Royal London Short Term Fixed Income Enhanced Fund
Share classY Acc GBP
ISIN GB00BVYV8H85
Fund objective
The Fund aims to provide a return, over rolling 12-month periods, through a combination of capital growth and income, before the deduction of fees.
| Base currency | GBP |
|---|---|
| Fund launch | 18 May 2015 |
| Redemption yield | 4.41% |
| Benchmark |
|---|
| Sterling Overnight Index Average (SONIA) plus 1.0% |
Performance
Data as at 31 Aug 2026
Royal London Short Term Fixed Income Enhanced Fund - Y Acc GBP | 19.18% |
Sterling Overnight Index Average (SONIA) | 19.03% |
Past performance is not a guarantee or reliable indicator of future returns. The value of investments and the income from them is not guaranteed and may go down as well as up and investors may not get back the amount originally invested.
Share class performance is based on mid-day prices, net of fees and gross of taxes, with gross income reinvested unless otherwise stated. Benchmark performance is priced at close of business, gross of fees and taxes. The impact of fees reduces your investments. Rolling performance data shown using month end returns.
Cumulative
To 31 Aug 2026 | 1 month | 3 months | 6 months | 1 year | 3 years | 5 years | 10 years | Launch |
|---|---|---|---|---|---|---|---|---|
Y Acc GBP | 0.30 | 0.76 | 1.23 | 3.85 | 17.20 | 19.18 | 25.66 | 27.05 |
Benchmark | 0.31 | 0.93 | 1.86 | 3.80 | 14.11 | 19.03 | 20.86 | 21.40 |
Annualised
3 years | 5 years | Launch |
|---|---|---|
5.43 | 3.57 | 2.14 |
4.49 | 3.54 | 1.73 |
Share class launched on 18 May 2015
Fund breakdowns
Asset breakdown (%)
Cash & cash instruments | 30.17 |
Corporate bonds | 24.14 |
Covered bonds | 23.61 |
Government Bonds | 18.18 |
Mortgage backed securities | 2.00 |
Treasury Bills | 1.89 |
Geographic breakdown ex gilts (%)
United Kingdom | 24.98 |
Canada | 18.72 |
Australia | 8.76 |
United States | 4.85 |
Singapore | 4.78 |
Netherlands | 3.76 |
Germany | 2.87 |
Sweden | 2.17 |
Finland | 1.76 |
Belgium | 1.68 |
Fund characteristics
Redemption yield | 4.41% |
Weighted Average Life (years) | 2.42 |
Weighted Average Maturity (years) | 1.76 |
Redemption yield
The weighted average rate of discount at which the future obligations of interest and capital payments of each of the fund's holdings equates to its current price, gross of relevant fund management costs and gross of tax.
Weighted average life
The weighted average of the remaining life (maturity) of each security held in a fund, meaning the time until the principal is repaid in full.
Weighted average maturity
The average length of time to maturity of all underlying securities in the fund weighted to reflect the relative holdings in each instrument, assuming that the maturity of a floating rate instrument is the time remaining until the next interest rate reset to the money market rate, rather than the time remaining before the principal value of the security must be repaid.
Monthly commentary
Data as at 31 Aug 2026
These views represent the opinions of the author(s) at the time of writing and do not constitute investment advice.
There was no Bank of England (BoE) interest rate meeting in August, meaning that the UK Base Rate remained at 3.75%. The market therefore looked at inflation and growth data for signs that the Bank of England may be inclined to increase rates, but there was no real change in direction of data over the month, with growth slightly better than expected and inflation in line with expectations.
With UK interest rates unchanged over the month, SONIA remained at 3.73% through July. Two-year gilts, often seen as a proxy for market expectations of BoE rates, were also virtually unchanged, edging from 4.42% to 4.41%.
Activity was light in August, reflecting the usual quieter summer markets. One trade of note was the purchase of a new issue of four-year covered bonds from United Overseas Bank which came at a healthy premium to SONIA. We also continued to trade short-dated gilts as markets remained volatile.
