Danske Invest High Yield Fund D (non-UCITS) Bond funds
Da nske Invest High Yield Fund D (non-UCITS) Bond funds
Risk class
Investment policy Fund
Low risk
High risk
Fund facts Value 31-05-2011 (EUR) 1.15416 ISIN FI0008808969 Distribution of income Yes Benchmark index Barclays High Yield Bond (EUR Hedged) -index Duration 4.00 Web site www.danskeinvest.fi Launch 15-06-2005 Total assets , million (EUR) 209.77 Base currency EUR Minimum subscription 500 EUR
Danske Invest High Yield (non-UCITS) is intended for investors who are looking for an investment solution on the US High Yield bond markets that is profitable, professionally managed and well-diversified. High Yield bonds, with poorer credit ratings, offer investors the opportunity to seek higher returns than higher-rated Investment Grade bonds. The recommended investment horizon in the fund is more than three years. The assets of Danske Invest High Yield are invested mainly in the US Dollar High Yield Bond fund managed by Merrill Lynch International Investment Funds, the assets of which are invested mainly in the US High Yield bond markets. The general performance of the US fixed income markets is reflected in the value of the fund.
Performance 31-05-2011
Benchmark index Unofficial Barclays High Yield Bond (EUR Hedged)- Index
Portfolio manager Subscription fee Redemption fee TER 2010 Management fee
1,00 % / 8 EUR 1,00 % / 8 EUR 1,08 % 0.75 %
Danske Capital, Sampo Bank plc
Major investments 31-05-2011 Issuer Blackrock - US Dollar High Yield Bond Fund A2 Other
%
96.85 % 3.15 %
Key f igures - 1 y 31-05-2011 Volatility (%) Sharpe Tracking error IR Alpha Beta Duration
4.963 2.919 3.117 -0.175 -0.811 1.009 4.
Performance 31-05-2011 YTD 1 month 3 month 6 month 12 month 36 month Fund 5.31 0.27 1.81 7.36 15.48 24.09 Benchmark index 5.65 0.60 2.73 6.72 17.29 36.67
Start 6.13 8.39
This Fund Review is not an invitation to subscribe or redeem Fund units. Even though the aim has been to give reliable information, Sampo Bank and Sampo Fund Management Ltd guarantees neither the completeness nor correctness of the information contained in this Fund review nor shall be held liable for any errors or omissions in the information contained therein. Past mutual fund performance is no guarantee of future returns. The return and interest expectations used in the review are not intended to be perceived as promises of future returns or interest. Investment always involves fluctuation in value the value of an investment may either rise or fall and customers are therefore at risk of losing assets invested in a mutual fund. There is no guarantee of actual returns or that the performance of the investment will be in accordance with the expected returns or always positive. Before making an investment decision, customers should always familiarise themselves with the characteristics, expenses and risks of the mutual funds which are outlined in the simplified prospectuses, fund regulations and price list of mutual funds, for example. Funds simplified prospectus and regulations can be found from www.danskeinvest.fi
Da nske Invest High Yield Fund D (non-UCITS) Bond funds
Portfolio manager review Data about the US Economy at the beginning of the month was reported at consensus or slightly better. Employment data surprised to the high side. Unemployment rate dropped 0.1% to 8.8%. ISM Manufacturing also came in better than expected, signaling the possibility for continued manufacturing strength. However, the trend halted as data arriving mid month revealed a weaker tone to the economy. Jobless claims, which are reported weekly, crossed back to greater than 400k after being below 400k for most of March. As liquidity continues to dry up as we approach the end of QE2 , the Fed has had to buy a large chunk of on-the-run (OTR) issues in addition to off-the-run Treasuries that look attractively valued. The total OTR issues purchased this month was 30% (about $25 billion) of the $83.8 billion purchased. Early in the month, S&P announced that the credit rating of US debt was being placed on outlook negative. The FOMC meeting on April 27, 2011 proceeded in line with expectations, stating that QE2 will be concluded at the end of June but that the reinvestment of pay-downs would continue. Furthermore, the Fed will keep rates low for an extended period. In the statement, the FOMC reduced its projections for growth while increasing its projections for inflation, as expected. In a highly anticipated move, Chairman Bernanke held the first-ever press conference in an
