who seek returns from a portfolio that has broad discretion to invest in global investment grade and global extended sectors such as high yield, bank loans, non-dollar and emerging market bonds. The emphasis is on global duration/yield curve positioning, country selection, currency management, and global credit allocation including sector rotation & bond selection. The Composite creation and performance inception date is October 2012. A complete list of Neuberger Berman's composites is available upon request.
Primary Benchmark Description• The benchmark is the Bloomberg Barclays Global Aggregate Hedged Index (the "Index"). The index is designed to measure the hedged Global investment grade fixed rate bond market performance, with index components for the U.S. Aggregate, the Pan-
European Aggregate, and the Asian-Pacific Aggregate indices.Reporting Currency• Valuations are computed and performance is reported in U.S. Dollars.Fees• Composite Gross of Fee returns are the return on investments reduced by any trading expenses incurred during the period. Composite Net of Fee returns are the Gross of Fee returns reduced by investment advisory fees.Fee Schedule• The annual investment advisory fee, generally payable quarterly, is as follows: 0.40% on the first $50mn; 0.35% on the next $100mn; 0.30% on the next $100mn; 0.25% thereafter. Internal Dispersion• Internal dispersion is calculated using the asset-weighted standard deviation of annual gross returns of those portfolios that were in the Composite for the entire year. Internal dispersion is not calculated if the Composite does not contain at least 6 portfolios
for the entire year.Annualized Standard Deviation• The three-year annualized standard deviation measures the variability of the Composite and the benchmark returns over the preceding 36-month period. The standard deviation is not required for periods prior to 2011.
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For Professional Client Use Only
Disclaimer
This document is addressed to professional clients only.
This document is a financial promotion and is issued by Neuberger Berman Europe Limited, which is authorised and regulated by the Financial Conduct Authority and is
registered in England and Wales, at Lansdowne House, 57 Berkeley Square, London, W1J 6ER and is also a Registered Investment Adviser with the Securities and
Exchange Commission in the U.S. and regulated by the Dubai Financial Services Authority.
This document is presented solely for information purposes and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell
or hold a security. We do not represent that this information, including any third party information, is accurate or complete and it should not be relied upon as such. No
recommendation or advice is being given as to whether any investment or strategy is suitable for a particular investor. Each recipient of this document should make such
investigations as it deems necessary to arrive at an independent evaluation of any investment, and should consult its own legal counsel and financial, actuarial,
accounting, regulatory and tax advisers to evaluate any such investment.
It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. Any views or opinions
expressed may not reflect those of the firm as a whole. All information is current as of the date of this material and is subject to change without notice. The product
described in this document may only be offered for sale or sold in jurisdictions in which or to persons to which such an offer or sale is permitted. The product can only be
promoted if such promotion is made in compliance with the applicable jurisdictional rules and regulations.
Indices are unmanaged and not available for direct investment.
An investment in this product involves risks, with the potential for above average risk, and is only suitable for people who are in a position to take such risks.
Past performance is not a reliable indicator of current or future results. The value of investments may go down as well as up and investors may not get back any of the
amount invested. The performance data does not take account of the commissions and costs incurred on the issue and redemption of units. The value of investments
designated in another currency may rise and fall due to exchange rate fluctuations in respect of the relevant currencies. Adverse movements in currency exchange rates
can result in a decrease in return and a loss of capital.
Tax treatment depends on the individual circumstances of each investor and may be subject to change, investors are therefore recommended to seek independent tax
advice. Investment in this strategy should not constitute a substantial proportion of an investor’s portfolio and may not be appropriate for all investors. Diversification and
asset class allocation do not guarantee profit or protect against loss.
No part of this document may be reproduced in any manner without prior written permission of Neuberger Berman Europe Limited.
The “Neuberger Berman” name and logo are registered service marks of Neuberger Berman Group LLC.
© 2018 Neuberger Berman Group LLC. All rights reserved. Ref: 219595
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