ignis asset management

Ignis Absolute Return Credit Fund

Chris Bowie, Head of Credit Portfolio Management

Citywire Montreux

May 2012

Ignis credentials

New fund launch - overview

Process

Trade strategies

Performance

Appendix

Agenda

May 12

2


Ignis capabilities**

Ignis

3

May 12

Ignis credentials

Fixed Income €65.3bn

Equities €12.4bn

Real Estate €3.9bn

Advisors (FoF/Alts)

€2.3bn

Solutions (LDI/ALM)

€2.2bn

Partners (JVs)

€2.6bn

Key facts

Founded in 1899

Part of the Phoenix Group

AuM: €97.6bn*

140 investment professionals

*Source: Ignis at 31/12/11. Includes assets under management of €88.7bn (including €12.9bn of stock-lending collateral) and assets overseen, advised and administered by Ignis of €8.9bn. **AuM by business unit/investment capability (31/12/2011)

Pragmatic: outcome-focused and innovative

Talent driven: creative and passionate people who

look at the world differently

Building on our heritage: evolving to address client

needs in a changing world

Aligned with clients: we are co-investors

Experienced team

Creative and innovative approach

Proprietary technology

Led by Ignis CIO Chris Fellingham

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4

Ignis credentials

Ignis Fixed Income Flexibility applied to fixed income challenges

*Source: Ignis at 31/12/2011

41%

28%

6%

24%

1%

Direct funds under management - €65.3bn*

Rates Liquidity

ABS/stock lending Credit

Other cash

Ignis Credit: investment in talent

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5

Ignis credentials

Role Years’ experience Years at Ignis Background

Chris Fellingham

Managing Director & CIO

26 2 Hedge and buy side experience: Soros Asset Management; Merrill Lynch

Chris Bowie Head of Credit Portfolio Management

19 7 Buy side experience, plus IT background: AEGON; Murray Johnstone; National Australia Bank

David Meade Head of Credit Research

27 3 Investment grade and high yield analysis; rating agency buy and sell side; Fidelity; Morgan Stanley International; Standard & Poor’s

Adam Walker Credit Portfolio Manager

14 11 Sell side experience: Barclays Stockbrokers

Michael Ewing Head of Money Market Research

24 3 Investment grade, emerging market and bank analysis: Epic Asset Management; Visa International, UBS; Nomura

Source: Ignis at 30/03/2012

€16.0bn AUM* creates top tier access to new issues and market flows

Experienced team with a range of backgrounds

Proven, long-term credit record

Chris Bowie AAA rated by Citywire#

Ignis Credit: strong credentials

0

10

20

30

40

50

60

70

Mar 09 Jun 09 Sep 09 Dec 09 Mar 10 Jun 10 Sep 10 Dec 10 Mar 11 Jun 11 Sep 11 Dec 11 Mar 12

3 year performance of Ignis Corporate Bond Fund**

Ignis Corporate Bond

IMA £ Corporate Bond

*Source: Ignis at 31/12/11. **Lipper bid to bid, net income reinvested to from 31/03/2009 to 30/03/2012. Past performance is not a guide to the future. The value of units and any income from them can fall as well as rise and is not guaranteed. #Rating at 31/03/2012. The Fund is an authorised unit trust scheme under section 243 of the Financial Services & Markets Act 2000 and is categorised under the Collective Investment Scheme source book as a UCITS fund. It is a long-only corporate bond fund and is not registered for distribution outside of the UK.

May 12

Ignis credentials

6

64.6%

39.6%


7

This fund is still subject to full regulatory approval and therefore all information is subject to change

Pure alpha Market neutrality Positive performance

in all market conditions

Zero duration risk

Absolute Return Credit

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8


Designed to deliver:

Best research ideas Global opportunities Investment grade to

high yield credit Liquid CDS as part of

pair trading strategy (10-30 pairs)

Investing in:

Cash +5%* Low volatility Low correlation with

traditional asset classes

High information ratio

Targeting:

*Target gross of fees; the cash rate is based on the overnight rate. This is the rate that large banks use to borrow from, and lend to, one another on the overnight market. In Europe this is EONIA (the European Over Night Index Average) . Fund details subject to regulatory approval.

