Funds Reports
Atlantic Bond Fund: July 2026 Report
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Welcome to the Atlantic Bond Fund July 2026 Report, available for download below.
Hi all,
July remained challenging for fixed-income investors as higher long-term yields continued to weigh on bond valuations despite improving inflation data. Against this backdrop, the Fund recorded a -0.77% return, with performance largely driven by the repricing of interest-rate risk rather than any deterioration in credit quality.
July Highlights:
Performance: Fund -0.77%, as higher sovereign yields continued to pressure bond valuations despite resilient credit fundamentals.
Portuguese Corporate Bonds: Main detractor (-28 bps), led by REN (-9 bps), Fidelidade (-6 bps), Santander (-3 bps) and Crédito Agrícola (-3 bps). Importantly, performance was driven by higher underlying government yields rather than any deterioration in corporate credit quality.
International Debt: Detracted -17 bps, with EM Debt EUR-Hedged (-9 bps), EM Debt USD (-4 bps), GBP Corporate Bonds (-2 bps) and AT1 Financials (-2 bps) all impacted by higher global yields.
Alternative Assets: Gold was broadly unchanged in U.S. dollar terms but declined 0.79% in EUR, contributing a modest –1 bp to Fund performance.
Portfolio Activity: No material allocation changes. The portfolio continues to offer an attractive 4.35% Yield-to-Maturity with a moderate 3.10-year duration, maintaining its focus on capital preservation and stable income generation.
Although the path towards lower inflation continues, elevated term premia and cautious central banks are likely to keep bond markets volatile in the short term. The Fund remains focused on capital preservation, high-quality credit selection and stable income generation, while maintaining a disciplined approach to duration management.
Best regards,
Nuno Serafim
Month Report ABF - July 2026
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Managing Partner
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Nuno is an experienced financial executive with broad experience in the Asset Management industry, being board member of IMGA, where he served as Chief investment Officer, overseeing €3.4B of AuM before he founded 3 Comma Capital, together with Robert and Patrick Hable in 2022.
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