GlobeNewswire by notified

Volta Finance Limited: Net Asset Value as at 31 March 2022

Share

Volta Finance Limited (VTA / VTAS)March2022 monthly report

NOT FOR RELEASE, DISTRIBUTION, OR PUBLICATION, IN WHOLE OR PART, IN OR INTO THE UNITED STATES

*****
Guernsey, 12April2022

AXA IM has published the Volta Finance Limited (the “Company” or “Volta Finance” or “Volta”) monthly report for March. The full report is attached to this release and will be available on Volta’s website shortly (www.voltafinance.com).

PERFORMANCE and PORTFOLIO ACTIVITY

March saw a good recovery from the losses experienced in February following the Russian invasion of Ukraine. At the end of March, the fund gained 1.5% which leaves the year-to-date performance at -0.8% as some of the uncertainty from the invasion lingers and as consequences on the markets persist.

Turning to the broad asset classes, the monthly performances** were: +1.0% for Bank Balance Sheet transactions, +1.4% for CLO equity tranches; +0.8% for CLO debt; +0.0% for Cash Corporate Credit and ABS (together representing 2.8% of NAV).

In recent weeks, both the US and the European loan markets saw price increases. Relative to end-of-year levels, loan prices are now down by roughly 1% in the US and 1.5% in Europe on average. Similarly, the percentage of loans trading below 85% has barely increased, confirming our initial analysis that there are very few borrowers, both in the European and the US loan markets that have significant exposure (either revenue or production) to the countries directly involved in the crisis (Russia, Ukraine, and Belarus).

The outlook for Volta turns principally, therefore, upon the macro-economic consequences of the war. Especially in Europe, a commodity crisis and the economic sanctions against Russia are increasing recession risks and we lack clarity regarding the length and strength of these issues. In the US, the focus is now more on the abrupt pivot from the US Federal Reserve with a heightened risk of policy error. The Fed is now expected to act rapidly and abruptly to fight against inflation. This is likely to impact housing affordability and household confidence is already declining.

We clearly have entered into a period of more uncertainty and higher volatility in financial markets. As always, it may generate stress with a potential rise in default rates this year and next, but it should also generate opportunities (inside CLOs, buying loans at a discount or new loans with far higher spread and, for Volta being able to purchase BB CLO tranches at an attractive spread).

When looking at the example of the US CLO market, since the Russian invasion on February 24th, the increase of CLO debt spreads (for AAA/AA/A tranches at least) is relatively modest (in the area of 15/20bps) thanks to the solid demand that persists for floating-rate instruments. So that the arbitrage for USD CLO Equity tranches is still good. There has been almost no increase in CCC loan buckets to date and we expect Volta's ongoing cashflows to stay high.

For the 6 months ended March 2022, Volta received €21.3m interest and coupons representing a 16.4% annualized return on NAV. This strong cash flow continues to underpin Volta’s dividend (currently set at 8% of NAV per annum) and provides useful reinvestment opportunities. A dividend of €0.15 per share was declared in March and, at this level, has now almost fully regained the level of dividend payment before Covid. We do not anticipate any negative impacts on cash flows in the foreseeable future.

As at the end of March 2022, Volta’s NAV was €258.3m or €7.06 per share ex-dividend.

*It should be noted that approximately 8.3% of Volta’s GAV comprises investments for which the relevant NAVs as at the month-end date are normally available only after Volta’s NAV has already been published. Volta’s policy is to publish its NAV on as timely a basis as possible to provide shareholders with Volta’s appropriately up-to-date NAV information. Consequently, such investments are valued using the most recently available NAV for each fund or quoted price for such subordinated notes. The most recently available fund NAV or quoted price was 2.0% as at 28 February 2022, 5.7% as at 31January2022, and0.6% as at 30 September 2021.

