Climate Transition Multi-Asset Credit Fund
A relative value fund investing across fixed income/debt securities and money market instruments issued by corporations and governments and their agencies worldwide. Focused on credit, the fund has flexibility to invest across sectors, rating cohorts and geographies in order to generate attractive risk-adjusted returns over a market cycle (typically 3-5 years).
- Aiming to align 100% of the portfolio’s corporates and quasi-sovereign exposure with ‘Achieving Net Zero’ status by 2050 with interim 2030 goals, as informed by the proprietary Net-Zero Alignment Indicator.
- Designed to have a net portfolio carbon footprint which declines by 30% by 2030 on the way to zero by 2050, with regular client reporting on indicators and progress.1
- Avoiding companies lacking alignment with the transition to a low carbon economy, while tilting toward those contributing to climate solutions.
- Internal research assesses all holdings for progress based on net-zero alignment status, NB ESG Quotient rating and climate value-at-risk scenario analysis.
- Company- and sector- specific engagement on climate change, with a focus on materiality, tracking objectives and achieving real-world outcomes.
1 The path to decarbonization is aligned with Paris goals and executed in line with the Institutional Investors Group on Climate Change (IIGCC) Net Zero Investment Framework.
This is a marketing communication in respect of the Neuberger Berman Climate Transition Multi-Asset Credit Fund. Please refer to the prospectus of the fund before making any final investment decisions. Investors should note that by making an investment they will own shares in the fund, and not the underlying assets.
The fund complies with the Sustainable Finance Disclosure Regulation (the “SFDR”) and is classified as an Article 8 SFDR fund. Neuberger Berman believes that Environmental, Social and Governance (“ESG”) factors, like any other factor, should be incorporated in a manner appropriate for the specific asset class, investment objective and style of each investment strategy. For information on sustainability-related aspects pursuant to Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability‐related disclosures in the financial services sector please visit www.nb.com/europe/literature. When making the decision to invest in the fund, investors should take into account all the characteristics or objectives of the fund as described in the legal documents.
Key Risks
Counterparty Risk: The risk that a counterparty will not fulfil its payment obligation for a trade, contract or other transaction on the due date.
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 Fund.
Currency Risk: Investors who subscribe in a currency other than the base currency of the Fund 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 material relates. If the currency of your investment 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.
Derivatives Risk: The Fund is permitted to use certain types of financial derivative instruments (including certain complex instruments). This may increase the Fund’s leverage significantly which may cause large variations in the value of your share. (Investors should note that the Portfolio may achieve its investment objective by investing principally in Financial Derivative Instruments (FDI). Certain investment risks that apply in relation to the use of FDI.)
Emerging Markets Risk: Emerging markets are likely to bear higher risk due to a possible lack of adequate financial, legal, social, political and economic structures, protection and stability as well as uncertain tax positions which may lead to lower liquidity. (The NAV of the Fund may experience medium to high volatility due to lower liquidity and the availability of reliable information, as well as due to the Portfolio's investment policies or portfolio management techniques.)
Interest Rate Risk: The risk of interest rate movements affecting the value of fixed-rate bonds.
Liquidity Risk: The risk that the Fund may be unable to sell an investment readily at its fair market value. In extreme market conditions this can affect the Portfolio’s ability to meet redemption requests upon demand.
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.
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.
For full information on the risks please refer to the fund prospectus.
Annualized Total Returns
- Daily (as of )
- Monthly (as of )
- Quarterly (as of )
Performance data quoted represent past performance, which is no guarantee of future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original costs. Results are shown on a 'total return' basis and include reinvestment of all dividends and capital gain distributions. Current performance may be lower or higher than the performance data quoted.
$10,000 Hypothetical Investment
This chart shows the value of a hypothetical $10,000 investment in the Fund since inception. All results include the reinvestment of income dividends and distributions. Returns do not reflect the effect of taxes an investor would pay on Fund distributions or on the redemption of Fund shares. Results represent past performance and do not indicate future results. Performance figures would be reduced if sales charges were applied.
Calendar Year Returns
Performance figures would be reduced if sales charges were applied.
- 3-Year Risk Return Profile
- 3-Year Upside / Downside Capture
3-Year Risk Return Profile
Up Capture Ratio is a measure of the manager’s performance in up markets relative to the market itself. A value of 110 suggests the manager performs ten percent better than the market when the market is up. The Upside Capture Ratio is calculated by dividing the return of the manager during the up market periods by the return of the market during the same periods.
Down Capture Ratio is a measure of the manager’s performance in down markets relative to the market itself. A value of 90 suggests the manager’s loss is only nine tenths of the market’s loss. The Downside Capture Ratio is calculated by dividing the return of the manager during the down periods by the return of the market during the same periods.
3-Year Upside / Downside Capture
As of
Up Capture Ratio is a measure of the manager’s performance in up markets relative to the market itself. A value of 110 suggests the manager performs ten percent better than the market when the market is up. The Upside Capture Ratio is calculated by dividing the return of the manager during the up market periods by the return of the market during the same periods.
Down Capture Ratio is a measure of the manager’s performance in down markets relative to the market itself. A value of 90 suggests the manager’s loss is only nine tenths of the market’s loss. The Downside Capture Ratio is calculated by dividing the return of the manager during the down periods by the return of the market during the same periods.
Product Characteristics
Morningstar Rating
Documents
Explore our available company and legal documentation
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Management Team
David M. Brown, CFA
Joseph P. Lynch
Christopher Miller
Ashok Bhatia, CFA
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