Fixed Income Monthly Comments - February 2026

‍Strata Credit Fund

During February risk sentiment wavered amid renewed tariff policy uncertainty and growing concerns over AI’s potential impact on corporate profitability. At the same time, geopolitical risks have further escalated towards the end of the month due to the ongoing conflict involving Iran, the United States, and Israel.

Recent US data reinforced the view that the labour market remains resilient, supporting the soft-landing narrative while the ECB has increasingly acknowledged downside risks to growth and inflation, with euro strength reinforcing the disinflationary impulse.

The technology sector came under pressure as investors reassessed valuations across parts of the AI-related complex. Following a prolonged period of strong performance and increasingly crowded positioning, concerns regarding the pace of monetisation, the sustainability of the CAPEX cycle, and the longer-term implications of AI-driven substitution triggered profit-taking across several names.

Portfolio positioning remains highly barbelled, with an above-average allocation to cash and short-dated risk instruments. We have continued to de-risk in recent months while maintaining a hedging strategy focused on maximising efficiency within our credit options book. Our conviction remains that market dispersion is set to increase and volatility will increase in the near term. Accordingly, we are inclined to selectively add risk during potential market sell-offs. As always, rigorous credit analysis and active portfolio management remain critical to delivering attractive risk-adjusted returns over the medium term.

Global Bond Total Return

February proved to be a supportive month for Fixed Income markets as investors sought safety amidst mixed economic signals. Global sovereign yields retreated significantly from their January highs; the US 10-year Treasury yield fell by approximately 25 basis points to close near 4.00%, while the German Bund followed a similar trajectory, dropping to around 2.64%. In foreign exchange, the US Dollar strengthened modestly against the Euro as growth divergence favoured the greenback. Meanwhile, global investment grade spreads, though hovering lows, experienced slight widening as risk appetite paused.

At the portfolio level, duration and FX contributed positively, with a strong contribution from rates as the fund benefitted from the rally in government bonds. Credit on its side was a small detractor due to the marginal widening in spreads. Overall duration has remained stable above 5 years with the bulk of exposure in EUR and in GBP.

By month-end, the RAM (Lux) Tactical Funds – Global Bond Total Return Fund’s (Class B USD*) maintained a duration of 5.2 years, an average credit quality of A+, and a yield of 4.6%.**

*The performance is gross of management fees and operational costs (0.60% management fee and 0.40% of operational costs, for a TER of approximately 1%). Past performance is not a reliable indicator of future returns.

** Credit Rating: is a parameter used by banks and lending institutions to determine whether an applicant is deserving of the confidence necessary for the granting of a loan. This parameter makes it possible to measure the risk of consumer default and determine the economic conditions applicable to consumers. The highest rating is indicated by the letters: AAA. This is the indication of highest financial security. This is followed by: AA, A, BBB, BB, etc. The lowest credit rating corresponds to the letter C. This letter identifies a high risk of financial default and is a figure taken into great consideration by each lending institution.

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The Strata Credit Fund is a Sub-Fund of RAM (Lux) Tactical Funds II, a Luxembourg SICAV with registered office: 14, Boulevard Royal L-2449 Luxembourg, approved by the CSSF and constituting a UCITS (Directive 2009/65/EC). The sub-fund STRATA CREDIT FUND was created in the RAM (LUX) Tactical Funds II SICAV to receive the PALLADIUM FCP – RAM Mediobanca Strata UCITS Credit Fund sub-fund. The transfer was effective on 30th May 2024.

Please note that the performance shown reflects periods before the Sub-Fund’s transfer and was achieved under different regulatory and operational conditions, which may no longer apply. Notwithstanding this, the performance is based on investment objectives and policies that have not materially changed following the sub-fund's transfer and is attributable to investment objectives, policies, restrictions, and strategies that are compliant with UCITS regulations. The investment management function remains consistent, with no changes to the team responsible for managing the fund after the transfer. Importantly, there has been no material change in the level of fees charged to investors as a result of this transfer. For further information, please refer to the Prospectus.

The RAM (Lux) Tactical Funds – Global Bond Total Return is a Sub-Fund of RAM (Lux) Tactical Funds a Luxembourg SICAV with registered office: 14, Boulevard Royal L-2449 Luxembourg, approved by the CSSF and constituting a UCITS (Directive 2009/65/EC).

Please note that the share classes mentioned in this document may not be registered in your country of domicile.

This marketing document is only provided for information purposes to professional clients, and it does not constitute an offer, investment advice or a solicitation to subscribe shares in any jurisdiction where such an offer or solicitation would not be authorised or it would be unlawful. In particular, the Funds are not offered for sale in the United States or its territories and possessions, nor to any US Person (citizens or residents of the United States of America).

This document is confidential and is intended only for the use of the person to whom it was delivered; it may not be reproduced or distributed.

There is no guarantee that the holdings shown will be held in the future. The investment described concerns the acquisition of shares in the Sub-Fund and not in a specific underlying asset.

Past performance is not a guide to current or future results. There is no guarantee to get back the full amount invested. The performance data do not take into account fees and expenses charged on subscription and redemption of shares nor any taxes that may be levied. As a subscription fee calculation example, if an investor invests EUR 1000 in a fund with a subscription fee of 5%, the investor will pay to his financial intermediary EUR 50.00 on the investment amount, resulting with a subscribed amount of EUR 950.00 in fund shares. In addition, potential account keeping costs (by investor’s custodian) may reduce the performance. Some shares in the Sub-Fund apply a performance fee. Leverage intensifies the risk of potential increased losses or returns.

The Management Company may decide to terminate the marketing arrangement in place in any given country in accordance with Article 93a of Directive 2009/65/EC.

Changes in exchange rates may cause the NAV per share in the investor's base currency to fluctuate.

Particular attention is paid to the contents of this document but no guarantee, warranty or representation, express or implied, is given to the accuracy, correctness or completeness thereof.

Prior to any transaction, clients should check whether it is suited to their personal situation, and analyse the specific risks incurred, especially financial, legal and tax risks, and consult professional advisers if necessary.

Please refer to the Key Investor Information Document and prospectus with special attention to the risk warnings before investing. This Sub-Fund is classified as art.8 SFDR. For further information on ESG, please refer to

https://www.ram-ai.com/en/regulatory-information and the relevant Sub-Fund webpage, section "Sustainability-related disclosures".

The prospectus, constitutive documents and financial reports are available in English and French while PRIIPs KID are available in the relevant local languages. These documents can be obtained, free of charge, from the SICAVs’ and Management Company’s head office and www.ram-ai.com, its representative and distributor in Switzerland, RAM Active Investments S.A. and the relevant local representatives in the distribution countries.

Issued in Switzerland by RAM Active Investments S.A. which is authorised and regulated in Switzerland by the Swiss Financial Market Supervisory Authority (FINMA). Issued in the European Union and the EEA by the authorised and regulated Management Company, Mediobanca Management Company S.A. 2 Boulevard de la Foire, 1528, Luxembourg, Grand Duchy of Luxembourg.

The source of the above-mentioned information (except if stated otherwise) is RAM Active Investments and the date of reference is the date of this document.

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