UCITS Funds

Payden Sterling Reserve Fund (PAYSRSD ID)

Base Share Class: GBP

Share Class
  • Overview
  • Portfolio Statistics
  • Performance & Expenses
  • Fund Commentary
Investment Strategy

The Payden Sterling Reserve Fund seeks to provide capital security, liquidity, and a yield in excess of that offered by money market funds and bank deposits, by investing in a diversified range of sterling-denominated, investment-grade, fixed- and floating-rate securities. The intention is to invest the Fund in a way that is consistent with the maintenance of a AAA rating or equivalent, from one of the major rating agencies.

Share Class Snapshot - 30 June 2025
Fund Inception Date Nov 16, 2010
Share Class Inception Date Nov 16, 2010
Ticker PAYSRSD ID
ISIN Number IE00B5N7VM10
Sedol Number B5N7VM1
Fund Total Net Assets £220.7 million
Benchmark ICE BofA SONIA Overnight Rate Index
Currency Share Classes Available CAD, CHF, EUR, GBP, JPY, NOK, SGD, USD
Management Fee 0.12%
Total Expense Ratio 0.18%
Investment Minimum £1,000,000 initial

Unless otherwise indicated, all listed data represents past performance. There is no guarantee of future performance, nor are fund shares guaranteed. Funds are issued by Payden & Rygel Global, Ltd., which is authorised and regulated by the Financial Conduct Authority. The investment products and services of Payden & Rygel are not available in the United Kingdom to private investors. The value of an investment may fall as well as rise and an investor may get back less than the amount that has been invested. Income from an investment may fluctuate in value in money terms. Changes in rates of exchange may cause the value of an investment to go up or down.

Portfolio Characteristics - 30 June 2025
Fund Inception Date Nov 16, 2010
Share Class Inception Date Nov 16, 2010
Total Net Assets £220.7 million
Average Duration 1.0 years
Average Maturity 1.9 years
Yield to Maturity 4.49%
Duration Breakdown
Years Percent of Portfolio
0-164%
1-329%
3-57%
Total 100%
Credit Breakdown
Credit Quality Percent of Portfolio
AAA41%
AA+3%
AA3%
AA-26%
A+16%
A8%
A-3%
Total 100%
Sector Breakdown
Sector Percent of Portfolio
Financial Institutions26%
Covered22%
UK Gilts18%
Government Related14%
Asset-Backed9%
Industrials7%
Mortgage-Backed4%
Total 100%
Country Breakdown
Country Percent of Portfolio
UK45.0%
Euroland18.0%
Canada12.0%
US11.0%
Scandinavia5.0%
Australia3.0%
Supranational2.0%
Japan1.0%
Singapore1.0%
Switzerland1.0%

Unless otherwise indicated, all listed data represents past performance. There is no guarantee of future performance, nor are fund shares guaranteed. Funds are issued by Payden & Rygel Global, Ltd., which is authorised and regulated by the Financial Conduct Authority. The investment products and services of Payden & Rygel are not available in the United Kingdom to private investors. The value of an investment may fall as well as rise and an investor may get back less than the amount that has been invested. Income from an investment may fluctuate in value in money terms. Changes in rates of exchange may cause the value of an investment to go up or down.


Total Returns
YTD 1 Year 3 Year 5 Year 10 Year Since Inception
Quarter-end (6/30/2025) 2.76% 5.38% 4.50% 2.55% 1.72% 1.59%
Month-end (6/30/2025) 2.76% 5.38% 4.50% 2.55% 1.72% 1.59%
Yearly Returns
20244.95%
20235.64%
2022-1.11%
2021-0.07%
20201.18%
20191.42%
20180.23%
20170.76%
20161.36%
20150.56%
Expenses
Management Fee 0.12%
Total Expense Ratio 0.18%

Unless otherwise indicated, all listed data represents past performance. There is no guarantee of future performance, nor are fund shares guaranteed. Funds are issued by Payden & Rygel Global, Ltd., which is authorised and regulated by the Financial Conduct Authority. The investment products and services of Payden & Rygel are not available in the United Kingdom to private investors. The value of an investment may fall as well as rise and an investor may get back less than the amount that has been invested. Income from an investment may fluctuate in value in money terms. Changes in rates of exchange may cause the value of an investment to go up or down.

