Despite the retirement of Bob Miller in March 2023, the BlackRock Strategic Global Bond team remains impressive and deftly executes a strong investment process. The strategy's Morningstar Medalist Rating of Gold is reaffirmed for its cheapest shares and Silver for its more costly options. In 2015, this strategy was refashioned as a partnership between Rick Rieder's multisector bond team and the firm's global-bond platform. Since then, it had been managed by Rieder, Miller, and Amer Bisat, who were joined by members of the macro-positioning team (Russ Brownback and Trevor Slaven) when former manager Scott Thiel stepped down in October 2018. This group sets the macro picture before sector specialists populate the portfolio holdings. The investment process leverages a very large and experienced pool of investment professionals across the company's global fixed-income platform. A sound process sets a strong framework for this strategy while providing the managers with ample flexibility. Its investable universe includes global government and agency securities, emerging-markets debt, U.S. agency mortgages, global credit instruments, and currencies. It is benchmarked to the unhedged Bloomberg Global Aggregate Bond Index, but the managers have significant leeway when it comes to allocations. For example, at the end of January 2018, the strategy had 47% of its assets invested in emerging-markets debt compared with the benchmark's 5.5%. By the start of the emerging-markets selloff in April, the team had cut that stake in half; by June 2018, it clocked in at 12%. Similarly, the team swung the U.S. Treasuries exposure from roughly 20% of assets in December 2022 to a net short 30% following the increase in U.S. Treasury rates. That speaks to the managers' latitude, as well as its diligent risk management as the team avoids loading up on multiple types of risks at the same time given its caution in balancing risks. Overall, the team's valuation-driven moves and macro positioning have worked more often than not, and the resulting performance has been strong. From Sept. 1, 2015, through April 2023, the strategy handily outperformed its Bloomberg Global Aggregate USD benchmark, and the institutional share class bested roughly 90% of the global bond Morningstar Category peer group on both an absolute and risk-adjusted basis (as measured by Sharpe ratio).
BlackRock Strategic Global Bond Instl MAWIX
- NAV / 1-Day Return 5.11 / +0.01 %
- Total Assets 752.9 Mil
-
Adj. Expense Ratio
- Expense Ratio 0.570%
- Distribution Fee Level Below Average
- Share Class Type Institutional
- Category Global Bond
- Credit Quality / Interest Rate Sensitivity Medium/Moderate
- Min. Initial Investment 2.0 Mil
- Status Open
- TTM Yield 2.24%
- Effective Duration 5.57 years
USD | NAV as of Apr 25, 2024 | 1-Day Return as of Apr 25, 2024, 10:14 PM GMT+0
Morningstar’s Analysis MAWIX
Will MAWIX outperform in future?
Get our overall rating based on a fundamental assessment of the pillars below.
People Pillar
Parent Pillar
- Current Portfolio Date
- Equity Holdings —
- Bond Holdings —
- Other Holdings —
- % Assets in Top 10 Holdings 8.9
Top 10 Holdings
|
% Portfolio Weight
|
Market Value USD
|
Sector
|
---|---|---|---|
BlackRock Liquidity T-Fund Instl | 4.55 | 34.3 Mil | Cash and Equivalents |
Deriv Usd Balance With R93535 Cme | 2.70 | 20.4 Mil | Cash and Equivalents |
Federal National Mortgage Association 3.5% | 2.43 | 18.3 Mil | Securitized |
China (People's Republic Of) 3.02% | 2.04 | 15.4 Mil | Government |
United States Treasury Bills | 1.98 | 14.9 Mil | Government |
Cash Collateral Usd Xms | 1.98 | 14.9 Mil | Cash and Equivalents |
Federal National Mortgage Association 3.5% | 1.62 | 12.2 Mil | Securitized |
Japan (Government Of) 0.4% | 1.51 | 11.4 Mil | Government |
Cash Collateral Usd Mlpft | 1.48 | 11.1 Mil | Cash and Equivalents |
Spain (Kingdom of) 2.55% | 1.14 | 8.6 Mil | Government |