Fixed Income

QMM Actively Managed Global High Yield Corporate Bond Fund

Overview

Important Information: Capital at Risk. The value of investments and the income from them can fall as well as rise and are not guaranteed. Investors may not get back the amount originally invested.

The Fund seeks to exclude companies engaging in certain activities inconsistent with ESG criteria. Investors should therefore make a personal ethical assessment of the Fund’s ESG screening prior to investing in the Fund. Such ESG screening may adversely affect the value of the Fund’s investments compared to a fund without such screening. Changes to interest rates, credit risk and/or issuer defaults will have a significant impact on the performance of fixed income securities. Non-investment grade fixed income securities can be more sensitive to changes in these risks than higher rated fixed income securities. Potential or actual credit rating downgrades may increase the level of risk. Derivatives may be highly sensitive to changes in the value of the asset on which they are based and can increase the size of losses and gains, resulting in greater fluctuations in the value of the Fund. The impact to the Fund can be greater where derivatives are used in an extensive or complex way. Asset backed securities and mortgage backed securities are subject to the same risks described for fixed income securities. These instruments may be subject to 'Liquidity Risk', have high levels of borrowing and may not fully reflect the value of underlying assets.
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Performance

Performance

Distributions

Ex-Date Total Distribution
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Returns not available as there is less than one year’s performance data.

The figures shown relate to past performance. Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past

Share Class and Benchmark performance displayed in EUR, hedged share class benchmark performance is displayed in EUR.

Performance is shown on a Net Asset Value (NAV) basis, with gross income reinvested where applicable. The return of your investment may increase or decrease as a result of currency fluctuations if your investment is made in a currency other than that used in the past performance calculation. Source: Blackrock

Key Facts

Key Facts

Net Assets of Fund
as of 10.12.2024
EUR 400 209 505
Fund Launch Date
23.04.2024
Fund Base Currency
EUR
Comparator Benchmark 1
BBG MSCI Global Corp HY SRI Screened Select EUR Hedge Index
Initial Charge
0,00%
Management Fee
0,36%
Performance Fee
0,00%
Use of Income
Distributing
Regulatory Structure
UCITS
Morningstar Category
-
Dealing Frequency
Daily, forward pricing basis
SEDOL
BMCMTW2
Share Class launch date
23.04.2024
Share Class Currency
EUR
Asset Class
Fixed Income
SFDR Classification
Article 8
Ongoing Charges Figures
0,42%
ISIN
IE0003FZG5A3
Distribution Frequency
-
Domicile
Ireland
Management Company
BlackRock Asset Management Ireland Limited
Dealing Settlement
Trade Date + 2 days
Bloomberg Ticker
QMAGHQE

Portfolio Characteristics

Portfolio Characteristics

Number of Holdings
as of 29.11.2024
431
Standard Deviation (3y)
as of -
-
Yield to Maturity
as of 29.11.2024
6,41
Weighted Average YTM
as of 29.11.2024
6,19%
Weighted Avg Maturity
as of 29.11.2024
4,03
12 Month Trailing Dividend Distribution Yield
as of 30.11.2024
-
3y Beta
as of -
-
Modified Duration
as of 29.11.2024
3,65
Effective Duration
as of 29.11.2024
1,79
WAL to Worst
as of 29.11.2024
4,03

Sustainability Characteristics

Sustainability Characteristics

Sustainability Characteristics provide investors with specific non-traditional metrics. Alongside other metrics and information, these enable investors to evaluate funds on certain environmental, social and governance characteristics. Sustainability Characteristics do not provide an indication of current or future performance nor do they represent the potential risk and reward profile of a fund. They are provided for transparency and for information purposes only. Sustainability Characteristics should not be considered solely or in isolation, but instead are one type of information that investors may wish to consider when assessing a fund.

The metrics are not indicative of how or whether ESG factors will be integrated into a fund. Unless otherwise stated in fund documentation and included within a fund’s investment objective, the metrics do not change a fund’s investment objective or constrain the fund’s investable universe, and there is no indication that an ESG or Impact focused investment strategy or exclusionary screens will be adopted by a fund. For more information regarding a fund's investment strategy, please see the fund's prospectus.

Review the MSCI methodologies behind Sustainability Characteristics using the links below.

MSCI ESG Fund Rating (AAA-CCC)
as of 21.11.2024
BBB
MSCI ESG Quality Score (0-10)
as of 21.11.2024
5,71
Fund Lipper Global Classification
as of 21.11.2024
Bond Global High Yield EUR
MSCI Weighted Average Carbon Intensity (Tons CO2E/$M SALES)
as of 21.11.2024
92,24
MSCI ESG % Coverage
as of 21.11.2024
75,42
MSCI ESG Quality Score - Peer Percentile
as of 21.11.2024
23,53
Funds in Peer Group
as of 21.11.2024
85
MSCI Weighted Average Carbon Intensity % Coverage
as of 21.11.2024
74,50
All data is from MSCI ESG Fund Ratings as of 21.11.2024, based on holdings as of 30.06.2024. As such, the fund’s sustainable characteristics may differ from MSCI ESG Fund Ratings from time to time.

To be included in MSCI ESG Fund Ratings, 65% (or 50% for bond funds and money market funds) of the fund’s gross weight must come from securities with ESG coverage by MSCI ESG Research (certain cash positions and other asset types deemed not relevant for ESG analysis by MSCI are removed prior to calculating a fund’s gross weight; the absolute values of short positions are included but treated as uncovered), the fund’s holdings date must be less than one year old, and the fund must have at least ten securities.

Business Involvement

Business Involvement

Business Involvement metrics can help investors gain a more comprehensive view of specific activities in which a fund may be exposed through its investments.


Business Involvement metrics are not indicative of a fund’s investment objective, and, unless otherwise stated in fund documentation and included within a fund’s investment objective, do not change a fund’s investment objective or constrain the fund’s investable universe, and there is no indication that an ESG or Impact focused investment strategy or exclusionary screens will be adopted by a fund. For more information regarding a fund's investment strategy, please see the fund's prospectus.


Review the MSCI methodology behind the Business Involvement metrics, using links below.

