Evli Swedish Small Cap

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

NAV
02.07.2020
Return %
Year-To-Date
Return %
1 y
Return % p.a.
3 y
Return % p.a.
5 y
Return % p.a.
Since start
3411.648 7.81 13.66 13.62 13.19 14.89
NAV
02.07.2020
Return %
Year-To-Date
Return %
1 y
Return % p.a.
3 y
Return % p.a.
5 y
Return % p.a.
Since start
5364.706 7.81 13.66 13.62 13.19 14.89

Risk

5/7

Morningstar

3/5

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.

Invest

min. 1 000 SEK or 50 €/month

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 investment policy complies with Evli Fund Management Company's policies for responsible investment, in addition to which the fund excludes from its investments companies with substantial business in the following areas: alcohol, weapons and firearms, tobacco, adult entertainment or gambling. The fund also excludes companies that produce fossil fuel from its investments. 

The fund’s base currency is the Swedish krona.

 

The portfolio is managed by

Evli Fund Management Company

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

31.05.2020

This year, investors just weren’t in a “sell in May and go away” mood.

Instead global equity markets took another step higher, leaving many wondering about the seeming disconnect between the real economy and the stock market. Another age-old stock market saying, “don’t fight the Fed”, might be of help in trying to understand the diverging fortunes of Wall Street and Main Street. We’re just guessing of course. Momentum and growth styles prevailed strongly for most of May, though value and cyclicals started performing during the last week. A broadening of stock market strength likely would be a good thing for the longevity of the rally.

The fund outperformed the benchmark index in May. Relative performance was aided the most by our overweights in MIPS (no major news) and Beijer Ref (no major news). Conversely, biggest detractors from relative performance were our overweight in NCAB group (solid Q1 report not enough after April rally) and underweight in Evolution Gaming (we exclude gambling-related companies from the portfolio).

There weren’t major changes to the portfolio in May. TF Bank was the sole exit. There were no new positions.

Looking back to notable portfolio changes during the corona crisis, in the March-May period we entered 5 new positions and exited 5 positions. As a principle, we build our fund bottom-up in a way that should result in a resilient portfolio come what may on the macro front, and don’t base our selections on a view of the economy. Hence, our new positions (Cibus, Medcap, Platzer Fastigheter, Sweco and Stillfront) aren’t based on what we think the world will be like in the wake of the pandemic, but rather on the market providing attractive entry points to stocks we think likely are good investments going forward.

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