Pictet US High Yield E dy USD Inc

Objective To increase the value of your investment, through income and investment growth. Reference Index ICE BofA US High Yield Index (USD). Used for risk monitoring, performance objective, performance measurement and portfolio composition. Portfolio Assets The Fund mainly invests in US government bonds, in financial derivatives to gain high yield exposure and in money market. Derivatives And Structured Products The Fund may use derivatives to reduce costs and to seek additional gains, and may use derivatives and structured products to gain exposure to portfolio assets. Fund Currency USD Investment Process In actively managing the Fund, the Investment Manager uses a combination of market and issuer analysis to build a diversified portfolio of securities it believes offer the best risk-adjusted returns. The investment manager may invest in issuers with any environmental, social, and governance (ESG) profile and may engage with issuers in order to positively influence ESG practices (SFDR category product Article 6). The performance of the Fund is likely to be fairly similar to that of the reference index, even though the Investment Manager has discretion to deviate from its securities and weightings. Terms to understand Bonds, high yield bonds Securities that represent an obligation to repay a debt, along with interest. High yield (below investment grade) bonds generally pay higher interest rates but are considered less likely to make all scheduled payments. Derivatives Financial instruments whose value is linked to one or more rates, indexes, share prices or other values. Other characteristics Suitable for investors with all levels of knowledge and/or experience, seeking capital growth and income distribution, and who have an investment horizon between 3 and 5 years. This is an accumulation share class, meaning any income earned is retained in the share price. It is also a hedged share class, which means that it is designed to reduce, but not cancel out, the currency risk between the Fund currency and the Share Class currency. Orders to buy, switch or redeem shares are ordinarily processed on any day that is a full bank business day in Luxembourg.The Share Class is assigned to this risk category because of the price variations resulting from its currency and the nature of the Fund's investments and strategy. The risk category shown is based on historical data and may not be a reliable indication for the future risk profile of the Share Class. It is not a target or a guarantee and may change over time. The lowest category does not mean a risk-free investment. The Fund offers no capital guarantee or asset protection measures. The Fund may be exposed to the following risks which are not adequately captured by the synthetic risk indicator and may negatively impact its value: - Counterparty risk: losses occur when a counterparty does not honour its obligations related to contracts such as over-the-counter derivatives. - Credit risk: sudden losses may occur when issuers of debt securities default on their payment obligations. - Financial Derivatives risk: the leverage resulting from derivatives amplifies losses in certain market conditions. - Operational risk: losses resulting from human errors, system failures, incorrect valuation and safekeeping of assets. - Sustainability risk: ESG related risk events or conditions could cause a material negative impact on the value of the investment if they were to occur. Further information can be found in the prospectus.