LHV Pensionifond XS
Suitable if
- you have less than 3 years left until retirement,
- you have low risk tolerance,
- your aim is to preserve your savings and avoid losses
Loss-avoiding XS
- At least 80% of the XS fund assets are invested in investment-grade bonds, money market instruments traded on a regulated market, deposits, units or shares of other investment funds investing mainly in the above assets, and other assets.
- The money accumulated for pensions in the S fund remains stable. In investing, we follow the rating restrictions imposed by legislation governing conservative pension funds.
- The fund’s preferred long-term asset class is low-risk debt instruments.
Romet Enok
Fund Manager at LHV
„Bond price movements are starting to calm down with the expectation that inflation risk has been brought under control. In such an environment, bonds are once again offering returns.“
Biggest investments
The data is presented as at 31.03.2024
Biggest investments | |
---|---|
Luminor 7.75% 08/06/2027 | 7.51% |
Riigi Kinnisvara 1.61% 09/06/27 | 6.68% |
German Treasury Bill 16/10/2024 | 5.71% |
France Treasury Bill 30/10/2024 | 5.70% |
ZKB Gold ETF | 5.62% |
ALTUMG 1.3% 07/03/25 | 4.43% |
German Treasury Bill 1% 15/08/2024 | 4.14% |
German Treasury Bill 19/06/24 | 4.13% |
Bank Gospodarstwa Krajow 1.375% 01/06/25 | 4.08% |
Kojamo 0.875% 28/05/2029 | 3.38% |
Biggest investments in Estonia
Biggest investments in Estonia | |
---|---|
Luminor 7.75% 08/06/2027 | 7.51% |
Riigi Kinnisvara 1.61% 09/06/27 | 6.68% |
Coop Pank 5.0% 10/03/2032 | 2.69% |
Asset Classes
Information about the fund
Information about the fund | |
---|---|
Volume of the fund (as of 31.03.2024) | 12,022,935.40 € |
Management company | LHV Varahaldus |
Equity in the fund | 40,000 units |
Rate of the depository’s charge | 0.0451% (paid by LHV) |
Depository | AS SEB Pank |
Entry fee: 0%
Exit fee: 0%
Management fee: 0,5040%
Success fee: no commission
Ongoing charges (inc management fee): 0.57%
Ongoing charges are based on expenses for the last calendar year, ie 2023. Ongoing charges may vary from year to year.
Terms and Conditions
Prospectus
March 2024: Gold made a noticeable contribution to the fund’s performance
Romet Enok, Fund Manager
March was a very strong month on the gold market, where the price of this precious metal rose by more than 8% in euros. We acquired gold for the fund in January 2022. A little more than two years later, the price of gold has risen by 20%, significantly contributing to the fund’s performance.
Although the main asset class of the fund is high-rated euro bonds, we are constantly looking for attractive opportunities elsewhere, including in the first quarter of this year. At a time when the European bond market as a whole remained in the red, the fund benefitted from investments such as gold and the rising bonds of both Luminor Bank and the Finnish residential real estate company Kojamo.
February 2024: The fund’s portfolio has defied the fall in bond markets
Romet Enok, Fund Manager
All major segments of European bond markets remained in the red in February. Both corporate and government securities fell by around 1% on average, while our portfolio securities showed a slight increase. The situation is the same in the summary of the first two months of the year: the markets were slightly more than 1% in the red, and our fund was marginally positive.
Interestingly, low-risk securities – such as Luminor Bank international bonds and the Finnish rental apartment business Kojamo – have contributed most to our performance. In addition, physical gold, the portfolio’s main non-bond market investment, has performed strongly. The rise in gold prices has continued and even accelerated after the end of the month.
January 2024: Reducing the risk associated with long-term bonds
Romet Enok, Fund Manager
We sold one of the fund’s largest investments: our long-term Estonian government bonds, acquired at the government bond auction of October 2022. Over the 15 months that followed, these bonds appreciated by just over 5% and generated an equivalent amount in interest. The total yield of slightly over 10% that these bonds brought to the fund clearly surpasses the yield offered by most other bonds during the same period.
The price of long-term bonds has surged in recent months. In this situation, we once again prefer to decrease risks and opt to increase the share of short-term bonds.
European bond markets saw a slight downturn in January, while our fund saw marginally positive results.
New records in stock markets
Andres Viisemann, Head of LHV Pension Funds
The world’s largest stock markets have continued the upward trend that began last October, undergoing a new period of acceleration and reaching new peaks. In my opinion, however, the biggest event in the global stock markets was the powerful rise of the Nikkei 225 index, which tracks the Japanese stock markets.