MSCI - Controversial Weapons
as of 29.11.2024
0,00%
MSCI - Nuclear Weapons
as of 29.11.2024
0,00%
MSCI - Civilian Firearms
as of 29.11.2024
0,00%
MSCI - Tobacco
as of 29.11.2024
0,00%
MSCI - UN Global Compact Violators
as of 29.11.2024
0,00%
MSCI - Thermal Coal
as of 29.11.2024
0,00%
MSCI - Oil Sands
as of 29.11.2024
0,00%

Business Involvement Coverage
as of 29.11.2024
47,00%
Percentage of Fund not covered
as of 29.11.2024
52,85%
BlackRock business involvement exposures as shown above for Thermal Coal and Oil Sands are calculated and reported for companies that generate more than 5% of revenue from thermal coal or oil sands as defined by MSCI ESG Research. For the exposure to companies that generate any revenue from thermal coal or oil sands (at a 0% revenue threshold), as defined by MSCI ESG Research, it is as follows: Thermal Coal 0,00% and for Oil Sands 0,00%.

Business Involvement metrics are calculated by BlackRock using data from MSCI ESG Research which provides a profile of each company’s specific business involvement. BlackRock leverages this data to provide a summed up view across holdings and translates it to a fund's market value exposure to the listed Business Involvement areas above.


Business Involvement metrics are designed only to identify companies where MSCI has conducted research and identified as having involvement in the covered activity. As a result, it is possible there is additional involvement in these covered activities where MSCI does not have coverage. This information should not be used to produce comprehensive lists of companies without involvement. Business Involvement metrics are only displayed if at least 1% of the fund’s gross weight includes securities covered by MSCI ESG Research.

ESG Integration

ESG Integration

BlackRock considers many investment risks in our processes. In order to seek the best risk-adjusted returns for our clients, we manage material risks and opportunities that could impact portfolios, including financially material Environmental, Social and/or Governance (ESG) data or information, where available. See our Firm Wide ESG Integration Statement for more information on this approach and fund documentation for how these material risks are considered within this product, where applicable.

Sustainability-related Disclosure

Sustainability-related Disclosure

This section provides sustainability-related information about the Fund, pursuant to Article 10 SFDR.

A. Summary

The Fund promotes environmental or social characteristics, but does not have as its objective sustainable investments. The Fund partially invests in Sustainable Investments. BlackRock defines Sustainable Investments as investments in issuers or securities that contribute to an environmental or social objective, do not significantly harm any of those objectives and where investee companies follow good governance practices. BlackRock refers to relevant sustainability frameworks to identify the alignment of the investment to environmental or social objectives. Sustainable Investments should also meet the do no significant harm (DNSH) requirements, as defined by applicable law and regulation. BlackRock has developed a set of criteria to assess whether an issuer or investment does significant harm. The Fund seeks to: apply a set of exclusionary screens.

The Fund seeks to outperform the Bloomberg MSCI Global Corporate High Yield SRI Screened Select Index (Euro Hedged) over a rolling 3-year period while seeking to maximise the opportunities and minimise the potential risks associated with certain ESG themes and considerations.The binding elements of the investment strategy are as follows: 1.Maintain at least 20% of the Fund’s portfolio in Sustainable Investments; 2. Apply the exclusionary screens based on the environmental, social and governance (ESG) related characteristics; 3. In addition to the above, the Investment Manager intends to limit and/or exclude direct investment (as applicable) in sovereign issuers and related local authority issuers, which are identified, using available data from an ESG research provider, as being deemed to: be involved in social violations and as such may be subject to broad arms embargoes imposed through UN sanctions; be lower ranking issuers in the BlackRock Sovereign Sustainable Index; be lower ranking issuers as assessed by the JPMorgan ESGMethodology; and be higher ranking issuers in the Global Peace Index. The Fund considers PAIs on sustainability factors through the application of its exclusionary policy.

A minimum of 85% of the Fund’s total assets will be invested in investments that are aligned with the environmental and/or social characteristics. Of these investments, a minimum of 20% of the Fund’s total assets will be invested in Sustainable Investments, and the remainder will be invested in investments aligned with other environmental and/or social characteristics. The Fund may invest up to 15% of its total assets in other investments. The Fund does not currently commit to investing more than 0% of its assets in sustainable investments with an environmental objective aligned with the EU Taxonomy.

The Fund does not currently commit to invest in fossil gas and/or nuclear energy related activities that comply with the EU Taxonomy.

BlackRock has developed a highly automated compliance process to help ensure that the Fund is managed in accordance with its stated investment guidelines and applicable regulatory requirements. This includes monitoring of the environmental or social characteristics of the Fund in accordance with the relevant methodology. BlackRock has developed a proprietary methodology for determining Sustainable Investments and the Fund uses a number of other methodologies to measure how the social or environmental characteristics promoted by the Fund are met.

BlackRock Portfolio Managers have access to research, data, tools, and analytics to integrate ESG insights into their investment process. ESG datasets are sourced from external third-party data providers, including but not limited to MSCI, Sustainalytics, Refinitiv, S&P and Clarity AI. BlackRock applies a comprehensive due diligence process to evaluate provider offerings with highly targeted methodology reviews and coverage assessments based on the sustainable investment strategy of the product. Data, including ESG data, received through our existing interfaces, and then processed through a series of quality control and completeness checks which seeks to ensure that data is high-quality data before being made available for use downstream within BlackRock systems and applications, such as Aladdin. BlackRock strives to capture as much reported data from companies via 3rd party data providers as practicable, however, industry standards around disclosure frameworks are still evolving, particularly with respect to forward looking indicators. As a result, in certain cases we rely on estimated or proxy measures from data providers to cover our broad investible universe of issuers.

BlackRock continues to monitor developments in the EU's ongoing implementation of its framework for sustainable investing and its investment methodologies seeking to ensure alignment as the regulatory environment changes. ESG data sets are constantly changing and improving as disclosure standards, regulatory frameworks and industry practice evolve. BlackRock continues to work with a broad range of market participants to improve data quality. Sustainable investing and understanding of sustainability is evolving along with the data environment. Industry participants face challenges in identifying a single metric or set of standardized metrics to provide a complete view on a company or an investment. BlackRock has therefore established a framework to identify sustainable investments.

BlackRock applies a high standard of due diligence in the selection and ongoing monitoring of investments made by the Fund for the purpose of compliance with the investment, liquidity and risk guidelines of the Fund, as well as the sustainability risk and ESG criteria and general performance.

Engagement with companies in which we invest our clients’ assets occurs at multiple levels within BlackRock. Where investment teams chooses to leverage engagement, this can take a variety of forms but, in essence, the portfolio management team would seek to have regular and continuing dialogue with executives or board directors of engaged investee companies to advance sound governance and sustainable business practices targeted at the identified ESG characteristics and principal adverse indicators, as well as to understand the effectiveness of the company’s management and oversight of activities designed to address the identified ESG issues. Engagement also allows the portfolio management team to provide feedback on company practices and disclosures.

