Description

This Exchange Traded Fund (ETF) aims to deliver the overall returns of the Bloomberg Sterling Liquid Corporate Bond Index, net of fees. It pays out income distributions every quarter. The benchmark index tracks the performance of investment-grade, fixed-rate corporate bonds denominated in British Pounds. To be included, bonds must originate from companies in the industrials, financials, or utilities sectors, have a minimum of GBP 350 million outstanding, and possess at least one year until their final maturity. Issuer exposure within the index is capped at 4%, and the index is rebalanced monthly. The portfolio is passively managed; its managers employ sophisticated modelling tools to construct a portfolio that holds a representative sample of the index's securities. This sampling strategy is designed to mimic the index's performance as accurately as possible while minimizing the costs typically associated with full replication. An investment in this fund represents an ownership of units in an index-tracking fund, not direct ownership of the underlying bonds.