LIOR GP
LIOR GP (the “SICAV”) is a Luxembourg Société d’Investissement à Capital Variable composed of several separate Sub-Funds (each, a “Sub-Fund”).
The SICAV’s objective is to provide investors access to a diversified management expertise through a range of several separate Sub-Funds, each having its own investment objective and policy.
The SICAV qualifies as a UCITS under Part I of the Luxembourg law of 17 December 2010 on undertakings for collective investments, as may be amended from time to time (the “2010 Law”).
The SICAV has contracted with different providers as follows:
- LIOR GLOBAL PARTNERS serves as the Investment Manager;
- LEMANIK ASSET MANAGEMENT (LUXEMBOURG) S.A. serves as Management Company and has outsourced the portfolio management of the SICAV to LIOR GLOBAL PARTNERS;
- CACEIS BANK – Luxembourg Branch provides middle-office and back-office services (such as depositary, custodian, Fund administration, transfer agent, etc.) for the SICAV;
- DELOITTE Audit S.à r.l. serves as Auditor.
LIOR GP – ALPHA FUND (SRRI 5)
The LIOR GP – Alpha Fund’s investment objective is to achieve a positive return in any type of market condition by investing across fixed Income, equities, currency markets on global basis (absolute return strategy).
Specifically, the LIOR GP – Alpha Fund seeks to outperform the euro short-term rate (€STR) (compounded daily) Index, over any 3-year holding period, while offering controlled risk exposure. For indicative purposes, given the risk profile, the return is expected to be in excess (before applicable fees) of €STR +4% per annum after the deduction of operating and management fees.
As part of the asset selection process, the fund seeks to always outperform the ESG score of the dynamic strategic asset allocation through responsible allocation.
LIOR GP – PROXIMA FUND (SRRI 3)
The LIOR GP – Proxima Fund’s investment objective is to achieve a positive return in any type of market condition by investing across fixed Income, currency markets on global basis (absolute return strategy).
Specifically, the LIOR GP – Proxima Fund seeks to outperform the euro short-term rate (€STR) (compounded daily) Index, over any 3-year holding period, while offering controlled risk exposure. For indicative purposes, given the risk profile, the return is expected to be in excess (before applicable fees) of €STR +0.5% per annum after the deduction of operating and management fees.
As part of the asset selection process, the fund seeks to always outperform the ESG score of the dynamic strategic asset allocation through responsible allocation.
LIOR GP – GLOBAL SHORT DURATION FUND (SRRI 2)
The LIOR GP – Global Short Duration Fund’s investment objective is to outperform the euro short-term rate (€STR) (compounded daily) Index, over any 18 months holding period,
As part of the asset selection process, the fund seeks to always outperform the ESG score of the dynamic strategic asset allocation through responsible allocation.
SICAV Materials:
Latest Prospectus:
Prospectus LIOR GP January 2024
Latest annual report and semi-annual reports:
Annual Report LIOR GP 2022
LIOR GP – Alpha Fund
1. Documents and Reports
1.1 KIIDs:
KIID – LIOR GP – Alpha Fund – N/A (EUR) LU2263803962
KIID – LIOR GP – Alpha Fund – I/A (EUR) LU2263804002
KIID – LIOR GP – Alpha Fund – I/A (GBP) hgd LU2263804184
KIID – LIOR GP – Alpha Fund – I/A (USD) LU2263804267
KIID – LIOR GP – Alpha Fund – I/A (USD) hdg LU2636416559
KIID – LIOR GP – Alpha Fund – I/A (CHF) hgd LU2629394722
1.2 Prospectus:
Prospectus LIOR GP January 2024
1.3 Sustainability-related Disclosure:
LIOR GP – Alpha Fund – Sustainability-related disclosure Summary
LIOR GP – Alpha Fund – Sustainability-related disclosure
1.4 Monthly Report:
LIOR GP – Alpha Fund – Monthly Report
1.5 Historical NAVs:
2. Fund Overview and Characteristics
2.1 Objective
The Sub-Fund’s investment objective is to achieve a positive return in any type of market condition by investing across fixed Income, equities, currency markets on global basis (absolute return strategy).
Specifically, the Sub-Fund seeks to outperform the euro short-term rate (€STR) (compounded daily) Index, over any 3 year holding period, while offering controlled risk exposure.
2.2 Investment and Strategy
The Investment Manager actively manages the Sub-Fund and will select multiple investments which it believes are under- or over-valued, or which have a more attractive valuation than other similar investments, with the expectation that these investments will produce future returns. When selecting these investments, the Investment Manager will consider a number of factors including macroeconomy, microeconomy, capital flows, interest rate movements, valuations as well as how the relevant financial markets are performing and whether particular markets have certain trends in investment which offer opportunities to seek a profit.
The Sub-Fund may invest up to 100% of its assets directly in bonds and money market instruments issued or guaranteed by governments and companies. These investments can be investment grade, non-investment grade and/or non-rated. Where an investment is not rated, the Investment Manager may assign a rating. In this framework, the Sub-Fund may invest: up to 20% of its assets in convertible debt obligations, including CoCos; and/or up to 30% of its assets in Chinese sovereign bonds traded on the China Interbank Bond Market or Bond Connect. The portion of Non-OECD unrated investments shall not exceed 10% of the Sub-Fund’s assets.
The Sub-Fund will seek to achieve the active management of the portfolio’s exposure to global bond risk (modified duration) via directional strategies among the four main OECD government bond markets (United States for the dollar zone, Germany for the Eurozone, the United Kingdom and Japan). The Sub-Fund will also use relative value strategies (purchase of modified duration on certain markets, sale of modified duration on others).
The Sub-Fund may also invest up to 30% in equities securities (amongst which up to 10% of net assets in China A-shares and China B-shares) and up to 20% of its assets in investment grade bonds which are backed by other investments. These are bonds, referred to as ABS or MBS, which represent a pool of assets, and whose value and income payments of these types of bonds are dependent on the pool of relevant assets.
It is not intended that any of the Sub-Fund’s assets are invested in other UCIs but in the event that the Sub-Fund does invest in other UCIs (for example for cash management purposes), this will not exceed 10% of the Sub-Fund’s assets.
The Investment Manager will use Derivatives for investment purposes. The Sub-Fund can invest indirectly in bonds, money market instruments, equity securities and currencies through the use of derivatives in order to take “short” positions (where the Investment Manager believes that the value of the underlying asset will decrease, it may sell the asset in the belief that it can be repurchased on a later date at a cheaper price) and “long” positions (where the Investment Manager believes that the value of the underlying asset will increase, it may elect to hold on to the asset as a result).
Derivatives may further be used for hedging purposes and/or for EPM purposes. For example, the Investment Manager may use currency futures and forwards when seeking exposure to assets which are based in currencies other than Euro to reduce the risk of any losses caused by currency exchanges. Such Derivatives may also include, but are not limited to, swaps and credit linked instruments.
In addition, the Sub-Fund may also invest in equity-linked derivatives such as futures and options linked to one or more indices and/or contracts for difference (“CFDs”). This is limited to no more than 30% of the value of the Sub-Fund being long or short. Investments in bonds, money market and currency-related derivatives may create an exposure of more than 100% of the value of the SICAV as being long or short.
Derivatives will mostly consist in exchange-traded Derivatives but the Sub-Fund may also resort to OTC Derivatives such as CDS as well as Forex options. The Sub-Fund may have exposure to Chinese indices through the use of notably futures.
In the case of exceptional or adverse market conditions, instead of investing in line with the limits set out above, the Investment Manager can invest up to 100% of the Sub-Fund’s assets in cash or cash equivalent. The Investment Manager will only invest in this way if it believes that this is necessary to try to protect the Sub-Fund from any risks and/or losses which could arise from these market conditions. It is not expected that the Investment Manager will do so for long periods. In the event that the Investment Manager takes this action, the Sub-Fund may not achieve its investment objective. As part of its cash management, the Sub-Fund may invest up to 10% of its assets in corporate commercial papers, with a maturity of 3 months or less or similar assets.
The Investment Manager can invest the Sub-Fund’s assets in any country, sector and currency, which may include emerging market countries.
The modified duration of the portfolio of the Sub-Fund may vary between -8 and +8.
