THE SEARCH FOR RELIABLE RETURNS
Securing dependable income and growth for retirement planning
Using Fixed Income for retirement planning
Reliable returns are a cornerstone of effective retirement planning. Whether you are building your nest egg or drawing an income in retirement, dependable investment income is essential. Bonds have long been a favoured asset class for this purpose, offering predictable interest payments and contractual certainty. Strategic bond funds, such as the BNY Strategic Bond Fund, provide the flexibility to invest across global fixed income markets, adapting to changing conditions while focusing on delivering steady, long-term income.
One of the most important foundations of retirement planning is securing a dependable source of returns.
Key considerations
Bonds offer predictability
With contractual coupon payments and principal repayment at maturity, bonds provide defined cashflows that are rare in other asset classes.
Lower volatility and diversification
High-quality bonds typically experience less price fluctuation than equities and can help smooth portfolio volatility.
Income-focused returns
Bond returns are primarily driven by regular income payments, offering more stable returns compared to equity markets.
Strategic bond funds provide flexibility
Unlike traditional bond funds, strategic bond funds can dynamically allocate across government bonds, investment grade, high yield, emerging markets, and currencies to capture opportunities and manage risk.
Why strategic bonds for retirement?
Bonds inherently offer:
- Contractual income payments and principal repayment, providing clarity and predictability.
- Lower price volatility than equities, reducing the risk of large drawdowns.
- Diversification benefits, as bond prices often move differently to equities, helping to stabilise portfolios.
- Growth potential through reinvested income and active management, enabling compounding returns over time
Strategic bond funds go a step further by actively managing duration, credit quality, and sector exposure. This flexibility allows them to respond swiftly to economic shifts, interest rate changes, and credit market dynamics—key advantages in today’s complex fixed income landscape.
The BNY Strategic Bond Fund
The Fund targets opportunities across global fixed income markets either denominated in or hedged back to sterling with a focus on ESG factors.
Discover more
Explore how strategic bond funds can complement your multi-asset portfolio and help meet your clients’ income and growth objectives.
Download our full report to gain deeper insights and practical guidance on integrating these funds into your investment strategy.
RESOURCES
The value of investments can fall. Investors may not get back the amount invested. Income from investments may vary and is not guaranteed.
Please refer to the KIID where applicable and other fund documents for a full list of risks and before making any investment decisions. Documents are available in English and in selected local languages where the fund is registered. Go to bny.com/investments.
BNY Strategic Bond Fund
Investment Objective: To generate a return through a combination of income and capital returns, whilst taking environmental, social and governance ("ESG") factors into account.
Benchmark: The Fund will measure its performance against the Investment Association Sterling Strategic Bond Sector as a comparator benchmark (the "Benchmark").
The Fund will use the Benchmark as an appropriate comparator because it represents a broad range of similar Sterling denominated bond funds that invest in corporate bonds. The Fund is actively managed, which means the Investment Manager has discretion over the selection of investments, subject to the investment objective and policies as disclosed in the Prospectus.
Key Risks:
Responsible Investing Risk: The investment policy for this Fund places restrictions on its exposure to certain sectors or types of investments to reflect its responsible investing approach. The Fund's performance may be negatively impacted due to these restrictions in comparison to funds which do not have these restrictions. The Fund will not engage in securities lending activities and, therefore, may forego any additional returns that may be produced through such activities.
3128100 Expiry: 31 December 2026