Fund Commentary - 30 June 2025

MARKET
June was dominated by escalating Middle East tensions following Israel's strikes on Iran and subsequent US intervention. The rise in geopolitical tensions created another layer of uncertainty for global growth, but its impact on markets was relatively limited, except for the rise in oil price volatility. During the month, fiscal and monetary policies continued to be at the centre of investors' minds.
The US economy showed resilience despite headwinds. Nonfarm payrolls beat expectations at 139,000 in May, whilst unemployment remained at 4.2%. Inflation rose modestly to 2.4% but remained below consensus, with tariff impacts contained to specific sectors like appliances. The Federal Reserve held rates at 4.25%-4.5%, with Chair Powell highlighting the economy's "solid position" whilst noting persistent tariff-related inflation risks. The 10-year yield fell to 4.23% by month-end. The S&P 500 gained 4.96% in June. The US dollar underperformed in June, with the DXY Index (US Dollar Index) depreciating by approximately 2.5%.
European markets faced mixed conditions. The European Central Bank (ECB) cut rates 25 basis points (bps) to 2.0% but signalled the easing cycle had "nearly concluded" as euro area inflation fell to 1.9%, the first sub-2% reading in four years. The UK continued to face challenges, with unemployment rising to a four-year high of 4.6% and GDP contracting 0.3% in April. The Bank of England held rates at 4.25%, indicating a "gradual downward path" ahead. The Stoxx 600 Index fell 1.33%, whilst German Bund and UK Gilt yields closed at 2.61% and 4.49%, respectively.
Geopolitical tensions dominated mid-month as the conflict between Israel and Iran created significant market volatility before President Trump's ceasefire announcement sparked a global rally.

OUTLOOK
Global economic uncertainty remains elevated due to ongoing tariff threats and concerns around fiscal policies, particularly in the United States. These factors have weakened consumer and business confidence and have contributed to rising inflation expectations.
Unlike sentiment and other soft indicators, hard economic data, such as income growth, resilient consumer spending, and a healthy labour market suggest underlying economic strength. Outside of the United States, new expansionary fiscal packages in regions like Europe and China have improved growth expectations.
We anticipate below-average economic growth in the near term, with potential challenges that could further slow progress.
Given this backdrop, we aim to distribute risk in our portfolios more evenly across duration and credit. Given our central views, we maintain a preference for higher-quality credit investments, such as investment-grade corporate bonds and AAA-rated securitised assets which offer attractive relative value and diversification benefits. Regionally, we seek to hold balanced exposure to both U.S. dollar and euro-denominated issuers, particularly in corporate sectors, to mitigate currency risk.
From a duration standpoint, we prefer a modestly longer duration, with a focus on the front end of the US Treasury yield curve and select emerging markets. We are adjusting our investment approach to benefit from a steeper yield curve, particularly in the United States and Germany to position for potential economic slowdowns or shifts toward more expansionary fiscal policies. In currencies, we hold a modest underweight position in the US dollar, particularly against currencies like the euro and Japanese yen, whilst keeping overall currency risk limited for now.

Unless otherwise indicated, all listed data represents past performance. There is no guarantee of future performance, nor are fund shares guaranteed. Funds are issued by Payden & Rygel Global, Ltd., which is authorised and regulated by the Financial Conduct Authority. The investment products and services of Payden & Rygel are not available in the United Kingdom to private investors. The value of an investment may fall as well as rise and an investor may get back less than the amount that has been invested. Income from an investment may fluctuate in value in money terms. Changes in rates of exchange may cause the value of an investment to go up or down.