How Did We Do In 1H? – Fixed Income Monthly

In short, the YTD Fund performance didn’t disappoint especially in the context of non-stop headwind coming from rates vol and inflation fear. We finished the first half of the year with a total return of 1.3% in EUR and 1.7% in USD with an average vol below 1% (annualized based on daily return). The curve bear steepening YTD has been more than beneficial to our strategy (given sub 2yr rate exposure) while the opposite is true for more benchmarked strategies, and this trend is likely to persist as long as the rates trajectory remains uncertain.