Evli Plc Class B · OMXHEX:EVLI
Evli Plc Class B — Investor Presentation (February 2025)
50 slides from Evli Plc Class B's investor presentation, Feb 28, 2025
Slide 1: Evli Euro Liquidity B
EVLI EURO LIQUIDITY B This is marketing material for the fund and is not intended as investment advice or recommendation. Before making an investment decision, the investor must read the fund's key information document and other statutory information about the fund. 28.02.2025 ISIN: FI0008804463 BLO
Slide 2: Evli in Brief
2 EVLI IN BRIEF “We see wealth as an engine to drive sustainable progress.” CONFIDENTIAL
Slide 3: Evli Plc
3 ASSETS UNDER MANAGEMENT (EUR MARKET POSITION AS INSTITUTIONAL Evli Plc BILLION) DECEMBER 31, 2024 ASSET MANAGER (KANTAR PROSPERA 2024) Evli Plc is a Finnish independent investment service 18.9 1. company with a nearly 40-year operating history. We are currently Finland's leading institutional asse
Slide 4: Evli's mutual funds
4 Evli’s mutual funds FUND AUM (EUR BILLION) NUMBER OF FUNDS Funds are managed by Evli Fund Management DECEMBER 31, 2024 Company Ltd, which is a Finnish fund management company. Evli Fund Management Company is part of 13.4 64 Evli Group whose parent company is Evli Plc. Morningstar, an independent f
Slide 5: Award-winning asset management from Evli
5 Award-winning asset management from Evli Evli has been leading Kantar Prospera’s survey for 12 consecutive years in a row1. In the SFR Research’s Institutional Investment Services survey, Evli has been ranked first for five years and second place for three, based on the overall quality assessment2
Slide 6: Successful Fixed Income Management from Evli
6 SUCCESSFUL FIXED INCOME MANAGEMENT FROM EVLI The results of Evli’s corporate bonds family of funds CONFIDENTIAL
Slide 7: Evli's excellent corporate bond track record
7 Evli’s excellent corporate bond track record Quartile Rankings 4Q 2024* Historical returns are no guarantee of future returns. Morningstar Peer 3 5 10 15 Evli Fund Group Years Years Years Years EUR Ultra Short-Term Evli Euro Liquidity 1 1 1 1 Bond – The first credit fund, Evli Corporate Bond Fund
Slide 8: Evli's corporate bond funds in a nutshell
8 Evli’s corporate bond funds in a nutshell Fund Evli Euro Liquidity Evli Short Corporate Evli Nordic Corporate Evli Corporate Bond Evli Green Corporate Evli European Evli European High Yield Evli Emerging Markets Bond Bond Bond Investment Grade Credit Invests into Nordic ultra-short term Short date
Slide 9: Why Invest in Nordic Short-Term Loans?
