Our approach

Strategic bond funds can offer investors exposure to many different areas of fixed income such as government, corporate and high-yield bonds, offering portfolio diversification. However, strategic bond funds come in many flavours. The strategic bond sector is one with a high dispersion of returns, inconsistent performance, and high correlation with the high-yield market.

Our Strategic Bond Fund has a long track record managed with a consistent process and team. We invest in the best ideas across global fixed income markets using a long-term, fundamentally driven approach within a focused portfolio. We seek to provide clients with superior risk-adjusted returns through market cycles and minimise drawdowns during periods of volatility.  

Why invest?

The Aviva Investors Strategic Bond Fund represents a compelling option for investors seeking to outsource their fixed income decision making to a truly global team of bond specialists. The fund is designed to provide a strategic anchor for a core fixed income allocation:

Single solution

The fund is a convenient solution for investors looking to gain diversified exposure across global fixed income markets in a standalone strategy.

Global

The fund can invest globally, accessing a wide opportunity set to construct a portfolio that can perform throughout market cycles. However, it is important to note that at least 80 per cent of the portfolio’s assets will either be sterling-denominated or hedged back to sterling.

Total return focus

Long-term outperformance with less risk. Fixed income investing involves asymmetric risks that are skewed to the downside – in other words, the potential losses are greater than the potential gains. This can result in a tendency to focus on avoiding defaults. However, when trying to maximise total returns, identifying winners is also crucial.

Strategic Bond fund

A total-return fixed income solution that utilises a flexible, unconstrained approach across global bond markets, seeking to deliver clients long-term excess returns with less risk through market cycles.

Aviva Investors Strategic Bond Fund

A total-return fixed income solution that utilises a flexible, unconstrained approach across global bond markets, seeking to deliver long-term excess returns.

Investment philosophy

The Aviva Investors Strategic Bond Fund is built on the belief that fixed income outcomes are best delivered through flexibility, disciplined portfolio construction and deep collaboration across global credit markets.

We believe that bond markets are inherently dynamic, with return opportunities and risks shifting meaningfully across sectors, regions and credit qualities over time. A rigid, benchmark‑constrained approach can leave investors over‑exposed to unattractive areas of the market, particularly late in the cycle. Instead, we adopt an active and flexible approach, allocating dynamically across the global fixed income universe to capture the most compelling income and capital return opportunities while carefully managing downside risks.

Investment insights

Investment thinking that brings together the collective insight of Aviva Investors’ teams from across the globe on the key themes influencing markets.

Views

Bond Voyage

Bond Voyage: A journey into fixed income

Each month, our freewheeling fixed-income newsletter gathers insights from our high-yield, investment-grade, emerging-market and global sovereign bond teams.

See the latest edition
Bond Voyage

House view

House View

No one can predict the future. But our quarterly House View sets out the collective wisdom of our investment teams on the current state of global markets – and where they might be heading.

Read more

Key risks

For further information on the risks and risk profiles of our funds, please refer to the relevant KIID and Prospectus.

Investment risk & currency risk

The value of an investment and any income from it can go down as well as up and can fluctuate in response to changes in currency exchange rates. Investors may not get back the original amount invested.

Illiquid securities risk

Certain assets held in the fund could, by nature, be hard to value or to sell at a desired time or at a price considered to be fair (especially in large quantities), and as a result their prices could be very volatile.

Credit risk

Bond values are affected by changes in interest rates and the bond issuer's creditworthiness. Bonds that offer the potential for a higher income typically have a greater risk of default.

Derivatives risk

The fund uses derivatives; these can be complex and highly volatile. Derivatives may not perform as expected, which means the fund may suffer significant losses.

Convertible securities risk

Convertible bonds can earn less income than comparable debt securities and less growth than comparable equity securities, and carry a high level of risk.

Strategic bond fund team

Contact us

Our distribution team is here to help with any questions you may have.

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Fixed income

Fixed income is an indispensable building block for meeting a variety of investment goals, including income, inflation protection, liability management and capital appreciation.

Important Information

THIS IS A MARKETING COMMUNICATION

Unless stated otherwise any opinions expressed are those of Aviva Investors. They should not be viewed as indicating any guarantee of return from an investment managed by Aviva Investors nor as personalised advice of any nature. This document should not be taken as a recommendation or offer by anyone in any jurisdiction in which such an offer is not authorised or to any person to whom it is unlawful to make such an offer or solicitation. Portfolio holdings are subject to change at any time without notice and information about specific securities should not be construed as a recommendation to buy or sell any securities. The Aviva Investors Strategic Bond Fund is a sub-fund of the Aviva Investors Investment Funds ICVC. For further information please read the latest Key Investor Information Document and Supplementary Information Document. The Prospectus and the annual and interim reports are also available on request. Copies in English can be obtained, free of charge from Aviva Investors, PO Box 10410, Chelmsford CM99 2AY. You can also download copies at www.avivainvestors.com Issued by Aviva Investors UK Fund Services Limited, the Authorised Fund Manager. Registered in England and Wales No. 1973412. Authorised and regulated by the Financial Conduct Authority. Firm Reference No. 119310. Registered address: 80 Fenchurch Street, London, EC3M 4AE. An Aviva company.

The Investment Manager endeavours to comply with the requirements of the UK Stewardship Code when managing the Funds’ assets. Stewardship is the responsible allocation, management and oversight of capital to create long-term value for investors leading to sustainable benefits for the economy, the environment and society. Environmental (particularly climate) and social factors, in addition to governance, have become material issues for fund managers to consider when making investment decisions and undertaking stewardship. The Investment Manager therefore considers a range of financial and non-financial information when assessing investments and to inform its stewardship activities, including considering the potential or actual material risk that sustainability issues may have on an investment. For more information on how the Investment Manager carries out this activity and meets the requirements of the UK Stewardship Code, as well as details about Aviva Investors’ firmwide policy, please see our website: Policies and documents - Aviva Investors