AZ Fund 1 AZ Alternative - Arbitrage A-Institutional EUR Acc

Objective: The objective of the Fund is to earn income and increase the value of the Shareholder's investment while delivering a return equivalent to the Bloomberg Global High Yield Bond Excl CMBS & EMG 2% Cap 1-5 Year Maturity Index over the long term (5 years or more). Investment Policy: The Fund invests primarily in high yield bonds with a maturity of 5 years or less that are issued by corporations anywhere in the world, with an emphasis on North America and Europe. Specifically the Fund generally invests in bonds that are rated below BBB- by Standard and Poor's or Baa3 by Moody's, or unrated securities that the Management Company considers to be of equivalent credit quality. The Sub-Fund may invest in shares or units of UCITS or other UCIs, money market investments and bank deposits and may also invest up to 10% of total net assets in Additional tier-1 (AT1) and contingent convertible bonds, but not in convertible securities. Derivatives and Techniques: The Fund may use derivatives for investment purposes and also for hedging and for efficient portfolio management. Securities lending: Expected level: 10% of total net assets; maximum: 20%. Underlying securities in scope: bonds. Strategy: The investment process includes consideration of environmental, social and governance (ESG) criteria. The Investment Manager will exclude direct investments in companies which manufacture products that seek to do harm when used as intended. This would include: Companies manufacturing tobacco products. Sustainability Disclosures: This Fund promotes environmental and social characteristics however does not have a sustainable investment objective. To be eligible for investment, all investments that are selected as part of the Investment Manager's ESG analysis must follow good governance practices and not be excluded by the Investment Manager's ESG Baseline Exclusions Policy. The Investment Manager actively engages with companies and uses voting rights with the aim of positively influencing company behaviour and helping to create competitive returns. The Investment Manager integrates qualitative and quantitative data on adverse sustainability impacts into its investment processes. The Fund does not make any minimum commitment to invest in one or more environmentally sustainable investments. Further information regarding how the Investment Manager integrates ESG into its investment approach (including information on its ESG Baseline Exclusions Policy) and how it engages with companies is available in the Responsible Investment Philosophy section and on the website www. avivainvestors.com. Benchmark (performance comparison): The Fund's performance is compared against the Bloomberg Global High Yield Bond Excl CMBS & EMG 2% Cap 1-5 Year Maturity Index (the “Benchmark” or the “Index”), however the reference benchmark is not aligned with all of the environmental or social characteristics promoted by the Fund. The Fund does not base its investment process upon the Index which is only a representation of the investment universe. Therefore the Fund will hold bonds that are not part of the Index and will only hold a relatively small proportion of bonds relative to the number in the Index. The Fund is expected to operate with lower volatility than the Benchmark over the long term. The Investment Manager actively makes the investment selection decisions for the Fund. You can buy and sell shares on demand on any full bank business day in Luxembourg. The portfolio and benchmark will be hedged to the base currency of the Fund; the base currency of this Fund is USD. Recommendation: this Fund may not be appropriate for investors who plan to withdraw their money within 5 years. This is an income share class and any distributions from the Fund will be paid to you. This is a hedged share class, and due to interest rate differential and costs associated with performing the hedging activity, it may have different performance to the equivalent share class in the base currency. For full investment objectives and policy details please refer to the Prospectus.