HCAP Diversified looks good over 12 months


Although the HCAP Diversified Fund ended June marginally down (0.60% for the US dollar class; 0.17% for the Australian dollar class), the fund clocked up decent returns over three, six and 12 months, at 0.97%, 2.31% and 12.65%, respectively, against a backdrop of volatile market conditions.

The fund, which invests in US dollar-denominated Asian high-yield Eurobonds and other interest rate investments, has kept a long bias and an active investment profile, explains HCAP Asset Management’s Steve Howell.

The fund benefits from a compelling opportunity set, given that credit spreads for Asian bond investors are historically wide, a situation