Banca Fideuram Financial Credit Bond

The Sub-Fund, expressed in Euro, aims to provide a high level of income and generate modest capital appreciation. The Sub-Fund intends to invest in financial instruments within the global financial sector, including fixed and variable interest securities (for example, corporate bonds, which may be rated investment grade or below investment grade), hybrid securities (instruments that combine the characteristics of bonds and shares), preference shares, subordinated debt, money market securities and deposits. During times of high levels of market movements (volatility) the Fund may invest substantially in bank deposits. The Sub-Fund’s investments in contingent convertible bonds (as defined by European Securities and Markets Authority) may not exceed 50% of the total Net Asset Value of the Sub-Fund. The Sub-Fund may not purchase ordinary shares, however the SubFund may acquire and hold ordinary shares where such ordinary shares are acquired by way of conversion from another security held by the Sub-Fund. The Investment Manager will typically seek to take positions in debt securities and preference shares of companies exhibiting one or more of the following characteristics: (i) change in revenue growth prospects; (ii) change in projected operating expenses; (iii) change in balance sheet quality; (iv) speculation regarding a possible sale, disposal or acquisition; (v) change in execution capability and/or strategic direction due to a change in management; (vi) change in capital discipline; (vii) change in regulation; (viii) a change in overall risk appetite; or (ix) a change in valuation methodology. The Sub-Fund may invest in foreign exchange forwards (contracts to exchange foreign currencies at an agreed date in the future) for hedging and currency risk management purposes. The Sub-Fund may use currency hedging (the technique of buying or selling currencies to minimize fluctuations in non-Euro currency investments resulting from foreign exchange movements). The Sub-Fund may enter into financial derivative instruments for hedging purposes. These financial derivative instruments will include swaps, options, futures and forwards contracts. There is no guarantee that this will be successful. Any income that may arise in the Sub-Fund will be reinvested in the Sub-Fund. The Sub-Fund is actively managed. The Sub-Fund is not managed in reference to a benchmark. The Sub-fund has been categorised as an ESG Promotion Strategy Sub-fund in accordance with article 8 “SFDR” This is a distribution class: the net incomes of the Sub-Fund will be distributed in accordance with the Prospectus. You may request to redeem the units held at any moment, in accordance with the Prospectus.