Premier Miton Corporate Bond Monthly Income C income

Objectives and investment policy The aim of the Fund is to provide an income, which is paid monthly. The Fund will invest directly or indirectly a minimum of 80% of its assets in bonds that are Sterling denominated (or hedged back to Sterling) investment grade rated corporate bonds issued by companies. The Fund may also invest in non-investment grade (lower quality) bonds, convertible bonds (bonds that can convert into company shares), Contingent Convertible Bonds and other investments that have similar characteristics to bonds. The Fund may also invest in structured investments, cash and near cash and up to 10% in collective investment schemes (including those managed or operated by the ACD and its affiliates). The Fund will maintain a good spread of investments, it is expected that there will typically be between 80 and 170 individual issuers of bonds, although the number of issuers could fall below or exceed the specified number in extraordinary market conditions. An issuer is considered to be the legal entity that issues the bond, and which may be affiliated to another issuer. In order to diversify risk these will be spread across a broad range of sectors such as financial and utility companies. When selecting investments, the Fund Manager will assess the broad global economic environment, focusing on areas such as economic growth, inflation expectations and the outlook for interest rates. The Fund Manager will then analyse the individual investments to ensure they are suitable for inclusion in the Fund. The Fund Manager will seek to identify long-term themes that affect bond markets and the underlying companies that issue bonds, these may include technological advancements, low interest rates or regulation and may change from time to time. The Fund may invest in derivatives and forward transactions for both investment purposes and efficient portfolio management. The income will be paid through interest distributions on a monthly basis. The Fund is actively managed which means that the Fund Manager will choose the investments, currencies and markets held in the Fund but always within the boundaries outlined in the Fund’s objective and policy. The minimum recommended term for holding shares in this Fund is at least 5 years. This does not mean that the Fund will achieve this objective over this, or any other, specific time period and there is a risk of loss to the original capital invested. The full investment objective and policy, which outline all the eligible investments, are available in the Fund’s prospectus. You can buy, sell and switch shares in the Fund on any UK business day. We will need to receive your instruction before 12 noon to buy shares at that day’s price. Terms explained: ACD: Authorised Corporate Directors (ACDs) are responsible for the running of an investment fund, other than the investment management. Accumulation shares: any income made by the Fund will be reinvested to grow the value of your investment. Income shares: any income made by the Fund will be paid out to you. Contingent convertible bonds: a form of debt security usually issued by a financial institution that can either convert into equity or have the principal value written down, resulting from certain events relating to regulatory requirements. Convertible bonds: a type of bond that the holder can convert into shares of the issuing company in certain circumstances. Corporate bonds:Issued by companies and similar to a loan in nature, usually paying a fixed rate of interest. Investment grade bonds: Bonds that are expected to have a lower risk of defaulting on interest payments or repayment of the issue value on maturity and receive higher ratings from credit rating agencies. Derivatives: this is a financial contract whose value is related to the value of an underlying asset or index, often used with the aim of managing risk or enhancing returns. Hedge: an investment which aims to reduce the risk of adverse price movements in an asset or group of assets. Bonds: Issued by companies or governments and similar to a loan in nature, usually paying a fixed or variable interest rate. Efficient portfolio management: managing the Fund in a way that is designed to reduce risk or cost and/or generate extra income or growth. Structured investments: are typically investments which are linked to the performance of one or more underlying instruments or assets such as securities, currencies and other financial instruments. They frequently provide an augmented fixed return in exchange for accepting a degree of risk, for instance to market falls or gains. Forwardtransactions: a type of derivative between two parties to buy or sell an asset at a specified price and time in the future