Risk Considerations

  1. The Fund is actively managed and invests mainly in a diversified portfolio of high yield corporate debt securities that are denominated in European currencies.
  2. Investment in the Fund involves risks, including general investment risk, geographic concentration risk and Eurozone risk, currency risk and risk associated with changes resulting from the United Kingdom’s exit from the EU which may result in loss of a part or the entire amount of your investment.
  3. The investment in debt securities is also subject to credit/counterparty risk, interest rate risk, downgrading risk, credit rating risk, risk associated with high yield debt securities which are generally rated below investment grade or unrated, risk associated  with investments in debt instruments with loss-absorption features and valuation risk.
  4. The Fund may use derivatives for hedging, efficient portfolio management and investment purposes or to create synthetic short positions in debt securities and credit indices, and is subject to derivatives risk. The Fund may also implement active currency position and is subject to relevant risks. Exposure to derivatives may also lead to a risk of significant loss to the Fund.
  5. For Class Ax, dividend are paid on a discretionary basis. Dividend may be paid directly out of capital and/or effectively out of the share class by distributing all gross income prior to the deduction of any fees and expenses attributable to the share class. Payment of dividends directly out of capital and/or effectively out of capital amounts to a return or withdrawal of part of an investor’s original investment or from any capital gains attributable to that original investment. Any such distribution may result in an immediate reduction of net asset value per share. This could also erode capital and constrain future growth.
  6. The value of the Fund can be volatile and could go down substantially.
  7. Investors should not invest in the Fund solely based on this website.
SICAV
European High Yield Bond Fund
Research-driven, targeting high income.
ISIN LU0596127604
FACTSHEET
KFS
Average
Coupon ?
4.68%
Data as of: 30-Sep-2021
Avg Credit
Quality ?
B
Data as of: 30-Sep-2021
Average
Duration ?
3.10 yrs
Data as of: 30-Sep-2021
NAV
(EUR)
€18.81
Data as of: 22-Oct-2021
NAV Chg
(Daily)
-0.05%
Data as of: 22-Oct-2021
Fund Size
(EUR)
€246.5m
Data as of: 30-Sep-2021
YTD
Return
2.87%
Data as of: 30-Sep-2021
1 YR Return
(Annualised)
8.32%
Data as of: 30-Sep-2021
Since
Inception
6.61%
Data as of: 30-Sep-2021
Michael Della Vedova,
Portfolio Manager
Michael Della Vedova is a global high yield portfolio manager in the Fixed Income Division. He is a portfolio manager for the Europe High Yield Bond Strategy and co-portfolio manager for the Global High Yield Bond Fund and Global High Income Bond Strategy.

Overview
Strategy
Fund Summary
Seeks to maximise total return through investment in a diversified portfolio of high yield bonds primarily denominated in European currencies.
Interest Rate Sensitivity
LIMITED
MODERATE
EXTENSIVE

101
Holdings

Average
Quality
B
Risk & Reward Data
Information Ratio
-0.76
Sharpe Ratio
0.27
Historical Tracking Error
1.88%
Performance - Net of Fees
Current Year Performance
1 Month
-0.16%
Indicative Benchmark
-0.10%
Excess Return

-0.06%
3 Months
0.58%
Indicative Benchmark
0.64%
Excess Return

-0.06%
6 Months
1.82%
Indicative Benchmark
2.09%
Excess Return

-0.27%
YTD
2.87%
Indicative Benchmark
3.62%
Excess Return

-0.75%
Annualised Performance
1 YR
8.32%
Indicative Benchmark
9.35%
Excess Return

-1.03%
3 YR
3.92%
Indicative Benchmark
4.44%
Excess Return

-0.52%
5 YR
2.90%
Indicative Benchmark
4.33%
Excess Return

-1.43%
Inception
6.61%
Indicative Benchmark
6.99%
Excess Return

-0.38%
Data as of 30-Sep-2021
Indicative Benchmark : ICE BofAML European Currency High Yield Constrained Excluding Subordinated Financials Index Hedged to EUR
Share Class Inception Date: 20-Sep-2011
Holdings
Total
Holdings
101
Top 10
21.53%
Largest
Titan Holdings II BV
2.35%
Was ( 30-Jun-2021 )
0.00%
Data as of 30-Sep-2021
Duration ?
Maturity ?
Quality ?
Average
3.10 yrs
Average
5.65 yrs
Average
B
Top
3-5 Years
43.05%
Was ( 31-Aug-2021 )
41.96%
Top
5-7 Years
37.93%
Was ( 31-Aug-2021 )
39.08%
Top
B Rated
54.50%
Was ( 31-Aug-2021 )
54.48%
Overweight
3-5 Years
By 8.12%
Fund
43.05%
Indicative Benchmark
34.93%
Overweight
5-7 Years
By 15.22%
Fund
37.93%
Indicative Benchmark
22.71%
Overweight
B Rated
By 28.70%
Fund
54.50%
Indicative Benchmark
25.80%
Underweight
1-3 Years
By -12.45%
Fund
21.15%
Indicative Benchmark
33.60%
Underweight
1-3 Years
By -20.45%
Fund
1.86%
Indicative Benchmark
22.32%
Underweight
BB Rated
By -52.18%
Fund
16.56%
Indicative Benchmark
68.74%
Industry
Total
Industries
24
Largest
Services
15.19%
Was ( 31-Aug-2021 )
14.12%
Overweight
Cable Operators
By 11.16%
Fund
12.80%
Indicative Benchmark
1.64%
Underweight
Other Telecommunications
By -8.43%
Fund
0.86%
Indicative Benchmark
9.29%
Data as of 30-Sep-2021
Data as of 30-Sep-2021
Indicative Benchmark: ICE BofAML European Currency High Yield Constrained Excluding Subordinated Financials Index Hedged to EUR
Regions
Data as of
Countries
Total
Countries
20
Largest
United States
24.19%
Was ( 31-Aug-2021 )
23.90%
Overweight
United States
By 11.36%
Fund
24.19%
Indicative Benchmark
12.83%
Underweight
Italy
By -7.93%
Fund
4.24%
Indicative Benchmark
12.17%
Data as of 30-Sep-2021
Data as of 30-Sep-2021
Indicative Benchmark: ICE BofAML European Currency High Yield Constrained Excluding Subordinated Financials Index Hedged to EUR
Currency
Total
Currencies
5
Largest
euro
100.00%
Was ( 31-Aug-2021 )
99.89%