** “performances of asset classesare calculated as the Dietz-performance of the assets in each bucket, taking into account the Mark-to-Market of the assets at period ends, payments received from the assets over the period, and ignoring changes in cross-currency rates. Nevertheless, some residual currency effects could impact the aggregate value of the portfolio when aggregating each bucket.

CONTACTS

For the Investment Manager
AXA Investment Managers Paris
Serge Demay
serge.demay@axa-im.com

+33 (0) 1 44 45 84 47

Company Secretary and Administrator
BNP Paribas Securities Services S.C.A, Guernsey Branch
guernsey.bp2s.volta.cosec@bnpparibas.com
+44 (0) 1481 750 853

Corporate Broker
Cenkos Securities plc
Andrew Worne
Daniel Balabanoff
+44 (0) 20 7397 8900

*****
ABOUT VOLTA FINANCE LIMITED

Volta Finance Limited is incorporated in Guernsey under The Companies (Guernsey) Law, 2008 (as amended) and listed on Euronext Amsterdam and the London Stock Exchange's Main Market for listed securities. Volta’s home member state for the purposes of the EU Transparency Directive is the Netherlands. As such, Volta is subject to regulation and supervision by the AFM, being the regulator for financial markets in the Netherlands.

Volta’s investment objectives are to preserve capital across the credit cycle and to provide a stable stream of income to its shareholders through dividends. Volta seeks to attain its investment objectives predominantly through diversified investments in structured finance assets. The assets that the Company may invest in either directly or indirectly include, but are not limited to: corporate credits; sovereign and quasi-sovereign debt; residential mortgage loans; and, automobile loans. The Company’s approach to investment is through vehicles and arrangements that essentially provide leveraged exposure to portfolios of such underlying assets. The Company has appointed AXA Investment Managers Paris an investment management company with a division specialised in structured credit, for the investment management of all its assets.

*****

ABOUT AXA INVESTMENT MANAGERS
AXA Investment Managers (AXA IM) is a multi-expert asset management company within the AXA Group, a global leader in financial protection and wealth management. AXA IM is one of the largest European-based asset managers with 2,460 professionals and €887 billion in assets under management as of the end of December 2021.

*****

This press release is published by AXA Investment Managers Paris (“AXA IM”), in its capacity as alternative investment fund manager (within the meaning of Directive 2011/61/EU, the “AIFM Directive”) of Volta Finance Limited (the "Volta Finance") whose portfolio is managed by AXA IM.

This press release is for information only and does not constitute an invitation or inducement to acquire shares in Volta Finance. Its circulation may be prohibited in certain jurisdictions and no recipient may circulate copies of this document in breach of such limitations or restrictions. This document is not an offer for sale of the securities referred to herein in the United States or to persons who are “U.S. persons” for purposes of Regulation S under the U.S. Securities Act of 1933, as amended (the “Securities Act”), or otherwise in circumstances where such offer would be restricted by applicable law. Such securities may not be sold in the United States absent registration or an exemption from registration from the Securities Act. Volta Finance does not intend to register any portion of the offer of such securities in the United States or to conduct a public offering of such securities in the United States.

*****

This communication is only being distributed to and is only directed at (i) persons who are outside the United Kingdom or (ii) investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”) or (iii) high net worth companies, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons together being referred to as “relevant persons”). The securities referred to herein are only available to, and any invitation, offer or agreement to subscribe, purchase or otherwise acquire such securities will be engaged in only with, relevant persons. Any person who is not a relevant person should not act or rely on this document or any of its contents. Past performance cannot be relied on as a guide to future performance.

*****
This press release contains statements that are, or may deemed to be, "forward-looking statements". These forward-looking statements can be identified by the use of forward-looking terminology, including the terms "believes", "anticipated", "expects", "intends", "is/are expected", "may", "will" or "should". They include the statements regarding the level of the dividend, the current market context and its impact on the long-term return of Volta Finance's investments. By their nature, forward-looking statements involve risks and uncertainties and readers are cautioned that any such forward-looking statements are not guarantees of future performance. Volta Finance's actual results, portfolio composition and performance may differ materially from the impression created by the forward-looking statements. AXA IM does not undertake any obligation to publicly update or revise forward-looking statements.