9 WHY INVEST IN NORDIC SHORT-TERM LOANS? Evli Euro Liquidity CONFIDENTIAL
Slide 10: Evli Euro Liquidity
10 Evli Euro Liquidity Nordic short-term fixed income fund Invests primarily in Nordic fixed income instruments and other interest-bearing instruments Aiming for high risk-adjusted returns No index or credit rating restrictions Quality and stability over high yield potential: successful Excellent tr
Slide 11: Evli Liquidity – Key takeaways for the Nordic Ultra Short Corporate Bond Fund
11 Evli Liquidity – Key takeaways for FUND SIZE, BILLION EURO MORNINGSTAR the Nordic Ultra Short Corporate Bond Fund – Evli Liquidity is a short duration fixed income 2.1 Bn 5 Stars fund investing mainly in Nordic fixed income instruments YIELD-TO-MATURITY, FUND INCEPTION YEAR – Evli Liquidity has t
Slide 12: Investment Philosophy and Process
12 INVESTMENT PHILOSOPHY AND PROCESS Evli Euro Liquidity CONFIDENTIAL
Slide 13: Investment Philosophy
13 Investment Philosophy • Invests in Nordic fixed income markets, Estonia as side pocket NORDIC FOCUS • Currency risk is always fully hedged to EUR • Final legal maturity date for fixed coupon bonds mainly below 2 LIMITED CREDIT RISK years (2-3 years max 10%), for FRNs max 3 years (>2y max 20%) • O
Slide 14: The fund invests in stable and high-quality corporate bonds
14 The fund invests in stable and high-quality corporate bonds AAA – The fund emphasizes investments in fundamentally stable so-called AA crossover bonds A – The official credit rating is not decisive, but the real credit quality is BBB – In unrated bonds, we focus on the same Unrated high-quality b
Slide 15: Investment Process
15 Investment Process IDENTIFICATION ANALYSIS PORTFOLIO Issuer universe: Analysis on: Follow-up: – Govts and supranationals – Euro economics and ECB – Continuous analysis on Euro-area developments – Banks (bonds/CD’s) – Nordic issuer names in all currencies (currency hedging) – Continuous corporate
Slide 16: Company analysis
16 Company analysis – Main focus on companies that over the cycle: – generate consistent positive free cash flow – debt leverage decreasing & debt coverage increasing – Are priced at an attractive spread compared to their risk Management and other Interest Groups - Management’s abilities and future
Slide 17: ESG integration in Investment Process
17 ESG integration in Investment Process – Daily activity on fund and company level 2. MONITORING AND ENGAGEMENT – Portfolio managers are responsible for the daily 1. ANALYSIS ESG integration and taking ESG issues into account in all investment decisions. – Responsible Investment Team is responsible
Slide 18: With Systematic Climate Change Policy
18 With Systematic Climate Change Policy ANALYSIS ENGAGEMENT EXCLUSION REPORTING ▪ Monitoring the ▪ Encouraging ▪ Avoiding investments ▪ Funds’ carbon emissions of companies to in companies that footprints are companies in Evli’s report the climate gain a significant reported publicly. funds through
Slide 19: Euro Liquidity Team
19 Euro Liquidity Team Team Member Main decision Research maker responsibility Juhana Heikkilä Nordic issuers Yes Euro sovereigns, supras Fund Manager Juhana Heikkilä SENIOR PORTFOLIO MANAGER Investment Grade and Decision maker when Master of Economics, Helsinki Business Juhamatti Pukka main fund ma
Slide 20: Evli's fixed income team
20 Evli’s fixed income team Mikael Lundström Juhamatti Pukka Jussi Hyyppä Juhana Heikkilä Jani Kurppa Juha Mäntykorpi CHIEF INVESTMENT HEAD OF FIXED INCOME HEAD OF LOAN SENIOR PORTFOLIO SENIOR PORTFOLIO PORTFOLIO MANAGER OFFICER STRATEGIES MANAGER MANAGER AT EVLI SINCE 1996 AND AT EVLI SINCE 2008 AN