There is no specific index designated as a reference benchmark to determine whether this Fund is aligned with the environmental and/or social characteristics that it promotes.

B. No sustainable investment objective

This Fund promotes environmental or social characteristics, but does not have as its objective sustainable investment.

Sustainable Investments meet the DNSH requirements, as defined by applicable law and regulation. BlackRock has developed a set of criteria across all Sustainable Investments to assess whether an investment does significant harm which consider both third-party data points as well as fundamental insights. Investments are screened against these criteria using system-based controls and any which are considered to be causing significant harm do not qualify as Sustainable Investments. BlackRock assesses the indicators for adverse impacts on sustainability factors for each type of investment as defined by the regulation. Criteria for adverse impacts are assessed using third-party vendor data regarding an investment’s business involvement (in specific activities identified as having negative environmental or social impacts) or environmental or social controversies to exclude investments which BlackRock has determined are harmful to sustainability indicators subject to limited exceptions, for example, where the data is determined to be inaccurate or not up to date. Where no data is available, or it is substantially incomplete, fundamental analysis will be undertaken using reasonable efforts to identify impacts which BlackRock determines to be harmful to the sustainability indicators.

The indicators for adverse impacts on sustainability factors for each type of investment are assessed using BlackRock’s Sustainable Investments proprietary methodology. BlackRock uses third-party data and/or fundamental analysis to identify investments which negatively impact sustainability factors and cause significant harm.

Sustainable Investments are assessed to consider any detrimental impacts and ensure compliance with international standards of the OECD Guidelines for Multinational Enterprises and the UN Guiding Principles on Business and Human Rights, including the principles and rights set out in the eight fundamental conventions identified in the Declaration of the International Labour Organisation on Fundamental Principles and Rights at Work and the International Bill of Human Rights. Issuers deemed to have violated these conventions are not considered as Sustainable Investments.

C. Environmental or social characteristics of the financial product

The Fund aims to promote environmental characteristics related to reducing non-renewable natural resource utilisation and pollution by excluding direct investments in companies involved in, for example, coal extraction, coal power generation, oil and gas production and involved in severe controversies relating to, for example, biodiversity and land use, and water stress.

The Fund also aims to promote social characteristics related to (a) reduction of the availability of weapons by excluding direct investment in companies involved in the production of weapons (including, but not limited to, civilian firearms, civilian small arms, cluster munitions, anti-personnel mines, white phosphorus used in incendiary weapons or munitions, depleted uranium munitions, biological, chemical and nuclear weapons), (b) better health and well-being by excluding direct investment in companies involved in, for example, tobacco production and supply of tobacco related products, alcohol production and supply of alcohol-related products, the operation of gambling related activities and the production and distribution of adult entertainment, and (c) support for human rights, labour standards, the environment and anti-corruption by excluding direct investment in issuers deemed to have failed to comply with the 10 UN Global Compact Principles.

The definition of “involved” in relation to each activity may be based on generating or deriving a revenue from the activity that exceeds a percentage of revenue or a defined total revenue threshold, or any exposure to the activity regardless of the amount of revenue received. Further detail is included in the response to the question “What are the binding elements of the investment strategy used to select the investments to attain each of the environmental or social characteristics promoted by this financial product?” below.

The Fund invests at least 20% of its holdings in “Sustainable Investments”, as determined by the Investment Manager, which contribute to the objectives outlined below and which are aligned with the environmental and/or social characteristics being promoted by the Fund.

The Fund does not use a reference benchmark for the purposes of attaining the environmental and/or social characteristics that it promotes.

D. Investment strategy

The Fund seeks to outperform the Bloomberg MSCI Global Corporate High Yield SRI Screened Select Index (Euro Hedged) over a rolling 3-year period while seeking to maximise the opportunities and minimise the potential risks associated with certain ESG themes and considerations. In order to achieve this investment objective, subject to the investment restrictions in Appendix D of the Prospectus, the investment policy of the Fund is to invest at least 80% of its Net Asset Value in fixed income securities (e.g. bonds, notes and debentures), including fixed income securities which are not registered with the Securities Exchange Commission (namely Reg S securities and 144A securities), and instruments relating to fixed income securities and/or instruments (namely options, futures, forwards, currency swaps, interest rate swaps and credit default swaps (including credit default swap indices)) issued in global developed markets and emerging markets by corporate issuers or government-related issuers (including governments, foreign agencies, supranational bodies and local authorities). Such fixed income securities and fixed income related securities will be below investment grade or unrated. The Fund does not have any industry focus. The Fund will not invest in bank loans.

The Fund will also seek to invest in Sustainable Investments and the fixed income securities and instruments relating to fixed income securities in which the Fund invests, are subject to the Exclusionary Policy set out in Appendix A of the Supplement.

The Fund may invest up to 25% of its Net Asset Value in emerging markets. Please refer to the risk factors in section 6 of the Prospectus (“Risk Factors”) entitled “Emerging markets”, “Brazil”, “India”, “Licensing in India” and “Risks of investing in the China Interbank Bond Market” for further information about particular countries in which the Fund may invest.

In addition, the Fund may, subject to the restrictions set out in Appendix D of the Prospectus, invest in other fixed income and fixed income related securities, which may include fixed income securities and instruments related to fixed income securities that are investment grade or, where unrated, deemed by the Investment Manager to be of an equivalent rating, and, for liquidity and other ancillary purposes, money market instruments (including certificates of deposit, commercial paper and bankers acceptances), cash and/or cash equivalents (such as term deposits and bank certificates). The Fund may also invest up to 10% of its Net Asset Value in asset backed securities, commercial and residential mortgage backed securities, collateralised mortgage obligations, collateralised debt obligations and credit linked notes. The fixed income securities and fixed income related securities in which the Fund invests will be traded OTC or listed or traded in the Regulated Markets set out in Appendix F of the Prospectus, and are subject to the Fund’s Exclusionary Policy set out in Appendix A of the Supplement.

The Investment Manager constructs the portfolio of the Fund by allocating the Fund’s assets to one or more Sub-Investment Managers. The Investment Manager and/or such Sub-Investment Managers will refer to the securities of the Benchmark Index and the Investment Manager and/or such Sub-Investment Managers may use a quantitative (i.e. mathematical or statistical) and/or qualitative investment bottom-up (i.e. fundamental analysis/research on an underlying issuer) process in order to identify fixed income securities or fixed income related securities for investment, taking into account the Exclusionary Policy as set out in Appendix A of the Prospectus.