Fund managers
Tony Cole
Senior Fund Manager
Craig Inches
Head of Rates and Cash
Fund literature
Codes and fees
Share class | ISIN | SEDOL | Launch date | Fee | Min investment |
|---|---|---|---|---|---|
Y Acc GBP | GB00BVYV8H85 | BVYV8H8 | 18/05/2015 | 0.180% | £1,000,000 |
Y Inc GBP | GB00BVYV8J00 | BVYV8J0 | 18/05/2015 | 0.180% | £1,000,000 |
R Acc GBP | GB00BG0ZNL86 | BG0ZNL8 | 06/09/2018 | 0.035% | £0 |
S Acc GBP | GB00BJYLYV03 | BJYLYV0 | 09/04/2019 | 0.030% | £0 |
S Inc GBP | GB00BJYLYW10 | BJYLYW1 | 09/04/2019 | 0.030% | £0 |
Z Acc GBP | GB00BVYV8L22 | BVYV8L2 | 18/05/2015 | 0.030% | £3,000,000 |
Contact us
For institutional investors
Email: institutional@rlam.com
For enquiries: 020 7506 6500
Telephone calls and written communications may be recorded and monitored. For further information please see the privacy policy.
Country registrations
United KingdomYou may be interested in
Liquidity
Straightforward and transparent liquidity and short-term fixed income strategies to help investors manage near-term investment needs.
Risks
Past performance is not a guide to future performance. The value of investments and any income from them may go down as well as up and is not guaranteed. Investors may not get back the amount invested.
Counterparty risk
The insolvency of any institutions providing services such as safekeeping of assets or acting as counterparty to derivatives or other instruments, may expose the Fund to financial loss.
Credit risk
Should the issuer of a fixed income security become unable to make income or capital payments, or their rating is downgraded, the value of that investment will fall. Fixed income securities that have a lower credit rating can pay a higher level of income and have an increased risk of default.
EPM techniques risk
The Fund may engage in Efficient Portfolio Management (EPM) techniques, including holdings of derivative instruments. Whilst intended to reduce risk, the use of these instruments may expose the Fund to increased price volatility.
Government and public securities risk
The Fund can invest more than 35% of net assets in different Transferable Securities and Money Market Instruments issued or guaranteed by any EEA State, its local authorities, a third country or public international bodies of which one or more EEA States are members.
Inflation risk
Where the income yield is lower than the rate of inflation, the real value of your investment will reduce over time.
Interest rate risk
Fixed interest securities are particularly affected by trends in interest rates and inflation. If interest rates go up, the value of capital may fall, and vice versa. Inflation will also decrease the real value of capital. Unlike the income from a single fixed interest security, the level of income (yield) from a fund is not fixed and may go up and down. Bond yields (and as a consequence bond prices) are determined by market perception as to the appropriate level of yields given the economic background.
Important information
This is a financial promotion and is not investment advice.
Issued by Royal London Asset Management Limited, 80 Fenchurch Street, London EC3M 4BY. Authorised and regulated by the Financial Conduct Authority, firm reference number 141665. A subsidiary of The Royal London Mutual Insurance Society Limited.
The Fund is a sub-fund of Royal London Bond Funds ICVC, an open-ended investment company with variable capital with segregated liability between sub-funds, incorporated in England and Wales under registered number IC000797.
The Authorised Corporate Director (ACD) is Royal London Unit Trust Managers Limited, authorised and regulated by the Financial Conduct Authority, with firm reference number 144037.
For more information on the fund or the risks of investing, please refer to the Prospectus or Key Investor Information Document (KIID).
The “SONIA” mark is used under licence from the Bank of England (the benchmark administrator of SONIA), and the use of such mark does not imply or express any approval or endorsement by the Bank of England. “Bank of England” and “SONIA” are registered trademarks of the Bank of England.
Source: Royal London Asset Management unless otherwise stated.