| Minimum | Maximum | ||
| Sensitive range of interest rates | -8 | +8 | |
| Geographical area of the issuer (in % of the net assets | OECD Member States (government) | 0% | 100% |
| OECD investment grade (corporate) | 0% | 100% | |
| Non-OECD Member States (government and corporate) | 0% | 75% | |
| Non-OECD Non investment grade | 0% | 15% | |
| Non-OECD emerging markets | 0% | 15% | |
| Base currencies of the securities | G10 & Europe ex-EMU currencies | ||
| Exchange rate risk permitted | 0% | 300% | |
| Active management of the exposure range to equity securities | -30% | +30% | |
3. Share Classes Available
| Fees for Share Transactions | Annual Fees | |||||||||||
| Name | ISIN Code | Currency | Currency hedging | Distribution policy | Minimum initial investment and holding (i) | Sales charge (ii) (% max.) |
Redemption charge (% max.) |
Management Fee (% max.) (v) |
Administration Fee (vi) (% max.) (v) |
Depositary Fee (% max.) (v) |
Performance Fee (% max.) |
Reference Indicator |
| Lior GP – Alpha Fund N/A (EUR) | LU2263803962 | EUR | No | Accumulation | 100,000.- | 4.5 | 1 | 1.50 (iii) | 0.5 | 0.50 (vii) | 20 | €STR (compounded daily) index |
| Lior GP – Alpha Fund I/A (EUR) | LU2263804002 | EUR | No | Accumulation | 1,000,000.- | 2.5 | 1 | 1.15 (iv) | 0.5 | 0.50 (vii) | 20 | €STR (compounded daily) index |
| Lior GP – Alpha Fund I/A (GBP) H | LU2263804184 | GPB | Yes | Accumulation | 1,000,000.- | 2.5 | 1 | 1.15 (iv) | 0.5 | 0.50 (vii) | 20 | €STR (compounded daily) index |
| Lior GP – Alpha Fund I/A (USD) | LU2263804267 | USD | No | Accumulation | 1,000,000.- | 2.5 | 1 | 1.15 (iv) | 0.5 | 0.50 (vii) | 20 | €STR (compounded daily) index |
(i) Denominated in the base currency of the Sub-Fund or the same amount in other available currencies.
(ii) The Sub-Fund does not currently apply sales charge. Sales agents may decide to apply a sales charge. The maximum sales charge which may be applied by sales agents is 1%.
(iii) Investment Manager Fee: 1.10%; Management Company Fee: 0.40%.
(iv) Investment Manager Fee: 0.75%; Management Company Fee: 0.40%.
(v) These fees are mentioned subject to applicable minima pursuant to the relevant agreement.
(vi) The Administration Fee encompasses the fees relating to the fund administration, transfer agency, domiciliation and reporting.
(vii) The Depositary will also charge transaction fees related to the purchase and sale of assets (considering middle and back office activities).
The crystallisation date for the Sub-Fund is 31 December. The performance fee measurement period of the Sub-Fund starts 1 January and ends 31 December of the same year; it being understood that new Share Classes after the initial subscription period may have a performance fee measurement period starting on another date.
Early bird investor offer:
For investors subscribing for I/A (EUR), I/A (GBP) and I/A (USD) shares until the sub-fund reaches EUR 50 Millions:
- the minimum initial investment and holding amount is reduced to EUR 150,000.- or GBP 150.000.- and USD 500,000.-, as applicable;
For investors subscribing for N/A (EUR) shares until the sub-fund reaches EUR 50 Millions, the minimum initial investment and holding amount is reduced to EUR 25,000.
3.1 information on whether the share class is only available on certain jurisdictions:
- N/A (EUR) share class is available to French, Luxembourg Retail Investors as well as Monaco based Retail Investors
- I/A (EUR), I/A (GBP) Hgd, I/A (USD) share classes are available to Luxembourg Institutional Investors as well as Monaco based Institutional Investors
- I/A (GBP) Hgd share class is available to UK Institutional Investors
- I/A (EUR) share class is available to French Institutional Investors
3.2 list of emerging and less developed market countries in which the Sub-Fund may not invest:
The Sub-Fund will not invest in issuers located in the following countries: North Korea, Crimea, Cuba, Iran, Syria, Belarus, Myanmar, Eritrea, Iraq, Lebanon, Libya, Central African Republic, Democratic Republic of the Congo, Somalia, Sudan, South-Sudan, Venezuela, Yemen, Zimbabwe, Afghanistan, Bosnia and Herzegovina, Laos, Guyana, Uganda, Pakistan, Trinidad and Tobago, Vanuatu, Bahamas, Botswana, Ghana, Nicaragua, American Samoa, Guam, Saudi Arabia, Puerto Rico, Panama, Nigeria, US Virgin Island, Cambodia, Mongolia, Iceland, Albania, Barbados, Jamaica, Mauritius, Seychelles, Cayman Islands, Palau.
