Spirit Foundation Full Circle
October 3, 2024
Spirit Community Foundation Stories
October 10, 2024
CADIZ BCI MONEY MARKET FUND
The Cadiz Money Market Fund continues to deliver on its mandate by consistently providing returns that outperform cash. The fund retains a strategic position to exploit current interest rate levels, while traversing the dynamics of the changing interest rate cycle. With rates commencing their decline, the fund has managed to lock in favourable yields without compromising liquidity. The fund is managed within its prescribed mandate constraints and is consistently outperforming its benchmark, the Alexander Forbes Short Term Fixed Interest (SteFI) composite index. In addition, it diligently ensures the maintenance of adequate liquidity levels while keeping volatility of returns low.
CADIZ BCI ENHANCED INCOME FUND
An uptick in corporate issuance during September provided the fund with further opportunities to invest in yield enhancing instruments. The exposure to nominal bonds once again stood the fund in good stead as this asset class delivered positive returns for the period. The fund maintained its long-standing track record of delivering low volatility returns, while focusing on growing wealth and limiting downside risks. Trading activities during the month were driven by cash flows and reinvestments, aligning with the fund’s objectives, while maintaining prudent portfolio management.
CADIZ BCI ABSOLUTE YIELD FUND
The fund maintained its exposure to nominal and inflation-linked bonds, while increasing duration in line with our strategic investment view. This approach served the fund well during September as these asset classes delivered positive returns for the term. The fund also retains a diversified exposure to floating rate notes, which once again contributed favourably to performance. Trading activities during the month included deploying cash, reinvesting maturing instruments, and managing duration to align with the investment strategy and the market outlook. The fund remains actively managed by the team to capitalise on opportunities and manage prevailing risks.