DJ OSSIAM iSTOXX EUROPE MINIMUM VARIANCE NR: Restructuration of the sub-fund OSSIAM iSTOXX(R) EUROPE MINIMUM VARIANCE NR
OSSIAM iSTOXX EUROPE MINIMUM VARIANCE NR UCITS ETF (EUMV)
OSSIAM iSTOXX EUROPE MINIMUM VARIANCE NR: Restructuration of the sub-fund OSSIAM iSTOXX(R) EUROPE MINIMUM VARIANCE NR
14-Apr-2021 / 09:46 GMT/BST
Dissemination of a Regulatory Announcement, transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.
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OSSIAM LUX
Société Anonyme qualifying as a Société d'Investissement à Capital Variable
Registered Office: 49 Avenue J.F. Kennedy - L-1855 Luxembourg
R.C.S. Luxembourg B 160071
(the "Company")
Luxembourg, April 14, 2021
London Stock Exchange
10 Paternoster Sq.,
London EC4M 7LS,
The Uniyted Kingdom
NOTICE TO THE MARKET
Re: Restructuration of the sub-fund OSSIAM iSTOXX(R) EUROPE MINIMUM VARIANCE NR (the "Sub-Fund"), Share Class
UCITS ETF 1C (EUR), ISIN code LU0599612842
The board of directors of the Company (the "Board") would like to inform you that the following amendments will be made
to the prospectus of the Company in relation to the Sub-Fund:
1. Amendment to the investment objective and policy of the Sub-Fund
Please note that the Sub-Fund, which is currently a passively managed index tracking ETF sub-fund will become an
actively managed ETF sub-fund promoting ESG characteristics in relation to the investments with effect as from 22 May
2021 (the "Effective Date"):
Please find below a table setting out the current investment policy section and the updated investment policy of the
Sub-Fund:
Current investment objective and policy (effective until 21 New investment objective and policy (effective as from 22
May 2021) May 2021) (the "New Investment Objective and Policy")
Investment objective:
The objective of the Fund is to deliver the net total
return of a selection of equities which are listed in
Europe.
The Fund is an actively managed UCITS ETF.
Investment policy:
In order to achieve its investment objective, the Fund
can use total return swaps with the objective of
delivering synthetically the performance of a portfolio
of equities which are selected and weighted as detailed
under the investment strategy. This method implies a
counterparty risk as described in the below Risk and
Reward Profile. The net asset value per share of the Fund
will therefore increase (or decrease) according to the
evolution of the portfolio of equities. The counterparty
to the swaps will be a first class financial institution
that specializes in this type of transaction. The Fund
may also enter into multiple swap agreements with
multiple swap counterparties with the same
characteristics as previously described.
Alternatively, the Fund can invest directly in all or
part of the equity securities which are selected by
applying the investment strategy described below.
Investment objective:
In any case, the Fund will be invested in for a minimum
The Fund's objective is to replicate, before the Fund's fees of 75% in equities or rights issued by companies having
and expenses, the performance of the iSTOXX(R) Europe Minimum their registered office in the European Economic Area,
Variance Index Net Return closing level. excluding Liechtenstein.
The iSTOXX(R) Europe Minimum Variance Index Net Return (the In addition and on an ancillary basis, the Fund may use
"Index", ISIN: CH0124001543 ) is a total return index (net other derivatives for hedging and investment purposes as
dividends reinvested) expressed in EUR, calculated and described under "Use of Derivatives, Special Investment
published by STOXX (the "Index Provider") and initiated by and Hedging Techniques" in the Prospectus.
Ossiam. For a detailed description of the Index, see section
"Description of the Index".
The Reference Currency of the Fund is the Euro.
The anticipated level of tracking error in normal conditions The Fund is actively managed and will only use its
is 0.50% over a one-year period. benchmark, the Solactive Europe 600 Index NTR (the
"Benchmark") for performance and carbon emission
comparison purposes. The Fund's portfolio composition is
therefore not constrained by the Benchmark.
Investment policy:
In order to achieve its investment objective, the Fund will
primarily use index swaps with the objective of gaining The Management Company may invest in securities not
exposure to the Index through synthetic replication. In that included in the Benchmark based on the active Investment
case, the Fund will invest in a portfolio of assets, the Strategy further described below. The Fund's holdings may
performance of which will be exchanged against the deviate significantly from the Benchmark's constituents,
performance of the Index through swap agreements with a swap as the Benchmark will not be used as a universe from
counterparty. This method implies a counterparty risk as which to select securities.
described in the below Risk and Reward Profile. The net asset
value per Share of the Fund will therefore increase (or
decrease) according to the evolution of the Index. The
counterparty to the swaps will be a first class financial Investment strategy:
institution that specializes in this type of transaction. The
Fund may also enter into multiple swap agreements with
multiple swap counterparties with the same characteristics as
previously described. In case of synthetic replication, an The Fund seeks to achieve its investment objective by
index license contract may exist between the swap investing primarily in a dynamic selection of equities
counterparty (ies) and the index provider; therefore, listed in Europe (the "Investment Universe"). The
licensing fees may be included in the swap costs. Investment Universe is made up of the largest stocks with
ESG (Environment, Social, Governance) data which are
listed and traded on the major exchanges including but
not limited to the following countries: Austria, Belgium,
Alternatively, the Fund may invest in all or part of the Czech Republic, Denmark, Finland, France, Germany,
equity securities comprised in the Index. Ireland, Italy, Netherlands, Norway, Portugal, Spain,
Sweden, Switzerland, the United Kingdom. The list of
countries can be changed from time to time to take into
account structural changes in each market.
The Fund may, with due regard to the best interest of its
Shareholders, decide to switch partially or totally from one
of the above described policies to the other (i.e. synthetic
replication vs. physical replication). In order to achieve its investment objective, the
Management Company uses a quantitative model which
implements a rules-based approach that aims to assess the
securities from the Investment Universe.
In both replication strategies, the Fund shall be permanently
invested for a minimum of 75% in equities securities or
rights issued by companies having their registered office in
the European Economic Area, excluding Liechtenstein. The model uses ESG (Environment, Social, Governance) data
provided by leading data providers, such as
Sustainalytics or Trucost, (the "ESG Providers") as
inputs in its quantitative model to first apply, to 90%
In addition and on an ancillary basis, the Fund may use other minimum of the portfolio, an "Ethical Filter" to exclude
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