Credit markets are not perfectly efficient and pricing inefficiencies exist that can be exploited to the clients’ advantage

‘Only invest in what you know’: significant value can be added by a focused, bottom-up approach; broad market ownership unnecessary

Focused, experienced teams are best placed to maximise investment opportunities

The best way to run a market neutral credit fund is to employ a pair trading strategy

We believe…

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Process

10

Investment process: simplicity and pragmatism

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Process

11

Positions sized to historic volatility and stop loss set

Most profitable opportunities selected and appropriate hedge determined

Idea generation from detailed research

Trade propositions debated and filtered

Generate

Challenge

Decide Implement

Profits taken/stop loss activated/positions closed

Monitor

Focused universe of global crossover credits

Sector specialisms enable analysts to identify the most profitable opportunities

Research agenda set by Head of Credit Research

Ideas sourced from:

- meeting companies

- primary company research

- evolving market prices

Idea generation comes from analysts

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12

Process

Generate

Analysts Years in industry

Sector Background

David Meade

27 Autos, consumer, industrial

Fidelity, Morgan Stanley, S&P

Michael Ewing

24 Money market research

Epic, UBS

Rosalie Pinkney

12 Banks BGI, Fitch

Albane Poulin 6 Secured, energy, utilities

Insight

Nadia El Alaoui

6 TMT, materials WestLB, Lehman

Gordon Shannon

5 Insurance, banks Towers Watson

Superior proprietary technology:

Enables all pricing dislocations to be isolated and analysed

Contains daily spread data back to 2003

Cross-references market and stock news to price moves

Identifying relative value opportunities

May 12

Process

13

Spread of bond versus sector regression Ratings’ spread history

Snapshot of bonds filtered by criteria Credit yield curve

Challenge Generate /

Ideas reviewed and tested by heads of

portfolio management and

credit research

• Most profitable opportunities selected (10-30 pairs at any one time)

• Suitable position size set • Exit strategy determined • Existing holdings reviewed

Analysts put forward investment rationale: • performance

drivers/catalyst • suitable hedge instrument

(to eliminate market risk) • price target/time-horizon • downside case/stop-loss • expected pay-off

Regular meetings and ongoing debate to ensure optimal portfolio positioning

Identify best ideas

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Process

Proposition Decide Challenge

Idea to be refined Portfolio construction stage

Decide Challenge /

Dec 10 Jan 11 Feb 11 Mar 11 Apr 11 May 11 Jun 11 Jul 11 Aug 11 Sep 11 Oct 11 Nov 11 Dec 11 Jan 12 Feb 12 Mar 12

-200

-100

0

100

200

300

400

500

Scenario analysis: trade sizer

Credit 1 (actual spread) Credit 2 (size-adjusted spread) Difference

+1 STD Monthly -1 STD Monthly

Hedge ratio tailored to eliminate market beta

Hedge ratio calculated from CDS spreads of pair (including cost of the hedge)

Historic volatility of the pair calculated based on that ratio

Maximum position sized to 1 month’s standard deviation of historic volatility of the pair

Sizing trades

May 12

Process

15 Source: data based on Ignis’ paper portfolio. All data for illustrative purposes only.

Implement

Hedge ratio calculated from latest prices

bps

Historic volatility

+1 STD

-1 STD

Monthly

Suggested hedge ratio 1:0.651

Suggested trade size (hedge size) 10.6%

P&L on 1 Std. Dev move* 0.4992%

Portfolio construction and risk management

Existing holdings constantly monitored, rationale challenged

Liquidity risk

- CDS quotes from two or more counterparties

- spread “margin of safety” in low liquidity markets

Volatility risk

- 6% annualised volatility limit (2-6% target) currently being run at 2-3%

Hedge ratio contribution monitored and adjusted if volatility between the pair changes from inception