In order to assist in achieving its investment objective, the Fund may also, subject to the restrictions set out in Appendix D of the Prospectus, invest up to 10% of its Net Asset Value in other CIS. These CIS may be listed or traded on the Regulated Markets set out in Appendix F of the Prospectus.

The Fund may have exposure to fixed income securities traded on markets in India, Brazil and the PRC. The exposure to each of these markets will vary depending on the composition from time to time of the universe of fixed incomes securities used by the Fund, but the Fund will not invest more than 5% of its Net Asset Value in any one of India or Brazil or more than 10% of its Net Asset Value in the PRC. The Fund may invest in FDI (futures, forwards, currency swaps, interest rate swaps, credit default swaps (including credit default swap indices), options and any other instruments outlined in Appendix C of the Prospectus) for direct investment purposes or for efficient portfolio management purposes (please refer to Appendix C of the Prospectus for further information). In particular, the Fund will seek to hedge any non-EUR denominated investments of the Fund into EUR.

The binding elements of the investment strategy are as follows:
1.Maintain at least 20% of the Fund’s portfolio in Sustainable Investments.
2.Apply the following exclusionary screens based on the environmental, social and governance (ESG) related characteristics set out below. The Investment Manager intends to limit and/or exclude direct investment (as applicable) in issuers which are identified as being involved in certain activities as described in summary below (involvement may be based on either the issuer’s activity exceeding a threshold criteria or the issuer having any direct engagement in the activity), namely issuers which:
• are engaged in, or are otherwise exposed to, the production of weapons (including, but not limited to, civilian firearms, civilian small arms, cluster munitions, anti-personnel mines, white phosphorus used in incendiary weapons or munitions, depleted uranium munitions, biological, chemical and nuclear weapons).
• are engaged in the production of tobacco.
• derive more than:
• 5%of revenue from distribution or supply of retail small arms.
• 5%of revenue from thermal coal extraction or power generation.
• 5%of revenue from oil tar sands production (also known as oil sands).
• 5% of revenue from oil and gas production, or 25% of revenue from the provision of certain auxiliary services related to oil and gas.
• 5% of revenue from involvement in the production of nuclear power or 15% of revenue from the distribution or provision of auxiliary services related to nuclear power.
• 5% of revenue from tobacco distribution, retail, and supply of certain tobacco-related products.
• 5% of revenue from the production of alcohol or 15% of revenue from the retail, and supply of certain alcohol-related products.
• 5% of revenue from the development or 15% of revenue from the growth of genetically modifying plants and other organisms intended for agricultural use or human consumption.
• 5% of revenue from the operation of gambling related activities or 15% of revenue from products, services, equipment or facilities related to gambling.
• 5% of revenue from the production or 15% of revenue from the distribution of adult entertainment materials.
• 5%of revenue from military contracting.
• have been indicated as involved in one ormore very severe controversies by MSCI ESG Controversies relating to: (i) biodiversity and land use; (ii) water stress; (iii) operational waste (non-hazardous); and (iv) toxic emissions and waste.
3. In addition to the above, the Investment Manager intends to limit and/or exclude direct investment (as applicable) in sovereign issuers and related local authority issuers, which are identified, using available data from an ESG research provider, as being deemed to:
1. be involved in social violations and as such may be subject to broad arms embargoes imposed through UN sanctions;
2. be lower ranking issuers in the BlackRock Sovereign Sustainable Index;
3. be lower ranking issuers as assessed by the JPMorgan ESGMethodology;
and 4. be higher ranking issuers in the Global Peace Index.

To undertake the analysis to apply the exclusionary criteria and select Sustainable Investments, the Investment Manager will use data (a) provided by one or more external ESG research providers, and/or (b) generated internally by the Investment Manager and/or its affiliates using data provided by one or more external ESG research providers.

Where the Investment Manager appoints one or more external Sub-Investment Managers (i.e. that are not Affiliates of the Investment Manager) to carry out investment management for a Fund, certain external Sub-Investment Managers may use data as described in the paragraph above, at a point in a month, and updated on a monthly basis, to apply the exclusionary criteria and select Sustainable Investments. This means that securities of issuers not excluded as at the last ESG data update can be acquired and held in the Fund until implementation of the next data update that shows that the issuers should be excluded, at whcih point the holding may be divested as soon as reasonably pracitcable.

Where the Investment Manager or a Sub-Investment Manager seeks indirect exposure to a single line security through derivatives or through American Depositary Receipts (“ADRs”) or Global Depositary Receipts (“GDRs”), the Exclusionary Policy will apply to the underlying single line security rather than the derivative instrument, ADR or GDR itself. Where the Investment Manager or a Sub-Investment Manager seeks indirect exposure through derivatives to an underlying which is not a single line security (such as an index derivative) or through CIS, the Exclusionary Policy may not be applied to such investments at all or may only partially apply.

Consideration of principal adverse impacts on sustainability factors

The Fund considers PAIs on sustainability factors through the application of its exclusionary policy.

The Fund takes into account the following PAIs:
• Exposure to companies active in the fossil fuel sector
• Activities negatively affecting biodiversity-sensitive areas
• Emissions to water
• Hazardous waste and radioactive waste ratio
• Violations of UN Global Compact principles and Organisation for Economic Cooperation and Development (OECD) Guidelines forMultinational Enterprises
• Exposure to controversial weapons (anti personnel mines, cluster munitions, chemical weapons and biological weapons)
• Investee countries subject to social violations

In addition, this Fund takes into account the PAIs through BlackRock’s DNSH standard for Sustainable Investments. This Fund will provide information on the PAIs in its annual report.

Good governance policy

Good governance checks are carried out by the Investment Manager on the issuers to exclude issuers which have been identified, using available data from external ESG research providers, to have (i) failed to comply with UN Global Compact Principles (which cover human rights, labour standards, the environment and anti-corruption), or (ii) been involved in one or more very severe ESG controversies relating to (a) sound management structure (b) remuneration of staff (c) employee relations and (d) tax compliance.

Where the Investment Manager appoints one or more external sub-investment managers (i.e. that are not Affiliates of the Investment Manager) to carry out investment management for a Fund, certain external sub-investment managers may use data (a) from one or more external ESG research providers, and/or (b) generated by the Investment Manager using external ESG research provider data, at a point in a month, and updated on a monthly basis, to apply the Good Governance exclusionary criteria. This means that securities of issuers not excluded as at the last ESG data update can be acquired and held in the Fund until implementation of the next data update shows that the issuers should be excluded at which point the holding may be divested as soon as reasonably practicable.

