Sparinvest Ethical Global Value Mutual Fund (BER6)

Overview

The Sub-Fund is designed to offer investors long-term positive returns through strategic investments primarily in Developed Markets' equity and equity-equivalent securities. With a portfolio that emphasizes at least two-thirds investment in equities and related securities from developed markets, the Sub-Fund seeks to leverage the growth potential and stability of these economies. Furthermore, the Sub-Fund is tailored to diversify its investment approach by including up to one-third of its assets in convertible securities and warrants on transferable securities within the same markets. Its investment strategy is backed by a comprehensive asset eligibility framework, as outlined in Part A of its Prospectus, ensuring a broad yet focused investment horizon in a bid to maximize returns for its stakeholders.

Products and Services

The Sub-Fund offers a range of investment products and services designed to cater to varied investor needs, focusing on long-term capital growth through diversification and strategic asset allocation in Developed Markets. Below is an overview of its primary investment focuses:

• Developed Markets Equity Securities: Investing primarily in stocks and equity-equivalent securities, such as ADRs (American Depositary Receipts) and GDRs (Global Depositary Receipts), which are issued by companies in Developed Markets. This focus aims to capitalize on the economic stability and growth potential these markets offer.
• Convertible Securities and Warrants: To ensure a diversified portfolio and potentially enhanced returns, up to one-third of the Sub-Fund’s assets may be invested in convertible securities and warrants on transferable securities. These instruments offer the potential for income, along with the possibility of capital appreciation, providing a balanced risk-return profile.
• Other Transferable Securities: While the fund primarily targets equity and equity-equivalent securities, there is provision for investment in other transferable securities that do not fit these categories but are considered eligible assets. This allows for flexibility in exploring opportunities beyond traditional equities and derivatives that may contribute to the fund's performance objectives.
• Liquid Assets and Money Market Instruments: The Sub-Fund may allocate a portion of its portfolio to liquid assets and money market instruments with a residual term of up to 12 months. This strategy is aimed at maintaining liquidity within the fund, ensuring that it can meet withdrawal requests while also seeking to capture short-term income opportunities.
• Fixed Income Transferable Securities: A limited extent of the fund’s assets may also be placed in fixed income securities. This component of the portfolio serves as a stabilizing factor, aiming to provide steady income and reduce overall portfolio volatility, thereby complementing the equity investments.