TOP FUND Slovakia 2013 Tatra Asset Management, správ. spol., a. s., Raiffeisen European High Yield Fund
TAM-Raiffeisen European High Yield Fund, a mutual fund launched in 2013 by Tatra Asset Management exclusively for Tatra banka private banking clients, won an award in the TOP FUND Slovakia 2013 competition.
The annual competition is organized by Ecopress publishing house in cooperation with the Slovak Association of Asset Management Companies. The winning funds were chosen from more than 450 funds of domestic and foreign managers with authorization to be sold in Slovakia.
TAM-Raiffeisen European High Yield Fund, an exclusive solution offered by the private banking of Tatra banka, won the award as the Bestselling Mutual Fund in the category of Other Funds.
Tatra Asset Management, the largest manager of mutual funds in Slovakia, launched this fund at the beginning of June 2013. It was the first mutual fund in Slovakia investing within the master/feeder structure. This new approach was facilitated by the UCITS IV Directive regulating the terms of collective investment in Europe.
The said structure enables the TAM-Raiffeisen European High Yield Fund (feeder fund) to invest 85 to 100 percent of its assets in the master fund Raiffeisen Europa High Yield, a foreign mutual fund. The annual performance of the master fund since launch in 1999 has been 6.2 percent. The manager of the master fund is Raiffeisen Capital Management, the largest Austrian manager of mutual funds. In addition to a sophisticated investment strategy of the foreign master fund, clients who invest in the feeder fund thus also benefit from a domestic solution. This means that the fund is subject to a simpler system of recording and taxation compared to foreign mutual funds.
TAM-Raiffeisen European High Yield Fund offers an opportunity to share the returns of the European high-yield bond market (market of corporate high-yield bonds). In terms of risk diversification, an investment in the fund is a more suitable solution than the purchase of individual high-yield bonds. The fund represents an interesting solution for clients seeking higher return in a medium-term horizon. It may also attract clients looking for the source of a regular income, because it pays a share of the return once a year.