E. Proportion of Investments

A minimum of 85% of the Fund’s total assets will be invested in investments that are aligned with the environmental and/or social characteristics. Of these investments, a minimum of 20% of the Fund’s total assets will be invested in Sustainable Investments, and the remainder will be invested in investments aligned with other environmental and/or social characteristics. The Fund may invest up to 15% of its total assets in other investments.

Derivatives are not used to attain the environmental or social characteristics promoted by the Fund.

The Fund does not currently commit to investing more than 0% of its assets in sustainable investments with an environmental objective aligned with the EU Taxonomy.

The Fund does not currently commit to invest in fossil gas and/or nuclear energy related activities that comply with the EU Taxonomy.

The Fund does not commit to making investments in transitional and enabling activities, however, these investments may form part of the portfolio.

A minimum of 20% of the Fund’s total assets will be invested in Sustainable Investments. As noted above, these Sustainable Investments will be a mix of Sustainable Investments with an environmental objective that is not aligned with the EU Taxonomy or a social objective or a combination of both, and the exact composition may fluctuate.

The Fund invests in Sustainable Investments that are not aligned with the EU Taxonomy for the following reasons: (i) it is part of the investment strategy of the Fund; and / or (ii) underlying economic activities may not be eligible under the EU Taxonomy’s available technical screening criteria or may not comply with all requirements set out in such technical screening criteria.

A minimum of 20% of the Fund’s total assets will be invested in Sustainable Investments. As noted above, these Sustainable Investments will be a mix of Sustainable Investments with an environmental objective that is not aligned with the EU Taxonomy or a social objective or a combination of both, and the exact composition may fluctuate.

Other holdings are limited to 15% and may include certain derivatives instruments, cash and near cash instruments, shares or units of CIS and securitisations (such as MBS ABS, CLO).

These investments may be used for investment purposes in pursuit of the Fund’s (non ESG) investment objective, for the purposes of liquidity management and/or hedging.

No other holdings are considered against minimum environmental or social safeguards.

F. Monitoring of enviromental or social characteristics

BlackRock has developed a highly automated compliance process to help ensure that the Fund is managed in accordance with its stated investment guidelines and applicable regulatory requirements. This includes monitoring of the environmental or social characteristics of the Fund in accordance with the relevant methodology as described in ‘Section G – Methodologies’.

Portfolio Managers have the primary responsibility for complying with the contractual terms of the prospectus and other governing documents for the Fund and are supported by Aladdin, BlackRock’s portfolio and risk management software.

The Portfolio Compliance Group (“PCG”), a group within BlackRock’s Business Operations, is responsible for the coding of the Fund’s investment restrictions, that are capable of being coded, within BlackRock’s pre and post trade compliance monitoring system in Aladdin. Where an investment restriction cannot be coded, a manual process is established for guidelines testing.

Pre-Trade & Post Trade Monitoring

When a trade or order is created, the transaction is reviewed against the Fund’s investment guidelines by the front-end compliance system on a real time basis prior to execution. If a non-compliant condition is detected, the trade or order will be unable to progress further.

Compliance tests are also run on a post trade basis overnight based on the end-of-day positions and reported on a T+1 basis. Compliance exceptions and warnings are identified and escalated for investigation to relevant investment professionals, who will engage with relevant subject matter experts as appropriate to resolve. Identification and investigation of potential items is recorded on an electronic system that contains a comprehensive workflow which provides an audit trail. Appropriate corrective action will be taken as needed to resolve exceptions.

The monitoring of certain ESG characteristics may not be able to be automated due to system functionality or data limitations. Such ESG characteristics are subject to periodic review and monitoring, to ensure that the product adheres to the related commitments.

Breaches are reported as required under our regulatory obligations to the relevant management company, auditor, depositary and regulator.

Where BlackRock delegates part of the management of a Fund to a third-party manager, the third-party manager is responsible for ensuring compliance with the investment guidelines and investment restrictions as per the agreed Investment Management Agreement in place, including those pertaining to the environmental or social characteristics for the Fund. The investment restrictions pertaining to the environmental or social characteristics are generally communicated to the third-party manager which may updated by BlackRock from time to time in line with the environmental and social characteristics of the Fund. When the third-party manager runs a passive strategy, the third-party manager may also monitor whether the environmental or social characteristics are met by tracking a benchmark index embedding these characteristics in its methodology. BlackRock receives a daily feed of the positions held by the third-party manager and runs post-trade compliance checks in accordance with the back-end compliance process previously described. BlackRock also undertakes periodic due diligence on third party manager to ensure the monitoring frameworks in place remain appropriate.

G. Methodologies

BlackRock has adopted the following methodologies in respect of this Fund:

Sustainable Investments Methodology

BlackRock has developed a proprietary methodology for determining Sustainable Investments which is broken down into a four-part assessment:
(i) Economic activity contribution to environmental and/or social objectives;
(ii) Do no significant harm;
(iii) Meets minimum safeguards; and
(iv) Good governance (where relevant).

It is necessary for an investment to meet all four limbs of this test to be considered a Sustainable Investment. Sustainable Investments are subject to a robust oversight process to ensure that regulatory standards are met.

(i) Economic activity contribution to environmental and/or social objectives

Environmental and social objectives
The Fund invests in Sustainable Investments which contribute to a range of environmental and / or social objectives which may include but are not limited to alternative and renewable energy, energy efficiency, pollution prevention or mitigation, reuse and recycling, health, nutrition, sanitation and education and the UN Sustainable Development Goals (“Environmental and Social Objectives”).

Economic activity assessment
An investment will be a Sustainable Investment (subject to it satisfying the other three limbs):

Business activity
• Where more than 20% of its revenue attributable to products and/or services is systematically mapped as contributing to Environmental and/or Social Objectives using third-party vendor data. Fundamental analysis may also be used to assess a company where there is no third-party vendor data or where an analyst determines that the data is inaccurate or that there is a more appropriate materiality metric than revenue for identifying a company’s contribution such as capital expenditure or recycled inputs.

Business practices
• Where the issuer has set a de-carbonization target in accordance with the Science Based Targets initiatives as validated by third-party vendor data or by way of fundamental assessment.
• Demonstrable leadership attribute that evidences a company’s critical role as an enabler of sustainable practices.

Fixed income securities
• A use-of-proceeds bond will be a Sustainable Investment where the use of proceeds substantially contributes to an Environmental and/or Social Objective as determined by fundamental assessment
• Other fixed income securities will be a Sustainable Investment where the security is aligned with Environmental and/or Social Objectives as determined by fundamental assessment such as environmental and/or social asset-backed and mortgage-backed securities issued by supranational entities committed to the promotion of UN SDGs

(ii) Do no significant harm (DNSH)

Sustainable Investments meet the DNSH requirements, as defined by applicable law and regulation. BlackRock has developed a set of criteria across all Sustainable Investments to assess whether an investment does significant harm which consider both third party data points as well as fundamental insights. Investments are screened against these criteria using system-based controls and any which are considered to be causing significant harm do not qualify as Sustainable Investments. BlackRock assesses the indicators for adverse impacts on sustainability factors for each type of investment as defined by the regulation.

