Important information regarding the consequences of the low interest rate environment

Please note that this type of bond fund is at risk of yielding a very low or even negative return in the coming years due to the generally low level of interest rate at present. However, the final return will be dependent on your investment horizon, market developments and how interest rates and bond yields develop in the coming years.

This bond fund may have a stabilising effect if it is an integral element in an investment portfolio that also includes equity funds. 

The stabilising effect could be in the event of equities falling in value, in which case this bond fund may help mitigate your overall loss. Hence, in a larger portfolio context, this bond fund may continue to be beneficial.

We always recommend that you discuss the suitability of an investment with your advisor before you invest.