effort to increase transparency around the FOMCs decisions. During the Q&A session, Bernanke emphasized that inflation expectations, which currently appear “well anchored,” are the key near-term issue for the Fed. April marked the fifth consecutive positive monthly gain as the Barclays High Yield Index posted a +1.55% total return, bringing yearto-date total returns to almost 5.5%. Higher beta outperformed during the month as tripleCs were +1.87%, single-Bs +1.46%, while double-Bs gained +1.42%. Notably, all sector within the High Yield Index posted positive returns in April. The best performing sectors were Property & Casualty Insurance (+3.88%), followed by electric utilities (+3.15%), and supermarkets (+2.99%). The underperformers for the month were airlines +0.08%, media +0.88%, and other financials +0.94%. New issuance for the month continued to be robust, with little pushback from clients regarding pricing and the majority of deals well bid on the break. The new issue calendar for the month totaled $26.8 billion, bringing year-to-date issuance to $116.4 billion. This pace is marginally higher compared to April 2010. (24.5.2011)
Return
Return and dividends for individual years
2006
2007
2008
2009
2010
Fund Benchmark index
6.78 12.52
4.13 0.58
-26.04 -28.39
43.10 59.27
13.64 15.18
This Fund Review is not an invitation to subscribe or redeem Fund units. Even though the aim has been to give reliable information, Sampo Bank and Sampo Fund Management Ltd guarantees neither the completeness nor correctness of the information contained in this Fund review nor shall be held liable for any errors or omissions in the information contained therein. Past mutual fund performance is no guarantee of future returns. The return and interest expectations used in the review are not intended to be perceived as promises of future returns or interest. Investment always involves fluctuation in value the value of an investment may either rise or fall and customers are therefore at risk of losing assets invested in a mutual fund. There is no guarantee of actual returns or that the performance of the investment will be in accordance with the expected returns or always positive. Before making an investment decision, customers should always familiarise themselves with the characteristics, expenses and risks of the mutual funds which are outlined in the simplified prospectuses, fund regulations and price list of mutual funds, for example. Funds
Risk class
Investment policy Fund
Low risk
High risk
Fund facts Value 31-05-2011 (EUR) 1.15416 ISIN FI0008808969 Distribution of income Yes Benchmark index Barclays High Yield Bond (EUR Hedged) -index Duration 4.00 Web site www.danskeinvest.fi Launch 15-06-2005 Total assets , million (EUR) 209.77 Base currency EUR Minimum subscription 500 EUR
Danske Invest High Yield (non-UCITS) is intended for investors who are looking for an investment solution on the US High Yield bond markets that is profitable, professionally managed and well-diversified. High Yield bonds, with poorer credit ratings, offer investors the opportunity to seek higher returns than higher-rated Investment Grade bonds. The recommended investment horizon in the fund is more than three years. The assets of Danske Invest High Yield are invested mainly in the US Dollar High Yield Bond fund managed by Merrill Lynch International Investment Funds, the assets of which are invested mainly in the US High Yield bond markets. The general performance of the US fixed income markets is reflected in the value of the fund.
Performance 31-05-2011
Benchmark index Unofficial Barclays High Yield Bond (EUR Hedged)- Index
Portfolio manager Subscription fee Redemption fee TER 2010 Management fee
1,00 % / 8 EUR 1,00 % / 8 EUR 1,08 % 0.75 %
Danske Capital, Sampo Bank plc
Major investments 31-05-2011 Issuer Blackrock - US Dollar High Yield Bond Fund A2 Other
%
96.85 % 3.15 %
Key f igures - 1 y 31-05-2011 Volatility (%) Sharpe Tracking error IR Alpha Beta Duration
4.963 2.919 3.117 -0.175 -0.811 1.009 4.