Criteria for adverse impacts are assessed using third-party vendor data regarding an investment’s business involvement (in specific activities identified as having negative environmental or social impacts) or environmental or social controversies to exclude investments which BlackRock has determined are harmful to sustainability indicators subject to limited exceptions, for example, where the data is determined to be inaccurate or not up to date.

Where no data is available, or it is substantially incomplete, fundamental analysis will be undertaken using reasonable efforts to identify impacts which BlackRock determines to be harmful to the sustainability indicators.

(iii) Meet minimum safeguards

Sustainable Investments are assessed using third party data provider information to consider compliance with international standards of the OECD Guidelines for Multinational Enterprises and the UN Guiding Principles on Business and Human Rights, including the principles and rights set out in the eight fundamental conventions identified in the Declaration of the International Labour Organisation on Fundamental Principles and Rights at Work and the International Bill of Human Rights. Issuers deemed to have violated these conventions are not considered as Sustainable Investments.

(iv) Good Governance

In respect of its good governance assessment BlackRock uses data from external third-party ESG research providers to initially identify issuers which may not have satisfactory governance practices in relation to key performance indicators (KPIs) related to the criteria outlined above. Where issuers are identified as potentially having issues with regards to good governance, the issuers are reviewed to ensure that, where the Investment Advisor/Manager agrees with this external assessment, the Investment Advisor/Manager is satisfied that the issuer has either taken remediation actions or will take remedial actions within a reasonable time frame based on the Investment Advisor’s/Manager’s direct engagement with the issuer. The Investment Advisor/Manager may also decide to reduce exposure to such issuers. Funds’ indirect exposures to issuers with good governance failings are limited to de minimis levels by internal controls and are also monitored on a periodic basis to ensure that this indirect exposure remains at de minimis levels

Other methodologies

In addition, the following methodologies are used to measure how the social or environmental characteristics promoted by the Fund are met:
1. The Fund applies a set of exclusionary screens. Further details on the methodology of the exclusionary screens are set out in 'Section C – Environmental or social characteristics' above.

The Fund via the environmental and/or social characteristics of its strategy has been assessed as considering a set of principal adverse impact indicators (PAIs) as defined within the SFDR Regulatory Technical standards. We have assessed whether and how these are fully or partially considered and outline how those characteristics map to those PAIs in our pre contractual and periodic reporting.

H. Data sources and processing

Data Sources

BlackRock Portfolio Managers have access to research, data, tools, and analytics to integrate ESG insights into their investment process. Aladdin is the operating system that connects the data, people, and technology necessary to manage portfolios in real time, as well as the engine behind BlackRock’s ESG analytics and reporting capabilities. BlackRock’s Portfolio Managers use Aladdin to make investment decisions, monitor portfolios and to access material ESG insights that can inform the investment process to attain ESG characteristics of the Fund.

ESG datasets are sourced from external third-party data providers, including but not limited to MSCI, Sustainalytics, Refinitiv, S&P and Clarity AI. These datasets may include headline ESG scores, carbon emissions data, business involvement metrics or controversies and have been incorporated into Aladdin tools that are available to Portfolio Managers and employed in BlackRock investment strategies. Such tools support the full investment process, from research, to portfolio construction and modelling, to reporting.

Measures taken to ensure Data Quality

BlackRock applies a comprehensive due diligence process to evaluate provider offerings with highly targeted methodology reviews and coverage assessments based on the sustainable investment strategy (and the environmental and social characteristics or sustainable objective) of the product. Our process entails both qualitative and quantitative analysis to assess the suitability of data products in line with regulatory standards as applicable.

We assess ESG providers and data across five core areas outlined below:
1. Data Collection: this includes but is not limited to assessing the data providers underlying data sources, technology used to capture data, process to identify misinformation and any use of machine learning or human data collection approaches. We will also consider planned improvements
2. Data Coverage: our assessment includes but is not limited to the extent to which a data package provides coverage across our investible universe of issuers and asset classes. This will include consideration of the treatment of parent companies and their subsidiaries as well as use of estimated data or reported data
3. Methodology: our assessment includes but is not limited to consideration of the third-party providers methodologies employed, including considering the collection and calculation approaches, alignment to industry or regulatory standards or frameworks, materiality thresholds and their approach to data gaps.,
4. Data Verification: our assessment will includes but is not limited to the third party providers’ approaches to verification of data collected and quality assurance processes including their engagement with issuers
5. Operations: we will assess a variety of aspects of a data vendors operations, including but not limited to their policies and procedures (including consideration of any conflicts of interest) the size and experience of their data research teams, their training programs, and their use of third-party outsourcers

Additionally, BlackRock, actively participates in relevant provider consultations regarding proposed changes to methodologies as they pertain to third party data sets or index methodologies and submits considered feedback and recommendations to data provider technical teams. BlackRock often has ongoing engagement with ESG data providers including index providers to keep abreast of industry developments.

How data is processed

At BlackRock, our internal processes are focused on delivering high-quality standardized and consistent data to be used by investment professionals and for transparency and reporting purposes. Data, including ESG data, received through our existing interfaces, and then processed through a series of quality control and completeness checks which seeks to ensure that data is of a high-quality before being made available for use downstream within BlackRock systems and applications, such as Aladdin. BlackRock’s integrated technology enables us to compile data about issuers and investments across a variety of environmental, social and governance metrics and a variety of data providers and make those available to investment teams and other support and control functions such as risk management.

Use of Estimated Data

BlackRock strives to capture as much reported data from companies via 3rd party data providers as practicable, however, industry standards around disclosure frameworks are still evolving, particularly with respect to forward looking indicators. As a result, in certain cases we rely on estimated or proxy measures from data providers to cover our broad investible universe of issuers. Due to current challenges in the data landscape, while BlackRock relies on material amount of estimated data across our investible universe, the levels of which may vary from data set to data set, we seek to ensure that use of estimates is in line with regulatory guidance and that we have necessary documentation and transparency from data providers on their methodologies. BlackRock recognizes the importance in improving its data quality and data coverage and continues to evolve the data sets available to its investment professionals and other teams. Where required by local country-level regulations, funds may state explicit data coverage levels.