Overweight
euro
By 11.00%
Fund
100.00%
Indicative Benchmark
89.00%
Underweight
British pound sterling
By -11.04%
Fund
-0.04%
Indicative Benchmark
11.00%

It is the intention of the fund to fully hedge back to euro, although direct exposure may total less than 100%. It is important to note that there can be no assurances that the currency hedging employed will fully eliminate the shareholder's exposure to exchange rate fluctuations. 

Data as of 30-Sep-2021
Indicative Benchmark: ICE BofAML European Currency High Yield Constrained Excluding Subordinated Financials Index Hedged to EUR

Team
Michael Della Vedova,
Portfolio Manager
Michael Della Vedova is a global high yield portfolio manager in the Fixed Income Division. He is a portfolio manager for the Europe High Yield Bond Strategy and co-portfolio manager for the Global High Yield Bond Fund and Global High Income Bond Strategy.
Portfolio Manager since
2011
Years at
T. Rowe Price
11
Years investment experience
27
Stephen Marsh,
Fixed Income Portfolio Specialist
Stephen Marsh is a portfolio specialist in the Fixed Income Division, based in London.
Years at T. Rowe Price
5
Years investment experience
18
Please select Class Ax from the dropdown above to view dividend information.
How to Invest
Fees Minimum Initial Investment and Holding Amount (EUR) Minimum Subsequent Investment (EUR) Sales Charge (up to) Investment Management Fee (up to)

Indicative Benchmark Data Source: ICE BofA Merrill Lynch

Unless otherwise specified, all fund ratings, awards and data are as of 30-Sep-2021 and sourced from T. Rowe Price. 

Sources for Credit Quality Diversification: Moody’s Investors Service and Standard & Poor’s (S&P); split ratings (e.g. BB/B and B/CCC) are assigned when the Moody’s and S&P ratings differ. Short-Term holdings are not rated.

Average Credit Quality is calculated by averaging the Moody’s weighted average quality and the S&P weighted average quality (50/50 split), regardless of the % of the portfolio actually rated by each of these ratings agencies.

Performance returns for share classes less than 1 year old (and associated benchmarks) are cumulative rather than annualised.  

The calendar year performance of a share class in its year of inception is calculated from its inception date to the last day of that year, which is not a full year return.

SICAV refers to the T. Rowe Price Funds SICAV, a Luxembourg investment company with variable capital which is registered with Commission de Surveillance du Secteur Financier and which qualifies as an undertaking for collective investment in transferable securities (“UCITS”).

Source for performance: T. Rowe Price. Fund performance is calculated using the official NAV with dividends reinvested in the share class currency, if any. The value of an investment and any income from it can go down as well as up. Investors may get back less than the amount invested. It will be affected by changes in the exchange rate between the base currency of the fund and the subscription currency, if different. Sales charges (up to a maximum of 5% for the A Class), taxes and other locally applied costs have not been deducted and if applicable, they will reduce the performance figures. Indicative benchmark returns are shown with gross income reinvested.   

Please refer to the factsheet for the Minimum Performance Information and other details.

Investment involves risks. Past performance is not a reliable indicator of future performance. The investment returns for some funds are denominated in foreign currency other than US/HK dollar. US/HK dollar-based investors are therefore exposed to fluctuations in the US/HK dollar against other foreign currency's exchange rate. Investors should refer to the prospectus for full details of the objectives, investment policies and risks.

Issued in Hong Kong by T. Rowe Price Hong Kong Limited, 6/F, Chater House, 8 Connaught Road Central, Hong Kong. T. Rowe Price Hong Kong Limited is licensed and regulated by the Securities & Futures Commission (“SFC”). This has not been reviewed by the SFC.

All Risk & Reward Data shown is specific to the particular share class shown, and is not necessarily representative of the fund as a whole. The data is calculated based upon the return and standard deviation of the selected share class over 3 years (if the share class has a track record of between 3 and 5 years) or 5 years, once the share class has sufficient performance history. Risk & Reward Data is not available for share classes with under 3 years’ performance history. 

The specific securities identified and described in this website do not represent all of the securities purchased, sold, or recommended for the sub-fund and no assumptions should be made that the securities identified and discussed were or will be profitable.

Certain numbers in this website may not equal the stated totals due to rounding.

The Morningstar rating is sourced from Morningstar.

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Citywire - where the Fund manager is rated by Citywire the rating is based on the manager's 3 year risk adjusted performance.