Any target information is based on certain assumptions as to future events which may not prove to be realised. Due to the uncertainty surrounding these future events, the targets are not intended to be and should not be regarded as profits or earnings or any other type of forecasts. There can be no assurance that any of these targets will be achieved. In addition, no assurance can be given that the investment objective will be achieved.

The figures provided that relate to past months or years and past performance cannot be relied on as a guide to future performance or construed as a reliable indicator as to future performance. Throughout this review, the citation of specific trades or strategies is intended to illustrate some of the investment methodologies and philosophies of Volta Finance, as implemented by AXA IM. The historical success or AXA IM’s belief in the future success, of any of these trades or strategies is not indicative of, and has no bearing on, future results.

The valuation of financial assets can vary significantly from the prices that the AXA IM could obtain if it sought to liquidate the positions on behalf of the Volta Finance due to market conditions and general economic environment. Such valuations do not constitute a fairness or similar opinion and should not be regarded as such.

Editor: AXA INVESTMENT MANAGERS PARIS, a company incorporated under the laws of France, having its registered office located at Tour Majunga, 6, Place de la Pyramide - 92800 Puteaux. AXA IMP is authorized by the Autorité des Marchés Financiers under registration number GP92008 as an alternative investment fund manager within the meaning of the AIFM Directive.

*****

Attachment

To view this piece of content from www.globenewswire.com, please give your consent at the top of this page.
To view this piece of content from ml-eu.globenewswire.com, please give your consent at the top of this page.

About GlobeNewswire by notified

GlobeNewswire by notified
GlobeNewswire by notified
One Liberty Plaza - 165 Broadway
NY 10006 New York

https://notified.com

GlobeNewswire by notified is one of the world's largest newswire distribution networks, specializing in the delivery of corporate press releases financial disclosures and multimedia content to the media, investment community, individual investors and the general public.

Subscribe to releases from GlobeNewswire by notified

Subscribe to all the latest releases from GlobeNewswire by notified by registering your e-mail address below. You can unsubscribe at any time.

Latest releases from GlobeNewswire by notified

Vow ASA: Minutes of Annual General Meeting19.5.2022 12:40:04 CEST | Press release

The annual general meeting of Vow ASA was held today on 19 May 2022 at the company's premises at Lysaker Torg 12, 1366 Lysaker, Norway. All matters on the agenda were approved, cf. the notice of the Annual General Meeting that was published on 28 April 2022. The complete minutes are attached to this release. For further information, please contact: Erik Magelssen, CFO, Vow ASA Tel: +47 928 88 728 Email: erik.magelssen@vowasa.com About Vow Vow and its subsidiaries Scanship, C.H. Evensen and Etia are passionate about preventing pollution. The company’s world leading solutions convert biomass and waste into valuable resources and generate clean energy for a wide range of industries. Cruise ships on every ocean have Vow technology inside which processes waste and purifies wastewater. Fish farmers are adopting similar solutions, and public utilities and industries use our solutions for sludge processing, waste management and biogas production on land. With advanced technologies and solution

Bavarian Nordic modtager vaccineordre fra europæisk land efter bekræftede tilfælde af abekopper19.5.2022 11:46:42 CEST | pressemeddelelse