Stop-loss

- soft stop-loss at -25bp of fund

- automatic close-out at -50bp of fund

Leverage

- fund market exposures capped at 3x (currently 2x)

Diversification

- not for its own sake

- diversification of trade types, by industry and sector

Monitor gross sold protection

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Process

16

Monitor

Trade strategies

Isolating α in a bear market

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18

Trade strategies

Source: data based on Ignis’ paper portfolio. All data for illustrative purposes only.

200

250

300

350

400

450

500

550

600

650

May 11 Jun 11 Jul 11 Aug 11

Bp

s

Continental

Peugeot

Domestic French focus

Poor product line Weak balance

sheet

Peugeot

Globally diverse Strong cash flows Improving credit

profile

Continental

Research insight:

Continental better credit than Peugeot

Action taken:

Long Continental CDS vs short Peugeot CDS

Research insight:

Continental better credit than Peugeot

Action taken:

Long Continental CDS vs short Peugeot CDS

Outcome:

Both stocks widen by over 300bps

Gap between them narrows from +70 to +15: making money

Lost €989,721 (long) Gained €1,312,814 (short)

Overall profit €323,093 (32bps)

Isolating α in a bear market

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Trade strategies

200

250

300

350

400

450

500

550

600

650


Bp

s

Continental

Peugeot


0

10

20

30

40

50

60

70

80

90


Bp

s

Difference between the two stockscredits

Hedging market risk


0

100

200

300

400

500

600

Aug 11 Sep 11 Oct 11 Nov 11 Dec 11 Jan 12

Bp

s

BOA

JPM

Strong earnings profile Well regarded within

peer group Already at full

valuation given tightness of spreads

JP Morgan

Perceived to be weaker than peers

Asset quality not priced in by market

Expected spread to narrow substantially

Bank of America

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Trade strategies

20

Research insight:

Bank of America debt

considered cheap whereas JP

Morgan quality debt

overpriced

Significant gap between credits

Action taken:

Long Bank of America vs short

JP Morgan

Hedging market risk


0

100

200

300

400

500

600


Bp

s

BOA

JPMResearch insight:

Bank of America debt

considered cheap whereas JP

Morgan quality debt

overpriced

Significant gap between credits

Action taken:

Long Bank of America vs short

JP Morgan

Outcome:

Spread narrowed by 44bps

Lost €163,974 (short)

Gained €507,249 (long)

Overall profit €373,275 (37bps)

100

150

200

250

300


Bp

s

Difference between the two stockscredits

May 12

Trade strategies

21

Implementing risk controls


100%-owned subsidiary of Enel

Overvalued; anticipated weakness versus its parent

Endesa

Considered to be a

stronger credit than Endesa

Strategically important to Italy

Enel

0

50

100

150

200

250

300

Dec 10 Feb 11 Apr 11 Jun 11 Aug 11 Oct 11 Dec 11 Feb 12

Bp

s

Enel

Endesa

May 12

Trade strategies

22

Research insight:

Enel had been trading at

superior valuation to Endesa

Sovereign concerns regarding

Italy led to Enel trading at similar

valuation to Endesa

Anticipated Enel would revert to

its superior valuation

Action taken:

Implemented long position in

Enel and short position in

Endesa when difference

between credits neared zero

Entry point

Exit point

Implementing risk controls


-40

-20

0

20

40

60

80

100


Bp

s

Difference between the two credits

Research insight:

Enel had been trading at

superior valuation to Endesa

Sovereign concerns regarding

Italy led to Enel trading at similar

valuation to Endesa

Anticipated Enel would revert to

its superior valuation

Action taken:

Implemented long position in

Enel and short position in

Endesa when difference

between credits neared zero

Outcome

Market moved against the trade

and position reviewed when soft

stop loss (-25bps) breached

Position cut at this point (-29bps)

