- Advertisement -
- Advertisement -

Related

DNB ECO is Looking for a New Name

Latest Report

- Advertisement -

Stockholm (HedgeNordic) – DNB ECO Absolute Return, a market-neutral fund focused on the renewable energy sectors, is set to change its name after Sweden’s Ethical Committee for Fund Marketing (ENF) stated the terms “absolute return” and “eco” are misleading. Two other funds – Nordnet Superfonden Sverige and Swedbank Robur Kapitaltygg (translated as capital protection) – must also change their names.

In a statement issued by EFN addressed specifically towards DNB ECO Absolute Return, EFN wrote that the term “absolute return” is difficult to understand for individuals not active in the fund industry, adding that the word can give clients a false impression that return is guaranteed. According to the statement, the term “absolute return” can lead investors to formulate wrong expectations and thereby the word should not be used as part of a fund’s name. Concerning the “eco” term, EFN wrote that the average investor might perceive this word as an abbreviation for “ecological.” The term, therefore, can give investors the impression that the fund only invests in organic products.

According to the same statement issued by EFN, DNB has yet to decide on a new name for DNB ECO Absolute Return, but “Absolute Return” will likely be replaced with “Market Neutral L/S.” EFN is an independent committee tasked with monitoring and ensuring that all investment fund marketing is conducted following good marketing practices and market rules.

 

Picture © shutterstock_Carlo-Taccari

Subscribe to HedgeBrev, HedgeNordic’s weekly newsletter, and never miss the latest news!

Our newsletter is sent once a week, every Friday.

Eugeniu Guzun
Eugeniu Guzun
Eugeniu Guzun serves as a data analyst responsible for maintaining and gatekeeping the Nordic Hedge Index, and as a journalist covering the Nordic hedge fund industry for HedgeNordic. Eugeniu completed his Master’s degree at the Stockholm School of Economics in 2018. Write to Eugeniu Guzun at eugene@hedgenordic.com

Latest Articles

Quirky Questions – or, A Peoples Business

If asset management were only about numbers, we could all go home and let the calculators get on with it. But calculators are dull...

Navigating CLOs Through ETFs: Opportunities in AAA-Rated Tranches

By UBS Asset Management: Collateralized Loan Obligations (CLOs) have long been a cornerstone of the U.S. securitized products market, evolving from a niche institutional investment...

From Core to Alternatives: The ETF-Driven Approach of a Finnish Wealth Manager

Wealth managers are tasked with designing investment portfolios that align with clients’ needs, objectives, risk tolerance, preferences, and financial circumstances. While high-net-worth clients often...

The Awkward Problem with Managed Futures ETFs

By Andrew Beer, Co-Founder of DBi and Co-Portfolio Manager: The problem with managed futures ETFs is not that they don’t work well. It’s that...

The Old “Active vs Passive” Debate is Dead

By Richard Oldfield, Group CEO of Schroders: As investors grasp the dangers of market concentration and turn increasingly to specialist investment vehicles and private...

Ridge Capital Strengthens Client-Facing Team with London Hire

Credit hedge fund manager Ridge Capital has strengthened its client-facing team with the hiring of Pierre Giannini as Business Development and Investor Relations Europe....

Allocator Interviews

In-Depth: High Yield

Voices

Request for Proposal

- Advertisement -
HedgeNordic
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.