06 Mar 2015 10:53

SEB ÖkoRent: changes as of 17 April 2015

We wish to inform unitholders of the fund SEB ÖkoRent (ISIN LU0041441808) that the fund will undergo material changes as of 17 April 2015.  The new name of the fund is SEB Green Bond Fund, which reflects the fund’s new investment objective. Kindly continue reading for a description of the additional changes.

You are not required to take action due to the changes proposed here. Your units in the fund will be automatically converted to share class D (EUR) in the fund which is a distributing class.

If you do not wish to invest in the fund in its new form, you may redeem your units within a month from the date of this notice, without being charged a redemption fee. Kindly consult your financial or tax advisor regarding possible tax consequences that may result from the redemption. Note that this information is also provided in German, see the article "Mitteilung an die Anteilinhaber des SEB ÖkoRent" also published on this website.

Investment information

  • The fund’s portfolio was invested primarily in sustainable bonds.
  • As of 17 April 2015, the fund’s portfolio will be invested primarily in green bonds globally. The proceeds of green bonds are allocated to projects that have a direct or indirect benefit on the environment such as wind farms, water purification plants, clean transportation, sustainable agriculture, and waste management.

Financial year

  • The fund’s financial year has been 1 May to 30 April.
  • Starting in 2016, the financial year of the fund will be 1 January to 31 December.
  • As a consequence, two audited reports will be produced in 2015: the first report on 30 April 2015 and the second report on 31 December 2015. Note that the Management Company will pay for the report produced for the period 1 May to 31 December 2015.

Annual ongoing charges

  • The previous annual ongoing charge was 1.01 percent, calculated based on data from financial year 2013.
  • The annual ongoing charge is now estimated at 0.76 percent.

Entry fee

  • An entry fee of 1.5 percent will be charged for new investments for the following fund class: D (EUR).
  • As a current unitholder in the fund you are exempt from the entry fee if you allow your units to become D (EUR) units on 17 April 2015. However, you will be subject to an entry fee if you wish to invest in class D (EUR) after this date.

Value at risk (VaR) is a financial term that indicates an investment’s level of risk. In its most common form, VaR indicates the size of the risked amount in an investment. For example, with a specific percentage probability, a fund should not lose more than a specific amount in a period of time.

  • The fund used the relative VaR approach. Relative VaR describes the risk in the fund divided by the risk in the benchmark.
  • As of 17 April 2015, the fund will use the absolute VaR approach. This describes the absolute risk in the fund.

Synthetic risk and reward indicator
The synthetic risk and reward indicator (SRRI) is the standard EU scale for mutual funds. The scale ranges from one to seven where seven is the highest level. The higher the fund is positioned on the scale, the greater the possible reward, but also the greater the risk of losing money. The SRRI indicator may change with time.

  • The fund was rated as four on the SRRI scale. The fund’s investments were not currency hedged, which can lead to greater volatility.
  • As of 17 April 2015, the fund is estimated to be rated as two on the SRRI scale. The investments in the fund’s portfolio are currency hedged.

Updated product documentation
Product documentation for the fund, including the above mentioned changes, will be
available as of 17 April 2015 on www.sebgroup.lu and upon request at the registered office of the Management Company.

The Management Company