May 12

Trade strategies

23

0

50

100

150

200

250

300


Bp

s

Enel

Endesa

Entry point

Exit point

Performance (Based on paper portfolio)

Steady returns in volatile markets

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Performance

99

100

101

102

103

104

105

106

107

May 11 Jun 11 Jul 11 Aug 11 Sep 11 Oct 11 Nov 11 Dec 11 Jan 12 Feb 12 Mar 12

Performance

Absolute Return Credit (paper portfolio - gross*)

Absolute Return Credit (paper portfolio - net**)

EONIA

0%

1%

2%

3%

4%

5%

6%

7%

May 11 Jun 11 Jul 11 Aug 11 Sep 11 Oct 11 Nov 11 Dec 11 Jan 12 Feb 12 Mar 12

Volatility*

Annualised Rolling 21 Day Vol

Vol Ceiling

*Source: data based on Ignis’ paper portfolio gross of fees (27/05/2011 to 25/04/2012). ** Source: data based on Ignis’ paper portfolio inc cash return and AMC but ex performance fee

and fixed costs (27/05/2011 to 25/04/2012). All data for illustrative purposes only. Fund launch subject to regulatory approval. Past performance is not a guide to future performance.

5.79%

0.67%

%

6.12%

Source: data based on Ignis’ paper portfolio gross of fees (27/05/2011 to 25/04/2012). All data for illustrative purposes only. Fund launch subject to regulatory

approval. * Annualised VaR at 99% confidence level daily, based on paper portfolio since inception. Past performance is not a guide to future performance.

6.4% indicative annualised return

1.9% indicative annualised volatility

VaR* (99.5%) -0.166%

Currently 1.5x levered

Positive skew of returns

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Performance

0

5

10

15

20

25

30

35

40

45

50

-1.0

0%

-0.7

0%

-0.6

0%

-0.5

0%

-0.4

0%

-0.3

0%

-0.2

5%

-0.2

0%

-0.1

5%

-0.1

0%

-0.0

5%

0.0

0%

0.0

5%

0.1

0%

0.1

5%

0.2

0%

0.2

5%

0.3

0%

0.4

0%

0.5

0%

0.6

0%

0.7

0%

1.0

0%

Freq

uen

cy

ARC histogram of daily returns

Uncorrelated to other risk assets

Market neutrality

May 12

Performance

27

ARC Fund MSCI World

WGBI EGBI Global HY EMBI USD ARGBF

ARC Fund 1.00

MSCI World 0.00 1.00

WGBI 0.00 0.33 1.00

EGBI 0.00 0.12 0.73 1.00

Global HY 0.02 0.39 0.12 0.04 1.00

EMBI USD 0.00 0.21 0.03 0.01 0.60 1.00

ARGBF 0.00 0.26 0.20 0.10 0.08 0.03 1.00

Correlation, %

100

80

60

40

20

0

-20

-40

-60

-80

-100

Source: data based on Ignis’ paper portfolio gross of fees (27/05/2011 to 25/04/2012). All data for illustrative purposes only.

Fund launch subject to regulatory approval. Past performance is not a guide to future performance.

What sets our absolute return strategy apart?

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Targeted research approach

Analysts sit with portfolio managers

Optimal size: experienced and decisive

Pragmatic

Bottom-up, unconstrained

High conviction global holdings

Risk management embedded within process; robust controls

Alpha not beta Focused process Dynamic team

Designed to deliver:

- positive performance in all market conditions

- market neutrality

- zero interest rate risk

Mandate designed to isolate alpha in line with client needs

CDS pair trading fund

No beta risk: no yield curve, duration or market exposure

Target: cash + 5%*

Volatility ceiling: 6%

Stop-loss methodology: checks undertaken at 25bps loss then position cut at 50bp loss

Leverage ceiling: 3x

Fund facts

*Target gross of fees; cash measured by EONIA. Fund details subject to regulatory approval.

