FFG GLOBAL FLEXIBLE SUSTAINABLE
This is a marketing communication. Please refer to the FFG Fund prospectus and the KID on www.fundsforgood.eu before making any final investment decision. This document does not constitute any contractual document or investment advice.
BLI – Banque de Luxembourg Investments S.A., is a management company wholly owned by Banque de Luxembourg, itself owned by the CMCIC group. Initially founded in 2005, BLI – Banque de Luxembourg Investments S.A. manages more than 19 billion Euro
Guy Wagner – CIO of Banque de Luxembourg Investments S.A., conceived and launched the strategy in 2005 within BLI Banque de Luxembourg Investments S.A. His strategy has been applied since 2017 in the FFG Global Flexible Sustainable.
Formed in 2021 from the merger of DMS, MontLake and MDO, Waystone has over 20 years of experience in providing institutional governance, risk and compliance services to the asset management industry. Waystone is now a leading player in the industry.
INVESTMENT OBJECTIVES & POLICY
The objective of the Fund is to seek to achieve a return over the medium term that is higher than that of a bond investment in Euro. To this end, the Fund invests in equities, bonds, money market instruments or cash. It may also invest in Exchange Traded Commodities on precious metals and in other Undertakings for Collective Investments (UCIs) up to a maximum of 10%. The weight of these different asset classes may vary significantly over time. The Fund is invested without geographical, sectoral or monetary restrictions. The fund is actively managed without regard to a benchmark.
|Launch of the strategy
|Type of fund
|Waystone Management Company (Lux)
|BLI – Banque de Luxembourg Investment s.a.
|Banque de Luxembourg
|Country of registration
|BE, LU, FR, ES
|Duration of the fund
RESPONSIBLE INVESTMENT POLICY
The sub-fund is categorised as a financial product promoting environmental and/or social characteristics as described in Article 8 of the “SFDR” regulation. Although it does not have a sustainable investment objective, the sub-fund will contain a minimum of 30% of sustainable investments. This implies that the issuers of the securities held by the sub-fund meet certain sustainability criteria* defined by Funds for Good in its “Responsible Investment Policy”, which is a three-tiered corporate social responsibility policy defined and monitored by Funds for Good SA. This policy includes a) the removal from the investment universe of a range of issuers, either because they are or have been subject to serious sustainability controversies (human rights violations, environmental scandals, gross corruption, serious breaches of fundamental ethical standards) or because the economic activities from which they derive their revenues could have negative effects on sustainability factors. These economic activities include, but are not limited to, the design, production, maintenance or trade of weapons, the production of tobacco products, the extraction of thermal coal or unconventional oil and gas. b) The portfolio is constructed to achieve, for equity investments, an average carbon emissions intensity of at least 50% lower than a universe of equities representative of the initial universe used by the manager for the composition of the equity portfolio, i.e. the MSCI All Country World Index, and an increase in the social quality of the companies compared to this same universe. c) A “Best-in-Universe” policy whereby each company in the portfolio must have a minimum ESG score. d) At the governance level, both the manager and the distribution coordinator are signatories to the United Nations Principles for Responsible Investment (UNPRI) and a voting rights policy is implemented. Voting rights are exercised by the fund manager. Further information on sustainability, as well as the Funds For Good “Responsible Investment Policy” and the exclusion list, is available at www.fundsforgood.eu/bibliotheque-documents.
For more information on this subject, see www.fsma.be/fr/finance-durable.
The sustainability criteria are certified by the “Towards Sustainability” label. The assessment of the sustainability criteria is carried out by the fund manager, BLI – Banque de Luxembourg Investments s.a.
Risk & reward indicator: 3.
The risk & reward indicator is 3, as the value of the share may move moderately and therefore the risk of loss and the opportunity for gain may be moderate. Historical data, such as that used to calculate this indicator, may not be a reliable indication of the future risk profile of the fund. There is no guarantee that the risk indicator will remain unchanged, so it may change over time.
What does the synthetic risk & reward indicator represent?
Expressed on a scale from 1 (low risk with potentially lower return) to 7 (high risk with potentially higher return), the risk & reward indicator prescribed by law is determined on the basis of the fund’s volatility or sensitivity to the market. It reflects the fact that investments made in this sub-fund are subject to market fluctuations and the risks inherent in investments in securities. The value of investments and the income they generate can rise and fall and investors may not recover their initial investment. The sub-fund described above involves a risk of capital loss. The repayment of the initial investment is not guaranteed. The lowest category is not a risk-free investment. This risk indicator is also included in the “Key Investor Information” document. The figure is calculated for an investor in euros.
Which important risks are not adequately addressed by the synthetic indicator?
• Investing in shares involves counterparty risk in the sense that the issuing company may go bankrupt. This entails the risk of a significant or even total loss of the value of the investment made in these securities.
• The investment by the sub-fund in emerging markets is exposed to the risk of political, regulatory, financial or fiscal instabilities or uncertainties which may adversely affect the value of such investments or even call into question the sub-fund’s ownership rights.
• Investment in debt securities involves a credit risk in that the issuer may refuse or be unable to meet all or part of the interest or principal payments on its securities. This entails the risk of a significant or even total loss of the value of the investment made in these securities.
• The use of derivatives that are not listed on a stock exchange or traded on another regulated market (“OTC instruments”) entails a counterparty risk in the sense that the counterparties to these derivatives may at some point be unable to meet all or part of their obligations to the sub-fund.
• The use of equity index futures is intended to mitigate but not eliminate equity market risk.
• Investments in China are sensitive to any political, social and diplomatic events that may occur in China or affect China. Investors’ attention is drawn to the fact that any change in China’s policy could have a negative impact on the securities markets in China as well as on the performance of the Fund
There may be other risk factors which an investor should consider in light of their personal circumstances and particular present and future circumstances. Further information on the risks of investing in the Fund is set out in the Key Investor Information Document and in the relevant section of the Fund’s prospectus, which is available from the Management Company and on the website www.waystone.com