Performance 31-05-2011 YTD 1 month 3 month 6 month 12 month 36 month Fund 5.31 0.27 1.81 7.36 15.48 24.09 Benchmark index 5.65 0.60 2.73 6.72 17.29 36.67
Start 6.13 8.39
This Fund Review is not an invitation to subscribe or redeem Fund units. Even though the aim has been to give reliable information, Sampo Bank and Sampo Fund Management Ltd guarantees neither the completeness nor correctness of the information contained in this Fund review nor shall be held liable for any errors or omissions in the information contained therein. Past mutual fund performance is no guarantee of future returns. The return and interest expectations used in the review are not intended to be perceived as promises of future returns or interest. Investment always involves fluctuation in value the value of an investment may either rise or fall and customers are therefore at risk of losing assets invested in a mutual fund. There is no guarantee of actual returns or that the performance of the investment will be in accordance with the expected returns or always positive. Before making an investment decision, customers should always familiarise themselves with the characteristics, expenses and risks of the mutual funds which are outlined in the simplified prospectuses, fund regulations and price list of mutual funds, for example. Funds simplified prospectus and regulations can be found from www.danskeinvest.fi
Da nske Invest High Yield Fund D (non-UCITS) Bond funds
Portfolio manager review Data about the US Economy at the beginning of the month was reported at consensus or slightly better. Employment data surprised to the high side. Unemployment rate dropped 0.1% to 8.8%. ISM Manufacturing also came in better than expected, signaling the possibility for continued manufacturing strength. However, the trend halted as data arriving mid month revealed a weaker tone to the economy. Jobless claims, which are reported weekly, crossed back to greater than 400k after being below 400k for most of March. As liquidity continues to dry up as we approach the end of QE2 , the Fed has had to buy a large chunk of on-the-run (OTR) issues in addition to off-the-run Treasuries that look attractively valued. The total OTR issues purchased this month was 30% (about $25 billion) of the $83.8 billion purchased. Early in the month, S&P announced that the credit rating of US debt was being placed on outlook negative. The FOMC meeting on April 27, 2011 proceeded in line with expectations, stating that QE2 will be concluded at the end of June but that the reinvestment of pay-downs would continue. Furthermore, the Fed will keep rates low for an extended period. In the statement, the FOMC reduced its projections for growth while increasing its projections for inflation, as expected. In a highly anticipated move, Chairman Bernanke held the first-ever press conference in an
effort to increase transparency around the FOMCs decisions. During the Q&A session, Bernanke emphasized that inflation expectations, which currently appear “well anchored,” are the key near-term issue for the Fed. April marked the fifth consecutive positive monthly gain as the Barclays High Yield Index posted a +1.55% total return, bringing yearto-date total returns to almost 5.5%. Higher beta outperformed during the month as tripleCs were +1.87%, single-Bs +1.46%, while double-Bs gained +1.42%. Notably, all sector within the High Yield Index posted positive returns in April. The best performing sectors were Property & Casualty Insurance (+3.88%), followed by electric utilities (+3.15%), and supermarkets (+2.99%). The underperformers for the month were airlines +0.08%, media +0.88%, and other financials +0.94%. New issuance for the month continued to be robust, with little pushback from clients regarding pricing and the majority of deals well bid on the break. The new issue calendar for the month totaled $26.8 billion, bringing year-to-date issuance to $116.4 billion. This pace is marginally higher compared to April 2010. (24.5.2011)
Return
Return and dividends for individual years
2006
2007
2008
2009
2010
Fund Benchmark index
6.78 12.52
4.13 0.58
-26.04 -28.39
43.10 59.27
13.64 15.18
This Fund Review is not an invitation to subscribe or redeem Fund units. Even though the aim has been to give reliable information, Sampo Bank and Sampo Fund Management Ltd guarantees neither the completeness nor correctness of the information contained in this Fund review nor shall be held liable for any errors or omissions in the information contained therein. Past mutual fund performance is no guarantee of future returns. The return and interest expectations used in the review are not intended to be perceived as promises of future returns or interest. Investment always involves fluctuation in value the value of an investment may either rise or fall and customers are therefore at risk of losing assets invested in a mutual fund. There is no guarantee of actual returns or that the performance of the investment will be in accordance with the expected returns or always positive. Before making an investment decision, customers should always familiarise themselves with the characteristics, expenses and risks of the mutual funds which are outlined in the simplified prospectuses, fund regulations and price list of mutual funds, for example. Funds