3.3 Transaction cycle:
| NAV Date: | D |
| Valuation Point: | D+1 at 5 pm Luxembourg time |
| NAV Publication: | D+1 Business Day at 1.30 pm Luxembourg time |
| Subscription / Redemption: | Cut-off: D at 12 pm (noon) Luxembourg time |
| Pre-advise to fund manager: | D at 2 pm Luxembourg time |
| Confirmation: | D+1 at 5 pm Luxembourg time |
| Payment settlement date: | D+2 Business Days at COB |
| FX Valuation Point: | D at 5pm Luxembourg time |
3.4 Subscription agreement
For any information required regarding the subscription to the Fund LIOR GP – Alpha Fund, please send an email to LIOR GLOBAL PARTNERS on contact@lior-gp.com or to CACEIS on FDS-investor-services@caceis.com
3.5 Notice to shareholders
For early birds, please go to the Fund section – early bird
LIOR GP – Proxima Fund
1. Documents and Reports
1.1 KIIDs:
KIID – LIOR GP – Proxima Fund – N/A (EUR) LU2501797588
KIID – LIOR GP – Proxima Fund – I/A (EUR) LU2501797661
KIID – LIOR GP – Proxima Fund – I/A (USD) hgd LU2517102104
KIID – LIOR GP – Proxima Fund – I/D (EUR) LU2517102799
KIID – LIOR GP – Proxima Fund – I/A (CHF) hgd LU2629394649
1.2 Prospectus:
Prospectus LIOR GP January 2024
1.3 Sustainability-related Disclosure:
LIOR GP – Proxima Fund – Sustainability-related disclosure Summary
LIOR GP – Proxima Fund – Sustainability-related disclosure
1.4 Monthly Report:
LIOR GP – Proxima Fund – Monthly Report
1.5 Historical NAVs:
2. Fund Overview and Characteristics
2.1 Objective
The Sub-Fund’s investment objective is to generate income through dynamic exposure to the global fixed income universe primarily.
Specifically, the Sub-Fund seeks to outperform the euro short-term rate (€STR) (compounded daily) Index, over any 3-year holding period, while offering controlled risk exposure.
2.2 Investment and Strategy
The Investment Manager actively manages the Sub-Fund and will select multiple investments which it believes are under- or over-valued, or which have a more attractive valuation than other similar investments, with the expectation that these investments will produce future returns. When selecting these investments, the Investment Manager will consider a number of factors including macroeconomy, microeconomy, capital flows, interest rate movements, valuations as well as how the relevant financial markets are performing and whether particular markets have certain trends in investment which offer opportunities to seek a profit.
The Sub-Fund may invest up to 100% of its assets (excluding derivatives) directly in bonds and money market instruments issued or guaranteed by governments and companies. These investments can be investment grade, non-investment grade and/or non-rated. Where an investment is not rated, the Investment Manager may assign a rating. In this framework, the Sub-Fund may invest: up to 20% of its assets in convertible debt obligations, including CoCos or hybrid debt; and/or up to 30% of its assets in Chinese sovereign bonds traded on the China Interbank Bond Market or Bond Connect.
High yield securities may not exceed 50% of the Sub-Fund’s net assets and must be systematically rated by at least one recognized official rating agency, or deemed equivalent by the rating agency or by the Investment Manager team.
The Sub-Fund may be exposed to emerging markets up to 75% of net assets.
Securities and issuers from “non-OECD” countries (including emerging countries) may not exceed 75% of the Sub-Fund’s net assets, and the “non-OECD and emerging countries” portion must be made up of at least 80% by securities rated investment grade by at least one recognized official rating agency, or deemed equivalent by the Management Company.
The assessment of the default risk of an issue or its issuer is based on the Management Company’s analysis according to its proprietary credit risk assessment methodology.
In the event of multiple rating sources, a median rating will be calculated taking into account the ratings of official agencies and the Management Company’s internal rating. In this specific case, the internal rating of the Management Company has the same weight as that of the rating agencies.
If decided by the Management Company, the internal rating of the Management Company may however replace the median rating. Thus, decisions to invest or sell credit instruments are not automatically and exclusively based on the criteria of recognized agencies and are also based on an internal analysis of the credit or market risk of the Management Company.
The Sub-Fund will seek to achieve the active management of the portfolio’s exposure to global bond risk (modified duration) via directional strategies among the four main OECD government bond markets (United States for the dollar zone, Germany for the Eurozone, the United Kingdom and Japan). The Sub-Fund will also use relative value strategies (purchase of modified duration on certain markets, sale of modified duration on others).
It is not intended that any of the Sub-Fund’s assets are invested in other UCIs but in the event that the Sub-Fund does invest in other UCIs (for example for cash management purposes), this will not exceed 10% of the Sub-Fund’s assets.
The Investment Manager will use Derivatives for investment purposes. The Sub-Fund can invest indirectly in bonds, money market instruments and currencies through the use of derivatives in order to take “short” positions (where the Investment Manager believes that the value of the underlying asset will decrease, it may sell the asset in the belief that it can be repurchased on a later date at a cheaper price) and “long” positions (where the Investment Manager believes that the value of the underlying asset will increase, it may elect to hold on to the asset as a result).
