Evli Swedish Small Cap

Equity fund that invests in small and medium-sized Swedish companies (SEK-denominated)

NAV
25.02.2021
Return %
Year-To-Date
Return %
1 y
Return % p.a.
3 y
Return % p.a.
5 y
Return % p.a.
Since start
5158.364 3.67 57.54 30.84 21.65 17.84
NAV
25.02.2021
Return %
Year-To-Date
Return %
1 y
Return % p.a.
3 y
Return % p.a.
5 y
Return % p.a.
Since start
8111.361 3.67 57.54 30.84 21.65 17.84

Risk

6/7

Morningstar

4/5

Recommended Investment Horizon

7 years or more

Administrative fees

1.60 % p.a.

Suitable for investors

  • who wish to invest in Swedish small caps
  • who are looking to diversify their current portfolio
  • who want to invest responsibly and take into account not only economic analysis but also environmental, social and good governance (ESG) factors.

Invest

min. 1 000 SEK or 50 €/month

Investment Policy

Evli Swedish Small Cap Fund is an equity fund that invests mainly in equities and equity related securities of publicly traded small and medium sized Swedish companies. When selecting investments the main focus is on solid, well-managed companies with an attractive fundamental valuation. The portfolio is concentrated to a smaller amount of holdings (30 - 40 equities), which means possible higher returns but with a higher risk compared to a broad Swedish equity fund.

The fund’s base currency is the Swedish krona.

Responsibility

ESG factors are integrated into the fund's investment decisions, and the fund follows Evli's broader exclusion practices. In addition to Evli’s general exclusion practices, the fund excludes companies with significant business in the following sectors: alcohol, weapons, tobacco, adult entertainment or gambling. In addition, fossil fuel extracting, mining, drilling and refining companies are excluded from the fund's investments. The fund's investments are monitored for violations of UN Global Compact norms and the Climate Change Principles, and the fund engages with the companies it invests in or excludes them if violations are detected. The fund's ESG indicators are reported in a fund-specific ESG report, which is updated four times a year.

Read more about Evli's responsible investing

 

The portfolio is managed by

Janne Kujala

Janne Kujala

Investment Objective and Risks

The aim is to achieve a high return which, in the long term, exceeds the return of the benchmark index.

Monthly review

31.01.2021

In some ways, stock market behavior in January had a familiar feel to it.

Of course, there were new variations on old phenomena – such as a short squeeze in a heavily shorted share in the US, the new twist being that the squeeze was instigated by a subreddit community. In the same vein, and related to the short squeeze in Gamestop, some hedge funds got in trouble, which lead to position unwinding in other investments - which of course lead to increased volatility. In the larger scheme of things, nothing new under the sun.

Overall, global stock markets took a slight step down in January, with broad European and US indices negative for the month. Likewise Swedish small caps.

But to the point of familiarity in stock market behavior: it often seems that, come January, a portfolio that worked well in the latter part of the previous year starts to lag the market. Stocks that underperformed the previous year (or longer) are suddenly bid up in the market, and investors’ focus shifts to whatever is the new consensus theme (looks like it’s the reflation trade this time around). Our portfolio did very well especially during the latter half of 2020, but in January 2021… not so much. In our experience, the January dash-for-trash usually evens out by March.

The fund underperformed the benchmark index in January. Relative performance was hurt the most by our overweights in Storytel (Spotify’s entry into audiobooks probably weighed on the share) and BHG Group (no major news). Aiding relative performance the month were our overweights in NCAB Group and Sdiptech (no major news in either). Besides exiting Cellink, there weren’t major changes to the portfolio in January. 

Fund facts

Type of fund Swedish smaller companies fund (UCITS)
Investment activity began 29.05.2008
Benchmark index Carnegie Small Cap Return Index Sweden
Profit distribution Fund-units are divided into A and B units. Profit share of at least 4% is distributed on A units annually.

Downloadable files

Invest

min. 1 000 SEK or 50 €/month