Michiel de Bruin is Head of Global Macro and Portfolio Manager. Prior to joining Robeco in 2018, Michiel was Head of Global Rates and Money Markets at BMO Global Asset Management in London. He held various other positions before that, including Head of Euro Government Bonds. Before he joined BMO in 2003, he was, among others, Head of Fixed Income Trading at Deutsche Bank in Amsterdam. Michiel started his career in the industry in 1986. He holds a post graduate diploma investment analyses from the VU University in Amsterdam and is a Certified EFFAS Analyst (CEFA) charterholder. He holds a Bachelor’s in Applied Sciences from University of Applied Sciences in Amsterdam. Stephan van IJzendoorn is Portfolio Manager and member of Robeco’s Global Macro team. Prior to joining Robeco in 2013, Stephan was employed by F&C Investments as a Portfolio Manager Fixed Income and worked in similar functions at Allianz Global Investors and A&O Services prior to that. Stephan started his career in the Investment Industry in 2003. He holds a Bachelor’s in Financial Management, a Master's in Investment Management from VU University Amsterdam and is Certified European Financial Analyst (CEFA) Charterholder.

The fund is established in Luxembourg and is subject to the Luxembourg tax laws and regulations. The fund is not liable to pay any corporation, income, dividend or capital gains tax in Luxembourg. The fund is subject to an annual subscription tax ('tax d'abonnement') in Luxembourg, which amounts to 0.05% of the net asset value of the fund. This tax is included in the net asset value of the fund. The fund can in principle use the Luxembourg treaty network to partially recover any withholding tax on its income.

The fiscal consequences of investing in this fund depend on the investor's personal situation. For private investors in the Netherlands real interest and dividend income or capital gains received on their investments are not relevant for tax purposes. Each year investors pay income tax on the value of their net assets as at 1 January if and inasmuch as such net assets exceed the investor’s tax-free allowance. Any amount invested in the fund forms part of the investor's net assets. Private investors who are resident outside the Netherlands will not be taxed in the Netherlands on their investments in the fund. However, such investors may be taxed in their country of residence on any income from an investment in this fund based on the applicable national fiscal laws. Other fiscal rules apply to legal entities or professional investors. We advise investors to consult their financial or tax adviser about the tax consequences of an investment in this fund in their specific circumstances before deciding to invest in the fund.

Sustainability is incorporated in the investment process by the means of a target universe, exclusions, ESG integration, and a minimum allocation to ESG-labeled bonds. The fund solely invests in bonds and credits issued by countries and companies with a positive or neutral impact on the SDGs. The impact of issuers on the SDGs is determined by applying Robeco's internally developed three-step SDG Framework. The outcome is a quantified contribution expressed as an SDG score, considering both the contribution to the SDGs (positive, neutral or negative) and the extent of this contribution (high, medium or low).Also, for government and government-related bonds, the fund complies with Robeco’s exclusion policy for countries, excludes the 15% worst ranked countries following the World Governance Indicator 'Control of Corruption'. For corporate bonds, the fund does not invest in credit issuers that are in breach of international norms or where activities have been deemed detrimental to society following Robeco's exclusion policy. Financially material ESG factors are integrated in the bottom-up security analysis to assess the impact on the issuer's fundamental credit quality. Furthermore, the fund invests at least 2,5% in social, sustainable, and/or sustainability-linked bonds. Lastly, where a credit issuer is flagged for breaching international standards in the ongoing monitoring, the issuer will become subject to exclusion.For more information please visit the sustainability-related disclosures.The index used for all sustainability visuals is based on Bloomberg Euro-Aggregate 500MM 1-3 years Index.

Government bond markets returns were mixed over March. The US market posted a small positive return as the 10-year government bond yield remained unchanged at 4.21%, while shorter tenor yields were somewhat lower. German government bonds posted negative returns as the 10-year bund yields rose by 33 basis points to 2.74%, which was the largest month-on-month rise in the Bund yield in over a year. During March, the US administration made abrupt back and forth changes to its trade policy, imposing global tariffs on steel and aluminum and additional tariffs on China, Canada and Mexico. A byproduct of this policy uncertainty was a large drop in US consumer confidence. Meanwhile, in Europe the German government voted in favor of a EUR 500 billion infrastructure fund and also approved extra defense spending. European longer maturity bond yields rose considerably in anticipation of more supply to fund this spending and an improvement in Germany's growth rate. The ECB reduced its policy rate to 2.5%, while the Fed remained on hold at its March meeting.

US policy uncertainty is impacting markets globally as it is becoming clear to policymakers that the international role of the US is changing. Moreover, tariffs lead to a negative shock to growth and increase US inflation (at least as a one-off rise). European countries are stepping up their defense spending and the biggest concern in the short term is the impending trade tensions between the US and Europe. European government bond spreads to Germany performed well, with spreads approaching new lows. We remain cautious with regard to France, as political tensions are bound to return, especially around next year's budget negotiations set for later this year. We remain constructive on Spanish government bonds.