Derivatives may further be used for hedging purposes and/or for EPM purposes. For example, the Investment Manager may use currency futures and forwards when seeking exposure to assets which are based in currencies other than Euro to reduce the risk of any losses caused by currency exchanges. Such Derivatives may also include, but are not limited to, swaps and credit linked instruments.
All of these operations on derivatives are carried out in the limit of the maximum commitment of 100% of the net assets of the Sub-Fund.
The Sub-Fund is permanently invested in EUR or in other currencies such as G10 currencies, Europe ex-EMU currencies, BRL, ZAR, MXN, CLP, COP, ILS, TRY, CNH, INR, IDR, KRW, SGD, MYR, TWD, HKD, PHP, PEN, ISK…
The Sub-Fund may have an exposure to currency risk within the limit of 10% of the net assets in the base currency (EUR).
Investments in bonds, money market and currency-related derivatives may create an exposure of more than 100% of the value of the Sub-Fund as being long or short.
Derivatives will mostly consist in exchange-traded Derivatives but the Sub-Fund may also resort to OTC Derivatives such as CDS as well as forex options. The Sub-Fund may have exposure to Chinese indices through the use of notably futures.
In the case of exceptional or adverse market conditions, instead of investing in line with the limits set out above, the Investment Manager can invest up to 100% of the Sub-Fund’s assets in cash or cash equivalent. The Investment Manager will only invest in this way if it believes that this is necessary to try to protect the Sub-Fund from any risks and/or losses which could arise from these market conditions. It is not expected that the Investment Manager will do so for long periods. In the event that the Investment Manager takes this action, the Sub-Fund may not achieve its investment objective. As part of its cash management, the Sub-Fund may invest up to 10% of its assets in corporate commercial papers, with a maturity of 3 months or less or similar assets.
The Investment Manager can invest the Sub-Fund’s assets in any country, sector and currency, which may include emerging market countries.
The modified duration of the portfolio of the Sub-Fund may vary between -2 and +4.
| Minimum | Maximum | ||
| Sensitive range of interest rates | -2 | +4 | |
| Geographical area of the issuer (in % of the net assets | OECD Member States (government) | 0% | 100% |
| OECD investment grade (corporate) | 0% | 100% | |
| Non-OECD Member States (government and corporate) | 0% | 75% | |
| Non-OECD Non investment grade | 0% | 15% | |
| Base currencies of the securities | G10 & Europe ex-EMU & EM Currencies | ||
| Exchange rate risk permitted | -10% | +10% | |
3. Share Classes Available
| Fees for Share Transactions | Annual Fees | |||||||||||
| Name | ISIN Code | Currency | Currency hedging | Distribution policy | Minimum initial investment and holding (i) | Sales charge (ii) (% max.) |
Redemption charge (% max.) |
Management Fee (% max.) (vi) |
Administration Fee (vii) (% max.) |
Depositary Fee (viii) (% max.) |
Performance Fee (% max.) |
Reference Indicator |
| Lior GP – Proxima Fund N/A (EUR) | LU2501797588 | EUR | No | Accumulation | 100,000.- | 4.5 | 1 | 1.50 (iii) | 0.5 | 0.50 | 20 | €STR (compounded daily) index |
| Lior GP – Proxima Fund I/A (EUR) | LU2501797661 | EUR | No | Accumulation | 1,000,000.- | 2.5 | 1 | 1.15 (iv) | 0.5 | 0.50 | 20 | €STR (compounded daily) index |
| Lior GP – Proxima Fund I/A (USD) H | LU2517102104 | USD | Yes | Accumulation | 1,000,000.- | 2.5 | 1 | 1.15 (iv) | 0.5 | 0.50 | 20 | €STR (compounded daily) index |
| Lior GP – Proxima Fund SI/A (USD) H | LU2517102286 | USD | Yes | Accumulation | 20,000,000.- | 2.5 | 1 | 1.00 (v) | 0.5 | 0.50 | 20 | €STR (compounded daily) index |
(i) Denominated in the base currency of the Sub-Fund or the same amount in other available currencies.
(ii) The Sub-Fund does not currently apply sales charge. Sales agents may decide to apply a sales charge. The maximum sales charge which may be applied by sales agents is 1%.
(iii) Investment Manager Fee: 1.10%; Management Company Fee: 0.40%.
(iv) Investment Manager Fee: 0.75%; Management Company Fee: 0.40%.
(v) Investment Manager Fee: 0.60%; Management Company Fee: 0.40%.
(vi) These fees are mentioned subject to applicable minima pursuant to the relevant agreement.
(vii) The Administration Fee encompasses the fees relating to the fund administration, transfer agency, domiciliation and reporting.
