The objective of this fund is to achieve above-market performance. Dividends are normally distributed to investors each year.
The fund invests mainly in European corporate bonds that have a strong sustainability profile as defined by Environment, Social and Governance (ESG) criteria, including climate change and greenhouse gas emissions.
Specifically, the fund invests at least two-thirds of net assets in corporate bonds that are traded on a regulated market and are issued in OECD countries by companies that comply with international principles for responsible investments and are not active in controversial sectors such as arms and cluster munitions manufacturing, alcohol and pornography.
At least 75% of the sub-fund's assets invested in bonds must have a quality corresponding to a credit rating of Baa3/BBB- or higher.
At least 90% of the fund assets should be invested in bonds denominated in or hedged to EUR.
In actively managing the fund's portfolio, the management team selects securities that appear to offer superior investment characteristics. The fund generally expects that its holdings, and therefore its performance, may differ significantly from those of the benchmark.
The fund may use derivatives for hedging and efficient portfolio management, as well as for investment purposes.
The total modified duration of the fund, including cash, is from 0 to the benchmark duration plus 2 years. The duration indicates among others the price risk of the bonds in which the fund invests. The lower the duration, the more price stable the bonds, if interest rates change.
The main part of the share class' NAV will be hedged against the base currency of the fund. However, the share class remains exposed to the currencies of the investments in the fund.
Recommendation: This fund may not be appropriate for investors who plan to withdraw their money within 3 years.