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^This is the rate that large banks use to borrow from, and lend to, one another on the overnight market. *Performance fee is net of fees, over compounded cash rates and subject to a high water mark. Fund details subject to regulatory approval and is subject to change.

Fund manager Chris Bowie

Expected launch date Summer 2012

Structure UCITS IV SICAV

Domiciled Luxembourg

Benchmark EONIA^

Liquidity Daily dealing

Minimum investment EUR A Class: €1,000 EUR I Class: €1,000,000

Annual management fee EUR A Class: 1% EUR I Class: 0.5%

Performance fee* Fund manager is entitled to 10% of performance generated

above EONIA^ with a high water mark

Fund profile

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Appendix: credit team

Ignis Credit: multi-specialist team

Analysts Years in industry

Sector Background

David Meade

27 Autos, consumer, industrial

Fidelity, Morgan Stanley, S&P

Michael Ewing


Epic, UBS

Janaka Nanayakkara

15 ABS Chalkhill, M&G, Investec

Rosalie Pinkney

12 Banks BGI, Fitch

Scott Duggal

8 ABS Fitch, Shell AM

Albane Poulin 6 Secured, energy, utilities

Insight

Nadia El Alaoui

6 TMT, materials WestLB, Lehman

Gordon Shannon

5 Insurance, banks Towers Watson

Matt Creamer


KPMG

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Portfolio managers

Years in industry

Sector Background

Chris Bowie 19 3rd party, fixed ABS

AEGON, Murray Johnstone

Adam Walker

14 Retail, non-financials

Barclays

Phil Heaney 21 Financials Minet, Trade Indemnity, West LB

Kenny Watson

17 High yield Murray Johnstone

Matt Guzzo 6 Floating rate ABS Hypo Real Estate

*Source: Ignis at 31/03/12

Chris Bowie

Chris Bowie is Head of Credit Portfolio Management. Chris joined Ignis in 2004 and oversees a team of five credit portfolio managers. He has 19 years’ credit market experience including Head of Rates at AEGON and senior positions at Murray Johnstone. Chris has a BA (Hons) in Economics from Strathclyde University.

Adam Walker

Adam Walker is a Credit Portfolio Manager with specific responsibility for industrial credit and retail portfolios. He joined Ignis in 2000 and has 14 years’ credit market experience having worked at Barclays Stockbrokers. Adam has an MSc in Operational Research and a BSc in Aerospace Engineering from Strathclyde University

Phil Heaney

Phil Heaney is a Credit Portfolio Manager with specific responsibility for financial funds. He joined Ignis in 2001 and has 21 years’ credit market experience having held positions at West LB, Minet and Trade Indemnity. Phil has a BA in Risk Management from Glasgow Caledonia University.

Credit portfolio management team

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Kenny Watson

Kenny Watson is a Credit Portfolio Manager with specific responsibility for high yield and high income funds. He joined Ignis in 1998 and has 17 years’ credit market experience having held positions at Murray Johnstone and Clydesdale Bank. Kenny has a BA in Accounting and Economics from Strathclyde University and is a Chartered Accountant.

Matthew Guzzo

Matthew Guzzo is a Credit Portfolio Manager with specific responsibility for structured finance. He joined Ignis in 2011 and has 6 years’ credit market experience having held positions at Hypo Real Estate Group and Deloitte & Touche. Matthew holds an MA in Economics from Michigan State University and a BA in Economics from Syracuse University.

Credit portfolio management team

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David Meade

David Meade is Head of Credit Research. He joined Ignis in 2008 and has 27 years credit markets experience having held positions on the sell-side, buy-side and with a major rating agency. He has had senior analytical roles covering a broad range of global industrial sectors in both investment grade and high yield credits at Morgan Stanley, Standard & Poor’s and Fidelity, where he was Head of Credit Research. At Morgan Stanley he was consistently highly-ranked in credit industry surveys. He has worked in London, New York and Hong Kong and speaks French and German. David has an MA in French and German from Cambridge University and is a Chartered Financial Analyst.

