OP-Private Strategy 25 Fund

OP-Private Strategy 25 is a balanced fund which mainly invests its assets in international equity and bond markets.

In the basic allocation, the fund invests 25% of its assets in equity and 75% in fixed income. The Fund’s investments in fixed-income instruments may account for 90–60% of the Fund’s value and those in equity-linked instruments for 10–40%. The Fund's interest-rate risk exposure may be a maximum of 10, measured by modified duration. The Fund may also make minor investments in alternative vehicles (e.g. real estate funds, commodity mutual funds and absolute return funds). The Fund makes investments mainly through other mutual funds. In its investment operations, the fund may use derivative instruments in order to hedge against the risk of adverse market movements, to replace direct investments and to promote otherwise effective portfolio management. Derivatives are chiefly used to manage equity and interest rate risks. The Fund diversifies its equity investments on a broad basis among various companies and bonds, since they are mainly implemented using funds. The fund is an AIF fund, based on the Alternative Investment Fund Managers Directive, since it may invest in vehicles not available to funds under the UCITS Directive.

The Fund promotes environmental and social characteristics and, to ensure it, uses environmental, social and governance (ESG) analysis and excludes certain investments. For more information about the ESG methods used, see the fund prospectus. The “do no significant harm” principle applies only to those investments underlying the fund that take into account the EU criteria for environmentally sustainable economic activities. The investments underlying the remaining portion of this fund do not take into account the EU criteria for environmentally sustainable economic activities.

The Fund promotes environmental and social characteristics by integrating fund level as well as fund-look-through analysis and monitoring of sustainability factors into the investment process. The Fund does not emphasise or prioritise any single theme or sustainability factor, but addresses sustainability factors widely, avoiding investments in controversial activities and business with adverse environmental or social impacts and by emphasising funds that promote environmental and/or social characteristics or aim to invest sustainably.  

To the extent that the Fund engages in sustainable investment, in other words investing in financial activities that promote either environmental or social objectives, steps are taken to ensure that these sustainable investments do not cause significant harm to any sustainable investment objective. OP Asset Management uses several data sources from different service providers. 

The primary data sources are Bloomberg, Morningstar, MSCI ESG Research and S&P Trucost. Data from Bloomberg and Morningstar are mainly used for fund level analyses. MSCI ESG Research and S&P Trucost provide information on topics such as the sustainability risks of investee companies, share of business operations with adverse impacts, climate risks and opportunities, and how the operations of investee companies align with the UN Sustainable Development Goals. Data from these service providers are used to the extent that the Fund invests in mutual funds managed by OP. The service providers use both data reported by the companies and estimates based on an assessment model developed by each service provider.

Regarding mutual funds managed by OP, the principal adverse impacts (PAI) on sustainability are regularly analysed by screening all investments for their PAI indicators. If the screening reveals investee companies with significant principal adverse impacts on sustainability in comparison to peers, and if the said PAI indicator is deemed essential for the investee company, the investee company will be monitored more closely and excluded, if deemed necessary. Also, a process to engage with the company can be started. For investments in funds other than OP funds, the extent to which PAI factors can be addressed depends on the availability of data, and our processes can develop as the availability and quality of data improve.

As our owner-customer, saving and investing is especially worthwhile thanks to the excellent benefits you receive.

Your benefits when investing in funds:

• Buy and sell almost all OP mutual funds with no fees.*
• You earn 0.35% OP bonuses from mutual fund and insurance assets.** 

Your benefits when investing through insurance: 

• Begin saving through insurance free of charge. 
• You will earn 0.35% of OP bonuses from funds linked to insurance assets.***
• Switch between investments, invest additional funds and change your payment and investment plan for OP Unit-linked Insurance and OP Capital Redemption Contract free of charge in our digital services.  

**OP bonuses are used to pay the bank’s service charges and insurance premiums.

***You earn OP bonuses from unit-linked insurance policies, excluding individual unit-linked insurance policies and Individual Capital Redemption Contracts. The principles of contribution towards OP bonuses from funds linked to insurance assets will be harmonised with direct investments. As of 1 January 2025, the following funds linked to insurance assets will no longer contribute towards OP bonuses: third-party funds such as JP Morgan funds, structured loans and institutional class funds such as OP-World III A.

Your benefits in equity and ETF investing:

• Open an equity savings account or book-entry account free of charge.
• You get a discount on equity trading and a 1% fee ceiling when trading in Finnish listed companies through a book-entry account The discounts apply in digital services.
• Get access to free stock picks and analysis.
• Get a discount on the service packages for savers and investors:
  Equity savings account: 
  Saver: €0/month (normally €2.99/month)
  Investor: €9.99/month (normally €14.99/month)
  Book-entry account: 
  Saver: €0/month (normally €2.99/month)
  Investor: €0/month (normally €5.39/month)

Other benefits:

• Only owner-customers can invest in Profit Shares.

Remember to make use of all benefits: