The overall investment performance of Accunia’s various mandates was positive in 2017, cf. the table below. Credit as an asset class performed well throughout the year with tightened credit spreads; this was supported by the global economic upswing, very low volatility, ample liquidity and interest rates staying at low levels.
Although we expect to see more volatile markets in 2018, we are constructive on the outlook. We stay focused on reducing risk in certain sub-Investment Grade asset classes within the credit space, where we view the current levels as overvalued.