Volta Finance Ltd (LON:VTA) monthly report for February 2024, published by AXA IM.
PERFORMANCE and PORTFOLIO ACTIVITY
Volta Finance is pleased to report another positive performance in February at +1.0%, reflecting the price appreciation of the fund’s underlying portfolios through the month. For comparison, US High Yield returned +0.31% and European High Yield returned +0.35% over the same period.
The strong sentiment from January fed through February as major Credit indices like iTrax Xover hit 2yrs tights at +300bps. European loans were slightly down from 97.00px to 96.80px, although still significantly up year-to-date (96.00px as of Dec 2023). On the US side, loans recorded a 20 cents gain and reached 96.45px, their highest level since mid-2022. The momentum was evidently supported by a strong Q4 2023 US earnings season – proving once more the resilience of the US economic activity. Bonds yields continued to trend higher amid ongoing evidence of sticky core inflation and central banks’ hinting at potentially delaying rate cuts.