Michael Ewing

Michael Ewing is Head of Money Market Research. He joined Ignis in 2008 and has 24 years’ credit market experience, spent predominantly in bank research in developed and emerging markets. Previously Michael held positions at Epic Asset Management, UBS and Nomura. He has worked in London and Australia.

Rosalie Pinkney

Rosalie Pinkney is a Credit Analyst with prime responsibility for global bank credit research. She joined Ignis in 2010 and has 12 years’ credit market experience having previously held positions as a Senior Bank Analyst at Barclays Global Investors and at Fitch Ratings. Rosalie has a BA in French and Russian from Bristol University and is fluent in Spanish. She has worked in London and Barcelona.

Credit research team

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Nadia El-Alaoui

Nadia El-Aloui is a Credit Analyst with responsibility for the communications sector (TMT) and a number of other industrial credits. She joined Ignis in 2012 and has 9 years’ financial experience of which 6 have been directly involved in European investment grade and high yield credit markets. Prior to joining Ignis, Nadia worked at Lehman Brothers, West LB Mellon and Ernst & Young. Nadia has an MA in Economic from the Goethe University in Frankfurt. Nadia is a German national and speaks French and Arabic. She has worked in London, Frankfurt and Düsseldorf.

Albane Poulin

Albane Poulin is a Credit Analyst with responsibility for a number of industrial sectors, including utilities, infrastructure and fixed-rate ABS credits. He joined Ignis in 2011 and has 6 years’ credit market experience having previously worked at Insight Investment Management. Albane has an MA in Finance in International Trade from the Université Montesquieu in Bordeaux. Albane is a French national and has worked in London and Paris.

Gordon Shannon

Gordon Shannon is a Credit Analyst and has specific responsibility for insurance and bank credits. He joined Ignis in 2007 and has 5 years’ credit market experience having previously spent 2 years at Watson Wyatt. Gordon has a BA in Economics from Cambridge University and is a Chartered Financial Analyst.


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Janaka Nanayakkara

Janaka Nanayakkara is a Credit Analyst with prime responsibility for commercial mortgage-backed securities (CMBS). He joined Ignis in 2012 and has 15 years’ credit market experience having previously been a partner at Chalkhill Partners and held senior positions in CMBS and real estate investment at M&G and Investec. Janaka has a Master of Commerce from the University of Sydney. He has worked in London and Australia.

Scott Duggal

Scott Duggal is a Credit Analyst with specific responsibility for residential mortgage-backed securities and collateralized debt obligations (CDOs). He joined Ignis in 2009 and has 8 years’ credit market experience having previously held positions as a Director in Fitch’s structured credit research department and at Shell Asset Management. Scott has an MSc in Investment Management from the Cass Business School and a BSc in Computer Science and Management from Kings College, London. He has worked in London and The Hague.

Matthew Creamer

Matthew is a Credit Analyst with responsibility for a number of financial institutions. He joined Ignis in 2008 and has recently joined the credit team. Previously he held positions at Alliance Bernstein and KPMG. Matthew has a BA in Geography with Economics from the University of Leeds.


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Pairs trade – an investor identifies two historically correlated credits where the relative value between the two has diverged. In buying one and selling the other, the investor hopes to generate profits from a further change in the relative value (either a widening or tightening of the spread). The direction of the broader market is irrelevant to a pair trade – it is the relative change in value of the two legs of the trade that will result in a gain or a loss. A pair trade is therefore market neutral

Credit default swaps (CDS) – When buying a CDS, a fund will pay a premium to a counterparty to gain protection against a credit event, such as a default or a restructuring. If there is a credit event, the fund will receive the equivalent value even if the price of the underlying cash bond falls. When selling a CDS, a fund will receive a premium to provide the counterparty with protection against a credit event. If there is a credit event the fund will pay the equivalent value.