(viii) The Depositary will also charge transaction fees related to the purchase and sale of assets (considering middle and back office activities).
The crystallisation date for the Sub-Fund is 30 November. The performance fee measurement period of the Sub-Fund starts 1 December and ends 30 November of the subsequent year; it being understood that new Share Classes after the initial subscription period may have a performance fee measurement period starting on another date. The first crystallisation date is 30 November 2023 and the first performance fee measurement period started 1 December 2022 and will end 30 November 2023.
3.1 information on whether the share class is only available on certain jurisdictions:
- N/A (EUR) share class is available to French, Luxembourg Retail Investors as well as Monaco based Retail Investors
- I/A (EUR), I/A (USD) Hgd, SI/A (USD) Hdg share classes are available to French, Luxembourg Institutional Investors as well as Monaco based Institutional Investors
3.2 list of emerging and less developed market countries in which the Sub-Fund may not invest:
The Sub-Fund will not invest in issuers located in the following countries: North Korea, Crimea, Cuba, Iran, Syria, Belarus, Myanmar, Eritrea, Iraq, Lebanon, Libya, Central African Republic, Democratic Republic of the Congo, Somalia, Sudan, South-Sudan, Venezuela, Yemen, Zimbabwe, Afghanistan, Bosnia and Herzegovina, Laos, Guyana, Uganda, Pakistan, Trinidad and Tobago, Vanuatu, Bahamas, Botswana, Ghana, Nicaragua, American Samoa, Guam, Saudi Arabia, Puerto Rico, Panama, Nigeria, US Virgin Island, Cambodia, Mongolia, Iceland, Albania, Barbados, Jamaica, Mauritius, Seychelles, Cayman Islands, Palau.
3.3 Transaction cycle:
| NAV Date: | D |
| Valuation Point: | D+1 at 5 pm Luxembourg time |
| NAV Publication: | D+1 Business Day at 1.30 pm Luxembourg time |
| Subscription / Redemption: | Cut-off: D at 12 pm (noon) Luxembourg time |
| Pre-advise to fund manager: | D at 2 pm Luxembourg time |
| Confirmation: | D+1 at 5 pm Luxembourg time |
| Payment settlement date: | D+2 Business Days at COB |
| FX Valuation Point: | D at 5pm Luxembourg time |
3.4 Subscription agreement
For any information required regarding the subscription to the Fund LIOR GP – Proxima Fund, please send an email to LIOR GLOBAL PARTNERS on contact@lior-gp.com or to CACEIS on FDS-investor-services@caceis.com
LIOR GP – Global Short Duration Fund
1. Documents and Reports
1.1 KIIDs:
KIID – LIOR GP – Global Short Duration Fund – N/A (EUR) LU2540998643
KIID – LIOR GP – Global Short Duration Fund – I/A (EUR) LU2540998726
KIID – LIOR GP – Global Short Duration Fund – I/A (USD) hdg LU2567385385
KIID – LIOR GP – Global Short Duration Fund – I/A (CHF) hdg LU2629394995
1.2 Prospectus:
Prospectus LIOR GP January 2024
1.3 Sustainability-related Disclosure:
LIOR GP – Global Short Duration Fund – Sustainability-related disclosure Summary
LIOR GP – Global Short Duration Fund – Sustainability-related disclosure
1.4 Monthly Report:
LIOR GP – Global Short Duration Fund – Monthly Report
1.5 Historical NAVs:
LIOR GP – Global Short Duration Fund – NAVs
2. Fund Overview and Characteristics
2.1 Objective
The Sub-Fund’s investment objective is to outperform the euro short-term rate (€STR) (compounded daily) Index, over any 18 months holding period, while offering controlled risk exposure. The Sub-fund invest primarily in short duration global fixed income universe.
2.2 Investment and Strategy
The Investment Manager actively manages the Sub-Fund and will select multiple investments which it believes are under- or over-valued, or which have a more attractive valuation than other similar investments, with the expectation that these investments will produce future returns. When selecting these investments, the Investment Manager will consider a number of factors including macroeconomy, microeconomy, capital flows, interest rate movements, valuations as well as how the relevant financial markets are performing and whether particular markets have certain trends in investment which offer opportunities to seek a profit.
The Sub-Fund may invest up to 100% of its assets (excluding derivatives) directly in bonds and money market instruments issued or guaranteed by governments and companies. These investments can be investment grade, non-investment grade and/or non-rated. Where an investment is not rated, the Investment Manager may assign a rating. In this framework, the Sub-Fund may invest: up to 10% of its assets in convertible debt obligations, including CoCos or hybrid debt; and/or up to 10% of its assets in Chinese sovereign bonds traded on the China Interbank Bond Market or Bond Connect.
