* The exchange rate movements of international assets in the fund’s portfolio are not hedged against the forint. Thus, the savings of the fund’s investors are invested in assets denominated in various currencies. This means that if the forint weakens, it adds to the underlying international assets, while if the forint strengthens, it detracts from the fund’s performance calculated in forints.

The Central European region on the eastern flank of the European Union is capable of greater economic growth than the core countries. As part of the catch-up process, these countries can enjoy larger EU transfers, and lower penetration means that greater growth is possible in certain sectors. The Fund aims to profit from this convergence phenomenon, i.e. from the fact that the Central European region is part of the common EU market, thus catching up with developed markets implies a faster growth path with higher stock market returns. Accordingly, the Fund mainly invests in the regulated markets of Central Europe (meaning the regulated markets of Hungary, Poland, the Czech Republic, Romania, and Austria) and, to a lesser extent, the Eastern European region (including the regulated markets of Croatia, Slovenia, and the Baltic states) in order to provide investors with the highest possible returns.

Who is it recommended for?

The investment fund is a good choice for those who are willing to take on medium-high risk in order to achieve higher returns in the long term. This Fund may not be suitable for investors who want to withdraw their money from the Fund within 3 years.

SIFI Central European Equity Fund Series