I. Limitations to methodologies and data

Limitations to Methodology

Sustainable investing is an evolving space, both in terms of industry understanding but also the regulatory frameworks on both a regional and global basis. BlackRock continues to monitor developments in the EU's ongoing implementation of its framework for sustainable investing and is seeking to evolve its investment methodologies to ensure alignment as the regulatory environment changes. As a result, BlackRock may update these disclosures, and the methodologies and sources of data used, at any time in the future as market practice evolves or further regulatory guidance becomes available.

The UN Sustainable Development Goals and sub-targets are used by BlackRock as a list of environmental and/or social objectives. Any assessment will be undertaken strictly in accordance with the methodology set out in the Prospectus. Assumptions associated with the conventional use of the SDGs are not considered as part of the assessment including but not limited to applicable geographical limitations and those commitments that may be limited by time or scope, such as goals that may be applicable only to governments.

Limitations in relation to the data sources are noted below.

Limitations to Data

ESG data sets are constantly changing and improving as disclosure standards, regulatory frameworks and industry practice evolve. BlackRock continues to work with a broad range of market participants to improve data quality.

Whilst each ESG metric may come with its own individual limitations, data limitations may broadly be considered to include, but not be limited to:
• Lack of availability of certain ESG metrics due to differing reporting and disclosure standards impacting issuers, geographies or sectors
• Nascent statutory corporate reporting standards regarding sustainability leading to differences in the extent to which companies themselves can report against regulatory criteria and therefore some metric coverage levels may be low
• Inconsistent use and levels of reported vs estimated ESG data across different data providers, taken at varied time periods which makes comparability a challenge.
• Estimated data by its nature may vary from realized figures due to the assumptions or hypothesis employed by data providers.
• Differing views or assessments of issuers due to differing provider methodologies or use of subjective criteria
• Most corporate ESG reporting and disclosure takes place on an annual basis and takes significant time to produce meaning that this data is produced on a lag relative to financial data. There may also inconsistent data refresh frequencies across different data providers incorporating such data into their data sets.
• Coverage and applicability of data across asset classes and indicators may vary
• Forward looking data, such as climate related targets may vary significantly from historic and current point in time metrics.

For more information about how metrics that are presented with sustainability indicators are calculated, please see the Fund's annual report.

Sustainable Investments and Environmental and Social criteria

Sustainable investing and understanding of sustainability is evolving along with the data environment.  Industry participants face challenges in identifying a single metric or set of standardized metrics to provide a complete view on a company or an investment.  BlackRock has therefore established a framework to identify sustainable investments, taking into account the regulatory requirements. 

BlackRock uses third-party vendor data in assessing whether investments cause significant harm and have good governance practices. There may be some circumstances where data is unavailable, incomplete, or inaccurate, in which case fundamental assessments may be undertaken, taking a proportionate approach and using reasonable efforts, to identify issues likely to have a significant impact. Despite reasonable efforts, information may not always be available in which case a subjective assessment will be made based on BlackRock's knowledge of the investment or industry. In certain cases data may reflect actions that issuers may have taken only after the fact, and do not reflect all potential instances of significant harm.

J. Due Diligence

BlackRock applies a high standard of due diligence in the selection and ongoing monitoring of investments made by the Fund for the purpose of compliance with the investment, liquidity and risk guidelines of the Fund, as well as the sustainability risk and ESG criteria and general performance. Portfolio Managers are subject to pre and post trade controls within the investment platform where the funds promote environmental or social characteristics, integrate sustainability into the investment process in a binding manner or have a sustainable investment objective. The Investment Oversight team conducts due diligence engagement with the portfolio managers and oversees internal restrictions that may expand upon requirements set out in the fund prospectus. The Portfolio Managers also comply with related EMEA policies, including Investment Due Diligence policies which have been updated to integrate sustainability risk. Legal and Compliance have implemented a framework to ensure that the relevant policies and procedures are adopted and complied with by all employees, including Portfolio Managers.

The Investment Adviser integrates sustainability risks into the investment due diligence process of the Fund. The portfolio managers of the Fund are primarily responsible for considering sustainability risks. They are subject to an oversight framework within the Investment Adviser and BlackRock's risk management function, RQA group also provides independent reviews of sustainability risks and the compliance team provides further oversight and monitors the ESG requirements relevant to each fund and the investment restrictions for each fund. RQA, serves as the second line of defence in BlackRock’s risk management framework. RQA is responsible for BlackRock’s Investment and Enterprise risk management framework which includes oversight of sustainability-related investment risks. RQA Investment Risk conducts regular reviews with portfolio managers to ensure investment teams are advised of relevant sustainability risks, complementing the first-line monitoring and oversight of sustainability considerations across our investment platform. RQA also has a dedicated Sustainability Risk Team that partners with risk managers and businesses to reinforce this constructive engagement. RQA collaborates with working groups throughout the Investments Platform and with Aladdin Sustainability Lab to advance the firm’s sustainability toolkit through consultation on firmwide data, modelling, methodologies, and analytics. In addition, BlackRock makes data relating to principal adverse impacts available to all portfolio managers and BlackRock integrates consideration of the principle adverse impacts of investment decisions on sustainability factors in the investment due diligence process. For further information, please see ‘Section D – Investment strategy’ above.

K. Engagement Policies

The Fund

The Fund does not use engagement as a means of meeting its binding commitments to environmental or social characteristics or sustainable investment objectives. Engagement with companies that we invest in is an integral part of the investment process undertaken by the portfolio management team for funds pursuing equity strategies. Engagement forms part of the Due Diligence to assess how companies manage ESG risks and opportunities and how these impact companies financials. We use engagement to discuss concerns, understand opportunities and share constructive feedback, based on the view that material ESG issues are intractably tied to a business’s long term strategy and fundamental value. The amount and level of engagement we conduct on our funds varies depending on the fund commitments and objectives.

General

Engagement with companies in which we invest our clients’ assets occurs at multiple levels within BlackRock. 

Where engagement is specifically identified by a particular portfolio management team as one of the means by which they seek to demonstrate a commitment to environment, social and governance issues within the context of SFDR, the methods by which the effectiveness of such engagement policy and the ways in which such an engagement policy may be adapted in the event that they do not achieve the desired impact (usually expressed as a reduction in specified principal adverse indicators) would be described in the prospectus and website disclosures particular to that fund. 

Where investment teams chooses to leverage engagement, this  can take a variety of forms but, in essence, the portfolio management team would seek to have regular and continuing dialogue with executives or board directors of engaged investee companies to advance sound governance and sustainable business practices targeted at the identified ESG characteristics and principal adverse indicators, as well as to understand the effectiveness of the company’s management and oversight of activities designed to address the identified ESG issues. Engagement also allows the portfolio management team to provide feedback on company practices and disclosures.

