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email-201910-EHY-5yr

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5 YEARS ANNIVERSARY

5 YEAR ANNIVERSARY

Neuberger Berman European High Yield Bond Fund

A Source of Attractive, Stable Yield

At the end of August 2019, Eurozone short-term rates are still very low or negative, with German Bund yields in negative territory and Italian bonds yielding circa 1.00%. In this scenario, yield-hungry investors need to find alternative sources of income. We believe there is a case for investors to look at the potential value in European High Yield Bonds as they present an attractive source of yield in the current market.

The Neuberger Berman European High Yield Bond Fund seeks stable income and has a quality bias in a conservative and actively managed portfolio.

The fund is well positioned for:

  • Continued fiscal stimulus and quantitative easing in the Eurozone
  • Lack of compensation for default risk in lower quality issuers
  • Underweight trade policy risks and cyclical industries due to valuations

Solid Top Quartile Performance Across All Time Periods

Ann. (%) 3M 6M YTD 1Y 3Y (Cum.) 5Y (Cum.)
Fund (net) 1.64 4.48% 9.48 6.00 13.71 24.47
Benchmark¹ 0.92 3.16% 8.43 4.38 13.22 24.84
Quartile Ranking² 1 1 1 1 1 1

Source: Neuberger Berman as at 30/09/2019. Performance data in the base currency of the fund for share class I accumulation in EUR. Past performance is not a reliable indicator of current or future results. Where a benchmark is shown, the benchmark shown is provided in the base currency of the fund.

INSTITUTIONAL SHARE CLASSES

EUR I Acc IE00BNH72V92

USD I Acc Hedged IE00BNH73L69