Objectives and Investment Policy
The fund is an exchange-traded index fund with the objective to track the performance of the OMX Stockholm 30 ESG Responsible Index as closely as possible. The fund is passively managed.
The fund is passively managed. Fund returns are determined by how the fund's investments in equities increase or decrease in value. The index will be replicated through physical replication. The method selected for replication means that the fund invests directly in those equities included in the index, i.e., full replication. Tracking error is expected to be less than 0.2% under normal market conditions. The management fee, as well as customer flows, index rebalancing and corporate events all result in transaction costs for the fund, which are not present in the index. These are the main factors that impact the fund’s ability to replicate the index.
The index consists of the 30 most-traded shares on the Nasdaq OMX Nordic Exchange Stockholm (Stockholm stock exchange), excluding those companies that do not meet index sustainability requirements.
The fund follows an index that includes sustainability requirements. Companies that do not meet the defined requirements for sustainability are excluded from the index. The sustainability requirements include international standards and guidelines for the environment, social responsibility and corporate governance. The requirements also include the fund’s exclusion of companies involved in the production or distribution of fossil fuels, military equipment, tobacco, alcohol, gambling, cannabis and pornography.
The fund can invest in derivative instruments as part of the fund’s investment focus. However, the use of derivative instruments is of such a nature that it only has a marginal impact on the fund’s risk level.
The fund does not distribute dividends. All income is reinvested in the fund.
Normally, you can purchase and sell fund units on the stock market, the so-called secondary market, on all banking days. You can also create and redeem units directly with the management company on the so-called primary market.
Additional information about the sustainability work and the funds index, may be found in the prospectus.
Recommendation: This fund may not be suitable for investors who plan to withdraw their money within 5 years.