Objectives and investment policy
The objective of this fund is to generate a return at least equal to the return on the Nordic corporate bonds market. The fund is accumulating.
The fund invests mainly in corporate debt instruments listed or traded on a regulated market and issued by companies domiciled in or with main activity in any Nordic country. Up to 25% of its assets may be invested in covered bonds from Nordic credit institutions.
At least 50% of debt instruments must have a quality corresponding to a credit rating of Baa3/BBB- or higher. The fund is actively managed. The modified duration of the fund shall not exceed benchmark duration plus 2 years. The fund may use financial derivative investments.
The modified duration indicates a.o. the price risk of the bonds the fund invests in. The lower the duration, the more price stable the bonds if interest rates change. The main part of the fund's NAV will be hedged against the base currency of the fund. At least 90% of the fund’s investments must be denominated in or hedged to EUR.
Recommendation: This fund may not be appropriate for investors who plan to withdraw their money within 4 years.