Abu Dhabi issue boosts return for Stratton Street fund


Stratton Street Capital’s WONDA Bond and Currency Fund has delivered a 9.5% return in the first eight months of the year, with the bulk of it coming from fixed income. In August, the fund was down 1.4%.

One of its holdings and long-term favourite is an Aa3/AA rated bond issued by International Petroleum Investment Corp, a state owned firm controlled by the Abu Dhabi Sovereign Wealth Fund for Energy, which year-to-date has provided a return of over 30%.

Andrew Seaman, partner and fund manager at UK-based Stratton Street, says the IPIC note is still ‘very undervalued’ based on