High yield securities may not exceed 25% of the Sub-Fund’s net assets and must be systematically rated by at least one recognized official rating agency, or deemed equivalent by the rating agency or by the Investment Manager team.
The Sub-Fund may be exposed to emerging markets up to 20% of net assets.
Securities and issuers from “non-OECD” countries (including emerging countries) may not exceed 20% of the Sub-Fund’s net assets, and the “non-OECD and emerging countries” high yield portion may not exceed 10%.
The assessment of the default risk of an issue or its issuer is based on the Management Company’s analysis according to its proprietary credit risk assessment methodology.
In the event of multiple rating sources, a median rating will be calculated taking into account the ratings of official agencies and the Management Company’s internal rating. In this specific case, the internal rating of the Management Company has the same weight as that of the rating agencies.
If decided by the Management Company, the internal rating of the Management Company may however replace the median rating. Thus, decisions to invest or sell credit instruments are not automatically and exclusively based on the criteria of recognized agencies and are also based on an internal analysis of the credit or market risk of the Management Company.
The Sub-Fund will seek to achieve the active management of the portfolio’s exposure to global bond risk (modified duration) via directional strategies among the four main OECD government bond markets (United States for the dollar zone, Germany for the Eurozone, the United Kingdom and Japan). The Sub-Fund will also use relative value strategies (purchase of modified duration on certain markets, sale of modified duration on others).
It is not intended that any of the Sub-Fund’s assets are invested in other UCIs but in the event that the Sub-Fund does invest in other UCIs (for example for cash management purposes), this will not exceed 10% of the Sub-Fund’s assets.
The Investment Manager will use Derivatives for investment purposes. The Sub-Fund can invest indirectly in bonds, money market instruments and currencies through the use of derivatives in order to take “short” positions (where the Investment Manager believes that the value of the underlying asset will decrease, it may sell the asset in the belief that it can be repurchased on a later date at a cheaper price) and “long” positions (where the Investment Manager believes that the value of the underlying asset will increase, it may elect to hold on to the asset as a result).
Derivatives may further be used for hedging purposes and/or for EPM purposes. For example, the Investment Manager may use currency futures and forwards when seeking exposure to assets which are based in currencies other than Euro to reduce the risk of any losses caused by currency exchanges. Such Derivatives may also include, but are not limited to, swaps and credit linked instruments.
All of these operations on derivatives are carried out in the limit of the maximum commitment of 100% of the net assets of the SICAV.
The Sub-Fund is permanently invested in EUR or in other currencies such as G10 currencies, Europe ex-EMU currencies, BRL, ZAR, MXN, CLP, COP, ILS, TRY, CNH, INR, IDR, KRW, SGD, MYR, TWD, HKD, PHP, PEN, ISK…
The Sub-Fund may have an exposure to currency risk within the limit of 10% of the net assets in the base currency (EUR).
Investments in bonds, money market and currency-related derivatives may create an exposure of more than 100% of the value of the Sub-Fund as being long or short.
The Sub-Fund is not a money market fund and is not managed as a money market fund.
Derivatives will mostly consist in exchange-traded Derivatives but the Sub-Fund may also resort to OTC Derivatives such as CDS as well as forex options. The Sub-Fund may have exposure to Chinese indices through the use of notably futures.
In the case of exceptional or adverse market conditions, instead of investing in line with the limits set out above, the Investment Manager can invest up to 100% of the Sub-Fund’s assets in cash or cash equivalent. The Investment Manager will only invest in this way if it believes that this is necessary to try to protect the Sub-Fund from any risks and/or losses which could arise from these market conditions. It is not expected that the Investment Manager will do so for long periods. In the event that the Investment Manager takes this action, the Sub-Fund may not achieve its investment objective. As part of its cash management, the Sub-Fund may invest up to 10% of its assets in corporate commercial papers, with a maturity of 3 months or less or similar assets.
The Investment Manager can invest the Sub-Fund’s assets in any country, sector and currency, which may include emerging market countries.
