The overall investment objective and policy of the Sub-Fund is to seek, in the medium term, a regular rate of total return consistent with the preservation of capital by investing primarily in short term fixed income securities from the Euro bond market.
The Sub-Fund seeks to outperform the Euro MTS 1-3 years index.
The portfolio will be mainly invested in fixed rate bonds, EU government bonds and in debt obligations issued or guaranteed by EU member states. At least two-thirds of the Sub-Fund's total assets will at all times be invested in securities denominated in EUR. The average duration of the portfolio may not exceed one year and the residual duration of each investment may not exceed three years.