Alternative Investment Awards 2016 85 Capital LLP Company: Stratton Street Capital LLP Address: 200 Aldersgate Street, London, EC1A 4HD Phone: +44 207 7660 888 Fax: +44 207 7660 860 Email: [email protected] Website: AI16092 Stratton Street Stratton Street is a London based fund management and advisory company founded in August 2000, specialising in fixed income markets. We profile the firm and explore its award winning Renminbi Bond Fund. Stratton Street’s investment approach screens countries by their ability to repay debt, using the firm’s net foreign assets (NFA) model, and then credits are evaluated based on value for money and fundamentals of the credit. The company see this as a return to fundamentals of credit analysis for fixed income, rather than the indexed approach used by most other funds which encourages lending to heavily indebted coun- tries like Greece and Ukraine. Investing in fixed income based on index weights simply means having to buy more of a country or company’s debt as it becomes more indebt- ed. The firm’s approach screens out the countries that are dangerously indebted, so our funds have never invested in Greece, Spain, Portu- gal or Ukraine. Instead Stratton Street have invested in the wealthy countries that in net terms are creditors internationally, not debtors. These countries include Germany, China, Norway, the Netherlands, Abu Dhabi, Qatar and Korea. Launched in November 2007, Stratton Street’s award winning Renminbi Bond Fund provides investors with a relatively high income while en- abling investors to gain exposure to the dynamic growth of the Chinese economy through bond and currency investments. The Fund has the same management team it has had since it was launched in November 2007. The strategy is the same mix of a top down strategy of only investing in wealthy nations (limited to Asia) that can repay their debt, combined with a bottom up credit analysis looking for underlying value that is used in the New Capital Wealthy Nations Bond Fund. The fund is fully hedged into the renminbi. In addition to the USD class, currency classes are also available with exposure to sterling, Singapore dollars, the euro, the Swiss franc, the Australian dollar, Japanese yen and a Chinese renminbi class. The fund sits in a Guernsey PCC structure and is listed on the Irish Stock Exchange, with daily dealing. Best Fixed Income Fund Management Specialists – UK & Best Asia Pacific Fixed Interest Fund (5 Years): Renminbi Bond Fund