CaixaBank Asset Management has registered with Spain’s National Securities Market Commission (CNMV) a negative duration bond fund.
The new fund, called CaixaBank RF Duración Negativa, will invest mainly in eurozone public and private fixed income securities, but also in emerging markets.
According to the mutual fund’s prospectus submitted to the Spanish regulator CNMV, the fund will have a negative duration between one year and four years, with an average of 2.5 years. This will be achieved through the use of use derivates, mainly by selling notional bond futures.
To participate in the fund, investors can choose between two modalities: ‘Extra’, with an initial minimum investment of €150,000 and commissions of 0.675% per management and 0.075% per deposit, and ‘Plus’, with 50,000 euros minimum investment, a management fee of 0.825% and a depository fee of 0.075%.