WHY FINWEEK WOULD CONSIDER ADDING IT
The Stanlib Bond Fund has comfortably beaten its peer group median, and its benchmark, the All Bond Index (Albi), over threeto 10-year periods to end January 2014. This stellar performance saw the fund recognised with another Raging Bull award for best South African interest-bearing variable term fund.
What’s clear from the performance table is the short-term pain that bond funds are enduring as a result of falling bond prices. As yields increase, capital values decline. Over 10 years the fund has delivered a return of 9.4%, which equates to 3.4% above inflation, after fees. The yield on the fund has averaged 7.26% for the last 12 months, which is barely 1% above inflation.