The annual yield (for the last 365 days) of both PRObonds portfolios continues to be at high levels due to the low base effect: portfolio # 1 – 20.2%, portfolio # 2 – 14.9%. Last spring, bonds were significantly cheaper, and those who then bought or held positions received decent compensation.
Gradually, portfolios are winning back the drawdown of the bond market this year. YTD yield for purely bond portfolio # 1 finally climbed above 10% (absolute YTD growth of 2.67%). This is happening despite the correction of the bonds of the OR Group (formerly Obuv Rossii Group of Companies) in the course of the offer on them, since the bulk of the names began to rise in price since the end of March. Portfolio # 1 continues to outperform the Cbonds-CBI RU High Yield index, which has increased by 2.3% (8.7% per annum) since the beginning of the year.
New bonds will be added to portfolios in the coming weeks, and some of the old issues will be reduced. From April 13, it is planned to add a new issue of MFC Bvstrodengi to 4% of assets (RUB 400 million, 3 years without amortization, coupon target of 12.75%, issue for qualified investors). In the second half of April – adding 3% of the assets of the bonds of the construction company “Litana” (300 million rubles, 3 years, coupon target 12.5-13%). Since the portfolios already have free money, a very limited volume of old issues will be reduced for new placements.
The target return for both portfolios for 2021 remains at 11% before personal income tax and takes into account the bond market drawdown in Q1. All portfolio transactions are published in the public domain until they are completed.
Not an investment recommendation (https://www.probonds.ru/upload/files/15/35d1bb8a/Disklei%CC%86mer_dlya_portfelei%CC%86.pdf)