Where a relevant portfolio management team has concerns about a company’s approach to the identified ESG characteristics and/or principal adverse indicators, they may choose to explain their expectations to the company’s board or management and may signal through voting at general meetings that they have outstanding concerns, generally by voting against the re-election of directors they view as having responsibility for improvements in the identified ESG characteristics or principal adverse indicators.

Separate from the activities of any particular portfolio management team, at the highest level, as part of its fiduciary approach, BlackRock has determined that it is in the best long-term interest of its clients to promote sound corporate governance as an informed, engaged shareholder. At BlackRock, this is the responsibility of BlackRock Investment Stewardship. Principally through the work of BIS team, BlackRock meets the requirements in the Shareholder Rights Directive II (‘SRD II”) relating to engagement with public companies and other parties in the investment ecosystem.  A copy of BlackRock’s SRD II engagement policy can be found at https://www.blackrock.com/corporate/literature/publication/blk-shareholder-rights-directiveii-engagement-policy-2022.pdf.

BlackRock’s approach to investment stewardship is outlined in the BIS Global Principles and market-level voting guidelines. The BIS Global Principles set out our stewardship philosophy and our views on corporate governance and sustainable business practices that support long-term value creation by companies. We recognize that accepted standards and norms of corporate governance differ between markets; however, we believe there are certain fundamental elements of governance practice that are intrinsic globally to a company’s ability to create long-term value. Our market-specific voting guidelines provide detail on how BIS implements the Global Principles – taking into consideration local market standards and norms – and inform our voting decisions in relation to specific ballot items for shareholder meetings.  BlackRock’s overall approach to investment stewardship and engagement can be found at: https://www.blackrock.com/uk/professionals/solutions/shareholder-rights-directive and https://www.blackrock.com/corporate/about-us/investment-stewardship

In undertaking its engagement, BIS may focus on particular ESG themes, which are outlined in BlackRock’s voting priorities https://www.blackrock.com/corporate/literature/publication/blk-stewardship-priorities-final.pdf

L. Designated reference benchmark

There is no specific index designated as a reference benchmark to determine whether this financial product is aligned with the environmental and/or social characteristics that it promotes.

Risk Indicator

Risk Indicator

1
2
3
4
5
6
7
Low Risk High Risk
Typically low rewards Typically high rewards

Ratings

Holdings

Holdings

as of 29.11.2024
Name Weight (%)
TREASURY NOTE 0.5 02/28/2026 1,20
ONEMAIN FINANCE CORP 3.5 01/15/2027 0,98
MCAFEE CORP 144A 7.375 02/15/2030 0,83
FORVIA SE RegS 5.5 06/15/2031 0,70
MEDLINE BORROWER LP 144A 3.875 04/01/2029 0,70
Name Weight (%)
FORD MOTOR CREDIT COMPANY LLC 2.7 08/10/2026 0,69
UKG INC 144A 6.875 02/01/2031 0,67
JERROLD FINCO PLC RegS 7.875 04/15/2030 0,64
NOVELIS SHEET INGOT GMBH RegS 3.375 04/15/2029 0,63
EMRLD BORROWER LP RegS 6.375 12/15/2030 0,62
Holdings subject to change

Exposure Breakdowns

Exposure Breakdowns

as of 29.11.2024

% of Market Value

Type Fund Benchmark Net
as of 29.11.2024

% of Market Value

Type Fund Benchmark Net
as of 29.11.2024

% of Market Value

Type Fund Benchmark Net
as of 29.11.2024

% of Market Value

Type Fund Benchmark Net
Negative weightings may result from specific circumstances (including timing differences between trade and settle dates of securities purchased by the funds) and/or the use of certain financial instruments, including derivatives, which may be used to gain or reduce market exposure and/or risk management. Allocations are subject to change.

Pricing & Exchange

Pricing & Exchange

Investor Class Currency Distribution Frequency NAV NAV Amount Change NAV % Change NAV As Of 52wk High 52wk Low ISIN
Class Q EUR - 10,37 0,00 0,00 10.12.2024 10,45 9,95 IE0003FZG5A3
Class Q Hedged USD - 10,76 0,00 0,00 10.12.2024 10,76 9,95 IE0007IUD653
Class Q EUR - 10,65 0,00 0,00 10.12.2024 10,65 9,95 IE00085W7AY6
Class Q Hedged GBP - 10,46 0,00 0,00 10.12.2024 10,51 9,95 IE000N0WGY67
Class Q Hedged USD - 10,48 0,00 0,00 10.12.2024 10,53 9,95 IE000J55LXH9
Class Q Hedged GBP - 10,74 0,00 0,00 10.12.2024 10,74 9,95 IE000HR61W43

Portfolio Managers

Portfolio Managers

Julian Steeds
Julian Steeds
Stanislava Vrabcheva
Stanislava Vrabcheva

PRIIPs Performance Scenarios

PRIIPs Performance Scenarios

The EU Packaged Retail and Insurance-Based Products Regulation (PRIIPs) prescribes the calculation methodology, and publication of the outcomes, of four hypothetical performance scenarios regarding how the product may perform under certain conditions and for such to be published on a monthly basis. The figures shown include all the costs of the product itself, but may not include all the costs that you pay to your advisor or distributor. The figures do not take into account your personal tax situation, which may also affect how much you get back. What you will get from this product depends on future market performance. Market developments in the future are uncertain and cannot be accurately predicted. The unfavourable, moderate, and favourable scenarios shown are illustrations using the worst, average, and best performance of the product, which may include input from benchmark(s) / proxy, over the last ten years.
Recommended holding period : 5 years
Example Investment EUR 10 000
Scenario
If you exit after 1 year
If you exit after 5 years

Minimum

There is no minimum guaranteed return. You could lose some or all of your investment.

Stress

What you might get back after costs
Average return each year
8 280 EUR
-17,2%
5 180 EUR
-12,3%

Unfavourable

What you might get back after costs
Average return each year
8 280 EUR
-17,2%
9 240 EUR
-1,6%

Moderate

What you might get back after costs
Average return each year
10 320 EUR
3,2%
10 820 EUR
1,6%

Favourable

What you might get back after costs
Average return each year
12 150 EUR
21,5%
13 180 EUR
5,7%

The stress scenario shows what you might get back in extreme market circumstances.



Literature

Literature

 
Please access the document library in order to find the KID/KIID in local language.