Data: Net Asset Value (NAV) and Assets under Management (AuM) as of 10 August 2020
Capital is at risk. The value of your investment may go down as well as up and you may not get back the amount you invested. Investors should read the Key risks section of this page, Key Investor Information Document and Prospectus prior to investing.
Diversified short exposure to European high yield with enhanced liquidity.
The Tabula European iTraxx Crossover Credit Short UCITS ETF (EUR) (the Fund) aims to track the iTraxx European Crossover Credit Short Index (ITRXXOVS Index), less fees and expenses.
About the index
The ITRXXOVS Index provides short exposure to high yield European corporate credit. To emphasize credit risk and reduce direct interest rate risk, it takes exposure via a liquid credit default swap (CDS) index rather than individual corporate bonds:
- iTraxx Crossover 5y (75 sub-investment grade entities, equally weighted)
The index reflects the return from buying protection on the current series of iTraxx Crossover 5y. It has market exposure of 100%, rebalanced monthly. Exposure is calculated as the ratio of CDS bond equivalent price to index value, so the ratio of notional to Net Asset Value may not be exactly 100%.
The Fund aims to directly replicate the index composition via CDS index positions and cash collateral (typically investment grade European sovereign bonds with maturity <12 months). To minimise counterparty risk, CDS index trades are executed through regulated brokers and centrally cleared.
The fund is currently registered for sale in Ireland, Austria, Denmark, Finland, France, Germany, Italy, Luxembourg, Netherlands, Norway, Spain, Portugal, Sweden, Switzerland, United Kingdom.
|Investment manager:||Cheyne Capital Management (UK) LLP|
|Custody & administration:||HSBC Securities Services (Ireland) DAC|
|Fund inception:||08 February 2019|
|Share class inception:||08 February 2019|
|Share class currency:||EUR|
|Primary listing:||London Stock Exchange|
|Primary ticker:||TECS LN|
|UK distributor/reporting status:||Yes|
|ISA & SIPP eligible:||Yes|
|Index name:||iTraxx European Crossover Credit Short Index|
|Index provider:||IHS Markit|
|Bloomberg index ticker:||ITRXXOVS Index|
|Exchange:||London Stock Exchange||BX Swiss||Xetra|
|Trading hours:||0800 to 1630 London time||0900 to 1730 Swiss time||0900 to 1730 German time|
|Settlement:||T+2, however primary market creation settles T+1||T+2, however primary market creation settles T+1||T+2, however primary market creation settles T+1|
|Bloomberg ticker:||TECS LN||TECS SW||TAB1 GR|
No capital protection: The value of your investment may go down as well as up and you may not get back the amount you invested.
Market risk: The fund is primarily exposed to short credit risk. Returns will increase if there is a default, or higher perceived risk of default, among the entities referenced by the CDS indices, or a write-down (“bail in”) of an entity’s debt by financial authorities. The fund may also be impacted by other factors affecting the value of debt securities issued by those entities, including changes in interest rates and exchange rates. When selling CDS on subordinate debt, such debt may be subordinate to senior debt.
Short exposure risk: The fund uses a short market exposure to the underlying market with rebalancing on a monthly basis. The performance of the fund over periods longer than one month may not be inversely proportional or symmetrical with the returns of long positions in the underlying instruments. The assumed return on cash in the index also contributes to asymmetry in returns versus a long position. The fund is intended for investors who wish to take a short-term view on the Index and whose investments are not intended as buy and hold.
Leverage: The fund may use leverage, so losses may be magnified.
Liquidity risk: If there are insufficient buyers or sellers of CDS indices, the fund may not be able to match index exposure exactly and investors may not be able to buy or sell fund units. Neither the Index provider nor the issuer make any representation or forecast on the liquidity of CDS transactions.
Counterparty risk: The fund may incur losses if any institution providing services or acting as a derivatives counterparty becomes insolvent.
Credit risk: The issuer of a financial asset held within the fund may not pay income or repay capital to the fund when due.