NN (L) Emerging Markets Debt (Hard Currency) (X CAP USD)

Valuation Day

06/12/2022

Net Asset Value

308.9000

Risk level

MorningStar

Investment Scope

The fund invests in debt instruments (i.e. notes, bonds, certificates etc) denominated in currencies of economically developed and politically stable countries which are members of the OECD (Organisation for Economic Cooperation and Development). We invest in countries where we are able to assess specific political and economic risks and in countries that have undertaken certain economic reforms. The issuers of the debt instruments are mainly established in low and middle income developing countries (emerging markets). We invest in South and Central American (including the Caribbean), Central and Eastern European, Asian, African and Middle Eastern debt instruments. Measured over a period of several years, we aim to beat the performance of the benchmark JP Morgan EMBI Global Diversified hedged (EUR).

The benchmark is a broad representation of the investment universe. We actively manage the fund via country allocation, curve positioning and bond selection. The portfolio is diversified across countries and instruments. The portfolio composition can materially deviate from the benchmark. For this specific hedged share class we apply a currency hedging strategy. The sub-fund’s base currency is US dollar (USD). By hedging this share class we aim to exchange the base currency of the sub-fund (USD) with the base currency of this share class euro (EUR). A currency hedge consists of taking an offsetting position in another currency. You can sell your participation in this fund on each (working) day on which the value of the units is calculated, which for this fund occurs daily. The fund does not aim to provide you with a dividend. It will reinvest all earnings.

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Past returns do not predict future returns

Historical NAV

Calendar Year Performance (NET %)

Cumulative Performance (ΝΕΤ %)

USD 1y 3y 5y
Fund -17.94 -15.72 -12.34
Share Class Benchmark -16.90 -13.59 -6.02
Date Report 30/11/2022

Practical Info

ISIN Code: LU0555020568
Currency: USD
Unit class: X CAP
Asset class: Fixed Income
Region: Emerging Markets

Risk and Reward Profile

Historical data, such as is used for calculating this indicator, may not be a reliable indication of the future risk profile of this fund. There is no guarantee that the risk indicator will remain unchanged, it may shift over time. The lowest category of risk does not mean that the investment is riskfree. This fund is in this specific risk category because of the behaviour of the product during the measuring period. The overall market risk, taking into account past performances and future potential evolution of the markets, associated with bonds used to reach the investment objective is considered high.

These financial instruments are impacted by various factors. These include, but are not limited to, the development of the financial market, the economic development of issuers of these financial instruments who are themselves affected by the general world economic situation and the economic and political conditions in each country. Expected credit risk, the risk of failure of the issuers of underlying investments is high. The Sub-Fund’s liquidity risk is set to high. Liquidity risks may arise when a specific underlying investment is difficult to sell. Investments in specific theme are more concentrated than investments in various themes. No guarantee is provided as to the recovery of the initial investment. Hedging share classes, a method to try to manage specific currency risk, may lead to additional credit risk and to residual market risk depending on the effectiveness of the hedging performed.

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Synthetic Risk and Reward Indicator

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