U.S. Short Duration Inflation Protection Bond

Summary

STRATEGY FACTS

As of 12/31/2018 tooltip

When Listed:

Mutual funds and CIT only available in the United States.

SICAVs only available in certain non-U.S. countries. Please check country availability.

Available Vehicles Separate Account
Mutual Fund
Investment Universe TIPS
Benchmark Bloomberg Barclays U.S. 1-5 Year Treasury Inflation Protected Securities (TIPS) Index
Inception Date 09/01/2011
Total Assets $1.75 B

TARGET

Tracking Error 0.5% - 1.5% over a standard market cycle
Excess Return 0.25% - 0.75% over a standard market cycle

INVESTMENT TEAM

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Portfolio managers are not licensed by the Hong Kong Securities and Futures Commission to perform any regulated function in or from Hong Kong. Furthermore, none of the portfolio managers are located in or operate in or from Hong Kong.

Documents & Resources

N/A

 

The U.S. Short Duration Inflation Protection Bond strategy implements an actively managed, multiple sector approach to inflation-linked portfolio management as a hedge against U.S. inflation.

The U.S. Short Duration Inflation Protection Bond strategy's philosophy focuses on identifying and exploiting inefficiencies in the inflation-linked markets through multiple sources, including sector allocation, security selection, duration management and yield curve management.

Key tenets:

  • Exploit market inefficiencies through fundamental research, which provides the basis for relative value assessments between sectors and securities
  • Seek diversified sources of return
  • Employ a defined risk management process

Performance

As of 12/31/2018

  COMPOSITE PERFORMANCE IN USD (%)
  QTR YTD 1 YR 3 YR* 5 YR* Since Inception*
U.S. Short Duration Inflation Protection Bond (gross) -0.44% 0.67% 0.67% 1.93% 0.93% 0.98%
U.S. Short Duration Inflation Protection Bond (net) -0.53% 0.32% 0.32% 1.51% 0.46% 0.41%
Standard Deviation --- --- 1.02% 1.47% 1.68% 1.95%
Sharpe Ratio --- --- -1.17 0.64 0.19 0.28
Bloomberg Barclays US Treasury Inflation Protected Notes (TIPS) (1-5 Y) -0.20% 0.41% 0.41% 1.44% 0.60% 0.51%
Excess Return -0.24% 0.26% 0.26% 0.48% 0.33% 0.47%
Tracking Error --- --- 0.41% 0.31% 0.36% 0.40%
Information Ratio --- --- 0.64 1.56 0.93 1.18

*Annualized

Sources: Bloomberg Index Services Ltd, FactSet

Data reflects past performance. Past performance does not guarantee future results. The value of investments may fluctuate. Data assumes reinvestment of dividends and capital gains.

For a presentation that complies with the GIPS® standards, click here .

For purposes of compliance with the Global Investment Performance Standards (GIPS®), the Firm is defined as American Century Investment Management, Inc. (“ACIM”). ACIM claims compliance with the Global Investment Performance Standards (GIPS®). The U.S. Short Duration Inflation Protection Bond composite includes portfolios that invest in inflation-linked U.S. Treasury and Agency securities and inflation-linked securities of corporations, and may invest in inflation-linked foreign and corporate securities, non-inflation adjusted debt securities (corporations and foreign governments), and high yield issues. Index futures (and currency forwards and futures, where applicable or appropriate) are occasionally used to equitize cash and manage portfolio risk. Other derivative instruments may be used, as allowed, as part of the investment strategy. Returns are calculated and stated in U.S. dollars and may increase or decrease as a result of currency fluctuation.

Source: Bloomberg Index Services Ltd