AEGON Smart Money Investment Fund of Funds


General information 

Investment policy of the Fund

The Fund’s objective is to establish an investment portfolio with a „total return” perspective – to achieve positive return for the investor under any circumstances. The Fund attempts to reach this goal by selecting - subsequent to the application of different ways of analysis - those asset classes that bear the highest potential for appreciation. Investments are performed through the purchase of investment Fund’s shares and collective investment securities.

According to the professional consensus 40 percent of the return of a given portfolio is determined by the selection of the asset classes. With regard to this, one of the most important steps in carrying out investment activity is the selection of the appropriate asset class, which requires increased awareness, market experience and deeper analysis, forecasting capability, and last but not least an immense amount of time. These capabilities and resources can be found typically among professional investors, and consequently it is them who make and carry out those decisions that result the highest profit with the most advantageous risk/reward ratio.

To achieve a continuously positive return the Fund actively uses risk management procedures, primarily so-called „stop-loss” procedures. Further, the sizes of positions that bear higher risk are selected with the utmost care.

With the help of AEGON derivative Funds the AEGON Smart Money Investment Fund of Funds will have the opportunity of „short-selling” and thereby the ability to realize positive returns not only in rising markets, but in falling ones as well.


Investment Universe

The Fund primarily invests its capital into the investment funds, managed by AEGON Hungary Fund Management Co., but it is also allowed to invest into other investment Funds, or purchase collective securities for its portfolio with the objective of diversification, or if the given asset class should not be covered by the Funds of the Fund Management Co.

Indirectly, the Fund is able to reach the total today known investment universe through the units of the investment funds (bond market, money market, stock market, real estate market, private equity, derivatives and other regulated and OTC derivative products, commodity market products, currency, etc.) and realize investments on domestic and international level as well.

To assure liquidity, the Fund can hold government bonds and treasury bills issued in the name of the Hungarian State by the Hungarian Government Debt Management Agency and distributed within the framework of PDS – the primary system for distribution of government securities – as well as bonds issued by the National Bank of Hungary (Central Bank) and other money market instruments in its portfolio.


Benchmark Index

The Fund has no benchmark index, but wishes to achieve a positive return under any market circumstances.


Whom do we suggest the Fund to?

To achieve competitive and positive return, even under challenging market conditions, is getting more and more important for investors. Many of them would have never thought of that such a horrible fall of prices could happen after 4 years of bull market.

There is a fundamental need for an Investment Fund, which could limit the losses suffered in the current turbulent market situations, and which does not leave the investors alone, moreover: enrich them with serious profit. Accordingly, this Fund is an ideal solution for cautious investors, with small risk appetite, who would like to invest assets in a minimum of 1 year time period, and do not want to take time following up the markets (worry about their savings), but would like to have the ability to achieve double digit yields, if the market conditions are favorable.

The Fund thus takes the heavy weight off the investor’s shoulders like: asset allocation between the asset classes, and switching to the appropriate Fund.


Risk

The Fund has moderate risk rating of AEGON Fund Management Company. The range of investments could include foreign exchange denominated ETF’s, units of Funds, that is why the investors have foreign exchange risk.

To achieve positive return, the Fund actively uses risk limiting processes, like stop-loss orders, and careful position sizing in the higher-risk category.


Suggested minimum time period of investment

1 year


Volatility of yields and prices

The return of the Fund may change from time to time to other factors: depending on the current capital market trends and future expectations concerning the development of devices, the asset class’s under or over-weight within the portfolio as allocated by the Fund Manager. However, the Fund's yield is influenced by the domestic and international capital markets and exchange rate developments.


The price fluctuation is average, dependent on the capital markets and typically much lower than in the equity sector, but higher than in case of a Money Market Fund. The Fund is the first Absolute Return Investment Fund of Funds, launched with the aim: to have a positive return even under difficult market conditions, and to make double digit profit if the international market sentiment allows.


Market Summaries - Monthly Portfolio reports


Here you can check the monthly portfolio reports of AEGON Smart Money Investment Fund of Funds