The modified duration of the portfolio of the Sub-Fund may vary between -1 and +3.
| Minimum | Maximum | ||
| Sensitive range of interest rates | -1 | +3 | |
| Geographical area of the issuer (in % of the net assets | OECD Member States (government) | 0% | 100% |
| OECD investment grade (corporate) | 0% | 100% | |
| Non-OECD Member States (government and corporate) | 0% | 20% | |
| Non-OECD Non investment grade | 0% | 10% | |
| Base currencies of the securities | G10 & Europe ex-EMU & EM Currencies | ||
| Exchange rate risk permitted | -10% | +10% | |
3. Share Classes Available
| Fees for Share Transactions | Annual Fees | |||||||||||
| Name | ISIN Code | Currency | Currency hedging | Distribution policy | Minimum initial investment and holding (i) | Sales charge (ii) (% max.) |
Redemption charge (% max.) |
Management Fee (% max.) (v) |
Administration Fee (vi) (% max.) |
Depositary Fee (vii) (% max.) |
Performance Fee (% max.) |
Reference Indicator |
| Lior GP – Global Short Duration Fund N/A (EUR) | LU2540998643 | EUR | No | Accumulation | 100,000.- | 4.5 | 1 | 1.20 (iii) | 0.5 | 0.50 | 20 | €STR (compounded daily) index |
| Lior GP – Global Short Duration Fund I/A (EUR) | LU2540998726 | EUR | No | Accumulation | 1,000,000.- | 2.5 | 1 | 0.85 (iv) | 0.5 | 0.50 | 20 | €STR (compounded daily) index |
| Lior GP – Global Short Duration Fund I/A (USD) H | LU2567385385 | USD | Yes | Accumulation | 1,000,000.- | 2.5 | 1 | 0.85 (iv) | 0.5 | 0.50 | 20 | €STR (compounded daily) index |
(i) Denominated in the base currency of the Sub-Fund or the same amount in other available currencies.
(ii) The Sub-Fund does not currently apply sales charge. Sales agents may decide to apply a sales charge. The maximum sales charge which may be applied by sales agents is 1%.
(iii) Investment Manager Fee: 0.80%; Management Company Fee: 0.40%.
(iv) Investment Manager Fee: 0.45%; Management Company Fee: 0.40%.
(v) These fees are mentioned subject to applicable minima pursuant to the relevant agreement.
(vi) The Administration Fee encompasses the fees relating to the fund administration, transfer agency, domiciliation and reporting.
(vii) The Depositary will also charge transaction fees related to the purchase and sale of assets (considering middle and back office activities).
The crystallisation date for the Sub-Fund is 31 March. The performance fee measurement period of the Sub-Fund starts 1 April and ends 31 March of the subsequent year; it being understood that new Share Classes after the initial subscription period may have a performance fee measurement period starting on another date. The first crystallisation date is 31 March 2024 and the first performance fee measurement period will start 1 April 2023 and will end 31 March 2024.
3.1 information on whether the share class is only available on certain jurisdictions:
- N/A (EUR) share class is available to Luxembourg Retail Investors as well as Monaco based Retail Investors.
- I/A (EUR), I/A (USD) Hgd share classes are available to Luxembourg Institutional Investors as well as Monaco based Institutional Investors.
3.2 list of emerging and less developed market countries in which the Sub-Fund may not invest:
The Sub-Fund will not invest in issuers located in the following countries: North Korea, Crimea, Cuba, Iran, Syria, Belarus, Myanmar, Eritrea, Iraq, Lebanon, Libya, Central African Republic, Democratic Republic of the Congo, Somalia, Sudan, South-Sudan, Venezuela, Yemen, Zimbabwe, Afghanistan, Bosnia and Herzegovina, Laos, Guyana, Uganda, Pakistan, Trinidad and Tobago, Vanuatu, Bahamas, Botswana, Ghana, Nicaragua, American Samoa, Guam, Saudi Arabia, Puerto Rico, Panama, Nigeria, US Virgin Island, Cambodia, Mongolia, Iceland, Albania, Barbados, Jamaica, Mauritius, Seychelles, Cayman Islands, Palau.
3.3 Transaction cycle:
| NAV Date: | D |
| Valuation Point: | D+1 at 5 pm Luxembourg time |
| NAV Publication: | D+1 Business Day at 1.30 pm Luxembourg time |
| Subscription / Redemption: | Cut-off: D at 12 pm (noon) Luxembourg time |
| Pre-advise to fund manager: | D at 2 pm Luxembourg time |
| Confirmation: | D+1 at 5 pm Luxembourg time |
| Payment settlement date: | D+2 Business Days at COB |
| FX Valuation Point: | D at 5pm Luxembourg time |
3.4 Subscription agreement
For any information required regarding the subscription to the Fund LIOR GP – Global Short Duration Fund, please send an email to LIOR GLOBAL PARTNERS on contact@lior-gp.com or to CACEIS on FDS-investor-services@caceis.com
How to invest
We invest in global assets for a global client base.
If you would like to invest with us, please contact us directly or speak to our distribution partner Nimrod Capital in the UK and James Alpha in the US.