Evli European High Yield IB

The fund primarily invests in euro-denominated bonds issued by European companies and banks, focusing on lower-credit-rated (high yield) bonds with an average credit rating of BB+ or lower. The fund aims to generate returns by taking on substantial credit risk and investing in fixed income instruments with an average duration of 2-6 years.

The fund's exposure is characterized by active portfolio management, deviating from its benchmark index, the ICE BofAML European Currency Developed Markets High Yield Constrained Index. The fund does not follow the benchmark index in its investment operations and may invest in derivatives contracts for hedging purposes and within its investment strategy. ESG factors are integrated into the fund's investment decisions, with certain industries excluded from the investment universe.

Investing in this fund involves substantial credit risk due to the focus on lower-credit-rated bonds. The fund's performance may be significantly impacted by variations in the pricing of credit risk or general interest rate levels. Additionally, the fund's performance may deviate from the benchmark index due to active portfolio management, with the duration of investment instruments potentially diverging from the benchmark index by +/- 3 years.

https://www.evli.com/en/products-and-services/funds/ehy