KØBENHAVN, Danmark, 19. maj 2022 – Bavarian Nordic A/S (OMX: BAVA) meddelte i dag, at selskabet har indgået en kontrakt med et unavngivet europæisk land vedrørende levering af koppevaccinen IMVANEX® i forbindelse med nye tilfælde af abekopper, der er identificeret i løbet af maj 2022. Det første europæiske tilfælde blev bekræftet den 7. maj 2022 hos en person, der vendte hjem fra en rejse til Nigeria, hvor abekopper er naturligt forekommende. Efterfølgende er der bekræftet mere end 20 tilfælde i England, Portugal og Spanien, og flere formodede tilfælde er ved at blive undersøgt. De fleste infektioner lader til at være sket lokalt i de tre lande. I USA er der bekræftet et enkelt tilfælde hos en rejsende fra Canada, hvor der endnu ikke foreligger bekræftede tilfælde, men adskillige formodede tilfælde er ved at blive undersøgt. Bavarian Nordics koppevaccine er godkendt i USA under navnet JYNNEOS® og i Canada under navnet IMVAMUNE®. I begge lande er godkendelsen udvidet til at omfatte abek

Bavarian Nordic Secures Vaccine Order from European Country After Confirmed Monkeypox Cases19.5.2022 11:46:42 CEST | Press release

COPENHAGEN, Denmark, May 19, 2022 – Bavarian Nordic A/S (OMX: BAVA) announced today that the Company has secured a contract with an undisclosed European country to supply its IMVANEX® smallpox vaccine in response to new cases of monkeypox evolving during May 2022. The first European case was confirmed on May 7, 2022, in an individual who returned from a travel to Nigeria, where monkeypox is endemic. Subsequently, more than 20 cases have been confirmed across England, Portugal and Spain with additional suspected cases currently being investigated. Evidence points to that most of the infections have been acquired locally in these countries. In the US, a single case has been confirmed in a traveler from Canada, where no cases are yet confirmed, but several remain under investigation. Bavarian Nordic’s smallpox vaccine is approved in the U.S. as JYNNEOS® and in Canada as IMVAMUNE®, both places with the approval extended to cover the monkeypox indication. The vaccine is approved in Europe a

XPENG Oslo Experience Store Now Open With XPENG G3i and XPENG P5 Available for Local Test Drives19.5.2022 11:00:00 CEST | Press release

XPENG opens its first Brand Experience Store in the Bjørvika area of downtown Oslo on May 19, 2022.The launch of the fully electric XPENG P5 and XPENG G3i makes Norway the first European country to boast the full range of XPENG EVs. Local test drives are now available to customers.XPENG, in June this year, will be participating in the 35th International Electric Vehicle Symposium (EVS35) 2022, the world’s largest international EV event live from Oslo. OSLO, Norway, May 19, 2022 (GLOBE NEWSWIRE) -- XPENG, a leading electric vehicle manufacturer, is taking the next step in its European expansion by opening its first Norwegian Brand Experience Store in the Bjørvika area of Oslo on May 19. This coincides with the official launch of the brand's two latest models, XPENG G3i and XPENG P5. Establishing a Local Presence XPENG is one of the early adopters of a disruptive retail model in the European market, combining direct, in-store sales with wider agency collaboration. In the Oslo Brand Exper

IBFD launches the 2021 Yearbook on Taxpayers’ Rights19.5.2022 10:00:00 CEST | Press release

Today, IBFD launches the 2021 Yearbook on the Protection of Taxpayers’ Rights (OPTR). The book is a compilation of up-to-date information on the effective protection of taxpayers’ rights. AMSTERDAM, May 19, 2022 (GLOBE NEWSWIRE) -- Prof. Dr Pasquale Pistone and Prof. Dr Philip Baker, Directors of IBFD’s OPTR, will present the Yearbook at the 7th International Conference on Taxpayer Rights, hosted by the Center for Taxpayer Rights, explaining some of the main events and trends that arose last year in the protection of taxpayers’ rights around the world. Click here to watch the video. The OPTR reports on the protection of taxpayers’ fundamental rights around the world. The precise and technical information of the OPTR contains reference to taxpayer bills, conventions and statutes, including their judicial and administrative interpretation, which explore how states apply this protection in practice. The OPTR serves as a unique legal basis for developing further research on the legal remed