The CNMV has authorised the application by Sabadell Asset Management, as Management entity, and BNP Paribas, branch in Spain, as Depositary entity, for the merger by absorption of Sabadell Bonos Interncional and Sabadell Bonos Emergentes into Sabadell Dólar Fijo.
Sabadell Dólar Fijo is an International Fixed Income Investment Fund with an investment horizon of at least five years.
The management takes as a reference the performance of the index formed from the average revaluation achieved by the investment funds in the “Long Term Fixed Income United States” category.
The Fund invests in fixed income assets, both public and private, with a duration ranging from 0 to 15 years and mainly in US markets. In uncertain or adverse situations in the fixed income markets, shorter term and even money market assets may be considered. There is no predetermination in terms of credit rating by the various specialised agencies in the selection of fixed income investments. Exposure to non-euro currency risk is more than 10%. The Fund’s portfolio may be wholly invested in securities of issuers based in any OECD country in the following currencies: US dollar, Canadian dollar, Australian dollar and pound sterling.
The Fund actively manages its exposure to currencies other than the euro and may manage the risk arising from exchange rate fluctuations. It may also invest in deposits with credit institutions and in non-traded money market instruments as well as, up to 10% of the net assets, in financial CIIs, whether harmonised or not, that are eligible assets, including those managed by Sabadell Asset Management, which have an investment objective consistent with the investment policy.
The maximum exposure to market risk through derivatives is the amount of the net assets. It may invest more than 35% of the assets in securities issued or guaranteed by an EU State, an Autonomous Community, a Local Entity, International Organisations of which Spain is a member and States with solvency no less than that of Spain. The CIS diversifies investments in the aforementioned assets in at least six different issues. Investment in securities of the same issue does not exceed 30% of the assets of the CIS.
It may operate with derivatives traded on organised derivatives markets for hedging and investment purposes and non-traded derivatives traded on organised derivatives markets for hedging and investment purposes. These transactions involve risks due to the possibility of less than perfect hedging and the leverage involved. The maximum exposure to market risk through derivative financial instruments is the amount of the net assets.
It may invest up to an aggregate maximum of 10% of the net assets in assets that could introduce a higher risk than the rest of the investments as a result of their characteristics, inter alia, liquidity, type of issuer or degree of investor protection. Specifically, investments may be made in Fixed income assets admitted to trading on any over-the-counter market or trading system or which have other mechanisms in place to ensure their liquidity at least as frequently as the Fund meets its redemptions. The selection of these investments will take into account issuers which, in the opinion of the Management Company, have a low probability of repayment and will follow the same rating requirements as for other fixed income investments.
