Raiffeisen Etalon Fund

With its actively managed portfolio the Fund invests in the global equity markets along a total return investment strategy.

What does the total returtn investment strategy mean?

Although the fund looks for investment opportunities on the global equity markets, it is not a pure equity fund. There isn’t any dedicated equity weight, the portfolio manager can decide on the equity risk taken according to the market outlook and his own expectations. If the market situations were seemed unfavourable, the fund can decrease its equity exposure. The fund manager complements the equity portfolio with derivative positions which reflects to his macroeconomic expectations.

Investment policy

The goal of the fund is to create a portfolio which includes underrated, unique equities, sectors, and countries. The equities of the fund are selected by the portfolio manager from the companies which are expected to grow during the recommended investment period. The fund contains unique, non-correlated investment ideas and the fund is not limited to geographic regions or industries. The portfolio manager and the equity analysts regularly review whether the factors which supported the inclusion in the portfolio still exist in the case of companies or not.

Risk management

The value-at-risk (VaR) model provides a strict risk management to the fund which is unique among the domestic total return funds. The model helps to show the maximum expected loss of the assets in the fund under normal market conditions, with a given probability, during a given period. The Fund Manager set the VaR limit to 34,9%  so the expected loss can  not exceed 34.9% p.a. (with a probability of 99%).

We recommend this fund to an investor who…

• expects a higher return than money market assets in the medium term;
• believes in the higher yield potential of a selected equity portfolio;
• is able and willing to take moderate risk for the possibility of additional returns (4/7);
• expects a high level of liquidity; 
• is looking for a comfortable form of savings.

Benefits of the fund

• unique equities selection;
• investment ideas which are not correlating to each other;
• strict risk management (via VaR modell);
• active portfolio management; 
• total return investment strategy

Available share classes

Besides HUF the Fund provides share classes denominated in EUR and USD (‘E’ and ‘U’ series), so it can be a favourable solution to achieve long-term financial goals for investors saving in EUR and USD.

Factsheet