CDS therefore provide exposure to a rise or fall in the value of a credit without the need to actually own (or short) the cash bond. CDS carry separate risks to cash bonds, namely counterparty risk, but do not carry the duration risk of the cash equivalent. Positions are collateralized by cash on a daily basis.

Volatility - a measure of the variation in the size of the change in price of a security or fund. Used as a measure of the riskiness of an investment.

Counterparty – Each trade has two sides, a buyer and a seller. The counterparty is the other side of the trade, so if you are a buyer, you will need to find a counterparty willing to sell.

Glossary

May 12

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Contact us

39

May 12


France and Switzerland (French)

Philip Goldsmith, Managing Director Europe

Mob: +41 (0)79 753 35 74 / +44 (0)7836 243 999

Email: [email protected] Iberia and Latin America

Mauro Loran Garcia, Regional Director

Mob: +34 (0)616 463 917

Email: [email protected]

Germany, Austria and Switzerland (German)

André Haubensack, Regional Director

Mob: +41 (0)79 373 79 13

Email: [email protected] Benelux

Ghislaine Fournigault, Regional Director

Tel: +44 (0)20 3003 3125


Italy and Ticino

Arcangelo Barletta, Regional Director

Mob: +39 (0)392 89 60 736


Nordics

Philip Goldsmith, Managing Director Europe

Mob: +41 (0)79 753 35 74 / +44 (0)7836 243 999


Telephone calls may be monitored and/or recorded for the purpose of security, internal training, accurate account operation, internal customer monitoring and to improve the quality of service.

Your main contact Your regional support

European Sales Support Manager Dee Clarkin Tel: +44 (0)20 3003 3127 Email: [email protected]

Business Development Executive Riccardo Villa Mob: +39 (0)347 27 52 557 Email: [email protected]

Business Development Executive Johanna Pollet Tel: +44 (0)20 3003 3128 Email: [email protected]

European Sales Support Manager Dee Clarkin Tel: +44 (0)20 3003 3127 Email: [email protected]

Disclosure

This information is intended for professional clients and investment professionals only and should not be relied upon by retail investors. The opinions expressed here represent the views of the fund manager at the time of preparation and should not be interpreted as investment advice.

Distribution of this document and the offering of shares in certain jurisdictions may be restricted by law and accordingly persons into whose possession this document comes are required to inform themselves about and to observe such restrictions.

This document does not constitute an offer or solicitation to anyone in any jurisdiction in which such an offer is not authorised or to any person to whom it is unlawful to make such offer or solicitation.

Past performance is not a guide to future performance.

The fund takes long and short positions synthetically through derivatives (derivatives carry certain risk which will be explained in the Prospectus upon fund

launch). This means the fund’s performance is unlikely to track the performance of broader bond and equity markets. While this creates the opportunity for the fund to deliver positive returns in falling markets, it also means that the fund could deliver negative returns in rising markets. The value of investments

and any income from them can fall as well as rise and is not guaranteed. Exchange rate movements may cause the value of investments to fluctuate.

The Ignis Corporate Bond Fund is an authorised unit trust scheme under Section 243 of the Financial Services and Markets Act 2000 and is categorised under the Collective Investment Schemes Sourcebook as a UCITS Fund. It is a long only Corporate Bond Fund. It is not registered for distribution out with the UK.

The Ignis Absolute Return Credit Fund will seek regulatory approval to be established as a sub-fund of Ignis Global Funds SICAV, an investment company

organised under the laws of the Grand Duchy of Luxembourg as a Self Managed SICAV

This document has been issued by Ignis Investment Services. Ignis Investment Services is registered in Scotland Number SC101825. Registered Office: 50 Bothwell Street, Glasgow G2 6HR.

Authorised and regulated in the United Kingdom by the Financial Services Authority.

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ignis asset management

Economy & Finance

trade strategiesmay

endesa superior

credit portfolio

ignis paper

chartered

corporate

ignis investment

epic asset