LO Funds
Global Government Fundamental

LO Funds - Global Government Fundamental is a long only global sovereign bond fund launched in December 2010. The Fund is actively managed. The Bloomberg Barclays Global Treasury is used for performance and internal risk indicators comparison. The Fund invests mainly in OECD sovereign bonds applying a best-in-class approach to Sustainable investing. It seeks to achieve higher risk-adjusted returns to widely used market-cap indices over the long term. The investment approach is two-fold: a disciplined analysis which differs from a traditional market-cap approach by allocating to countries based on macroeconomic indicators including extra financial data (i.e. ESG and carbon intensity) ; and a fundamental sovereign analysis aiming to further mitigate countries’ default and investability risks as well as identify potential opportunities taking into account financial and extra-financial information. Risk management is performed by fund managers at a portfolio level, alongside independent teams who oversee investment risks and operational risks.