The Amundi Funds Pioneer US Bond Fund has a long history of investing in corporate and securitized debt to achieve income and steady capital growth.

The fund’s Strategy follows an integrated and research-intensive investment process blending top-down macro insights with a value-driven approach to bottom-up security selection and sector allocation. Portfolio construction emphasizes diversification targets to reduce correlation risk across over 120 securities.

The Manager constructs the portfolio considering duration and yield curve positioning while also seeking to avoid at-risk sectors and industries.

According to cited examples, the investment team successfully navigated the bond market sell-off in the first quarter of 2020. It recovered well with active management across high-yield and securitized credit after initial underperformance. Drawdown has been minimum, and recovery was relatively short.

ESG is incorporated into the investment process, mainly related to understanding the durability of business models and fundamentals and draws on Amundi’s proprietary ESG research and dedicated analysts. However, the investment group did not fully consider the impact of the targets on the social environment and corporate governance rigor. The value-based and diversified investment will reduce risk but also caused performance to fall against its peers.

This fund has been reviewed by three industry veterans of the Benchmark judging committee.