INVL Asset Management’s asset management companies in Lithuania and Latvia will merge two investment funds managed in Latvia, Finasta Obligāciju Fonds and Finasta Sabalansētais Fonds, into the Finasta Emerging Europe Bond Subfund which is managed in Lithuania.
The Invalda INVL asset management group companies made this decision seeking to optimize the management of its investment funds, since the strategies of the funds being merged partly coincide. Completion of the funds’ merger is planned on 19 January 2016. The Latvian and the Lithuanian supervisory institutions approved the merger of the funds on 2 December, 2015.
“This decision lets us concentrate the management of investment funds within the group’s companies, focusing on the historically most successful strategy for these funds’ investments in bonds,” said Tomas Krakauskas, the head of the Investment Management Department at INVL Asset Management.
After the merger, the participants of Finasta Obligāciju Fonds and Finasta Sabalansētais Fonds will become participants of the Finasta Emerging Europe Bond Subfund, which is registered in Lithuania and distributed on an international scale. Their investments will come under the rules of the Finasta Emerging Europe Bond Subfund. Finasta Obligāciju Fonds and Finasta Sabalansētais Fonds, which currently operate in Latvia, will cease operations after the merger.
Participants of the Finasta Emerging Europe Bond Subfund, which operates in Lithuania, will not experience any significant impact or restriction of rights due to the planned merger. Their investments will continue to accumulate on the same terms, with no change to the investment fund rules, investing risk, policy on applicable deductions or issuing of periodic account statements.
The merger is intended to ensure maximum possible return on investments for clients. The Finasta Emerging Europe Bond Subfund which will continue after the merger is more liquid and has smaller management costs than the funds being merged into it, and its past investing results are better.
The international agency Morningstar has given the Finasta Emerging Europe Bond Subfund a five-year performancerating of 4 stars, which is better than the ratings achieved by any other company’s investment funds set up in Lithuania. The fund, which is also rated by Lipper Leaders, is currently distributed in Lithuania and Sweden, and its units can be purchased on the Nasdaq Baltic securities exchange.
In addition, INVL Asset Management has permissions to distribute this fund in Latvia, Finland, Norway, Denmark and Germany. The Finasta Emerging Europe Bond Subfund is one of four subfunds of the Finasta Umbrella Fund.
The Finasta Emerging Europe Bond Subfund currently has EUR 16.94 million of assets under management, while Finasta Obligāciju Fonds has EUR 1 million and Finasta Sabalansētais Fonds has EUR 0.97 million of assets.
INVL and Šiaulių bankas merged their retail services as of 1 December 2023.
Please select Your topic on SB.lt webpage.
INVL and Šiaulių bankas merged their retail services as of 1 December 2023.