Ålandsbanken to merge two funds
Ålandsbanken, the financial services group headquartered in the autonomous Åland region of Finland, is merging its Eco Performance fund into its Europe Value fund on 28 April.
Both are Finland registered funds and the merger will be managed under Finnish funds law.
The change takes place against a background of reviewing the three year performance of the Eco Performance fund, and the relative lack of demand for a specialised environmentally focused fund, the manager said.
This has meant that the fund has not built up its assets to a sufficient volume to enable the efficencies required to make it as profitable as hoped for.
For existing shareholders, the merger means that they would go from having a global to a European investment focus.
The strategies of the two funds are similar; both take a top-down view, and they offer similar risk exposure to investors – marked 6 out of 7 on the simplified prospectus.
The Eco Performance fund has assets equivalent to €12m versus €59m in the Europe Value fund.
The merger will take place on 28 April, 2014.