Fidelity Funds –
Asian High Yield Fund

“Asian High Yield has come of age as a more established asset class offering investors a strategy with high income, lower sensitivity to interest rate movements and attractive total return potential.”

- Bryan Collins, Head of Asian Fixed Income and Portfolio Manager

Reliable source of
income via Asia

Asian high yield bonds offer an average yield of 6.4%, which is more than their counterparts in the US (6.2%) and Europe (4.3%) as of December 20171.

Cushioned against
rising rates

The shorter duration strategy offers the potential for a more stable performance as the Federal Reserve raises rates in the US.

Strong track
record

One of the first funds of its type in the region, this leading strategy has consistently outperformed other funds in its peer group2.

  • Find out more about the fund

    See its recent performance and what it invests in
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    Value over time

    See how the fund has performed over recent years. The chart below represents the value of HK$10,000 invested in this fund in 2013 compared with HK$10,000 invested in the Index.

    Source: Fidelity International, NAV-NAV basis, in USD with dividends re-invested. Fund refers to Fidelity Funds - Asian High Yield Fund A-ACC-USD share class. Index refers to BofAML Blended Index: ACCY, 20% Lvl4 Cap 3% Constrained Index. Index is for comparative purpose only. Past performance is not indicative of future performance.

    Market outlook and how it impacts the fund

    • We remain positive on Asian high yield market. Risk sentiment has weakened compared to the start of the year, but the strong global growth backdrop remains intact.

    • The US gradually raised interest rates, suggesting that we are further into an expansionary phase of the market cycle. The impact of rising rates on Asian high yield bonds is limited given their short duration position.

    • Concerns over a global trade war are likely to lead to continued volatility. Our base case remains that the US and China will eventually resolve their differences. Nonetheless, the recent volatility has made valuations more attractive over a medium-term horizon.

    See what the fund invests in

    As at 31 March 2018

    Source: Fidelity International.

Meet Bryan Collins, Head of Asian Fixed Income and Portfolio Manager