Slide 21: Evli Euro Liquidity Fund in a Nutshell
21 Evli Euro Liquidity Fund in a Nutshell Type of Fund Eurozone short-term fixed income fund (UCITS) Morningstar Fund Category TM EAA Fund EUR Ultra Short-Term Bond Benchmark 3-month Euribor Return Index Fund Units Both distribution (A) and growth units (B), also institutional (IB) and B SEK units a
Slide 22: Considerations and Risk Factors
22 Considerations and Risk Factors - The aim of the fund is to achieve a return that exceeds the return of the benchmark index. – All investments are made in euro-denominated instruments free of currency risk. – The fund’s overall risk is also affected by the following risk factors, which may not be
Slide 23: Track Record and Portfolio Composition
23 TRACK RECORD AND PORTFOLIO COMPOSITION Evli Euro Liquidity CONFIDENTIAL
Slide 24: Net of fee returns - 1 Year
24 Net of fee returns - 1 Year Portfolio Benchmark Difference 1 Month 0.32% 0.23% 0.10% 3 Months 0.95% 0.79% 0.15% 6 Months 2.09% 1.75% 0.34% 1 Year 4.53% 3.82% 0.70% Portfolio Benchmark Difference Volatility 0.27% 0.10% 0.17% Sharpe 2.64 0.00 2.64 Tracking Error 0.26% - - Information Ratio 2.71 - -
Slide 25: Net of fee returns - 10 Years
25 Net of fee returns - 10 Years Portfolio Benchmark Difference 1 Year 4.53% 3.82% 0.70% 3 Years 9.54% 7.43% 2.10% 5 Years 10.33% 6.38% 3.95% 10 Years 12.74% 5.04% 7.70% 10 Years, 1.21% 0.49% 0.72% annualized return Portfolio Benchmark Difference Volatility 0.62% 0.23% 0.40% Sharpe 1.14 -0.00 1.14 T
Slide 26: Annual returns, after fees, 28.02.2025
26 Annual returns, after fees, 28.02.2025 Past returns are no guarantee of future returns. 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Portfolio 0.88% 0.27% 0.06% 0.68% 0.19% 0.67% -0.71% 4.55% 4.59% 0.65% Benchmark -0.22% -0.33% -0.33% -0.34% -0.39% -0.55% -0.33% 3.04% 3.99% 0.49% Difference
Slide 27: Maturity breakdown in years
27 Maturity breakdown in years % Maturity breakdown 60 50 40 30 20 10 0 <0.5 v 0.5-1 v 1-2 v 2-3 v >3 CONFIDENTIAL
Slide 28: Evli Liquidity statistics
28 Evli Liquidity statistics Historical returns are no guarantee of future returns. Fund statistics 28.2.2025 Yield (YTM) 3.24% Yield to Worst 3.21% Modified duration 0.45 Spread duration 0.77 Rating Crossover ESG Rating, MSCI A Number of issuers ~100 Green bonds 11% Size of the fund 2.1bn EUR CONFI
Slide 29: Top holdings 28.02.2025
29 Top holdings 28.02.2025 10 LARGEST INVESTMENTS 10 LARGEST ISSUERS % % Yritystodistus Neste Oyj 10.03.2025 2.38% Teollisuuden Voima Oyj 2.98% Teollisuuden Voi 31.3.2027 2.625% Callable Fixed 2.23% KOJAMO OYJ 2.78% Tietoevry Oyj 17.6.2025 2% Callable Fixed 2.19% HUHTAMAKI OYJ 2.75% Elenia Finance 6
Slide 30: Portfolio structure 28.02.2025
30 Portfolio structure 28.02.2025 Evli Euro Liquidity B CONFIDENTIAL
Slide 31: Peer analysis – 3 years
31 Peer analysis – 3 years Past returns are no guarantee of future returns. Cumulative returns Evli Euro Liquidity B The Upper Quartile Median The Lower Quartile 10% 8% 6% 4% 2% 0% -2% -4% 2022-01 2022-07 2023-01 2023-07 2024-01 2024-07 Return (Cumulative) Beta Bear Beta Bull Beta Down Capture Ratio
Slide 32: ESG Metrics Q4 2024
EVLI EURO LIQUIDITY 32 ESG Metrics Q4 2024 Responsibility score A Carbon footprint 99 UN Global Compact 0,0 % SFDR classification: Article 8 (t CO2e/M$ sales) fails CURRENT RESPONSIBILITY SCORES CARBON FOOTPRINT AND FOSSIL FUEL RESERVES DEVELOPMENT OF CARBON INTENSITY OF CURRENT INVESTMENTS 99,99997
Slide 33: Ambition
33 AMBITION “We want to be the forerunner in responsible wealth management in the Nordics, and in this way help our clients in managing their wealth to support a sustainable future.” CONFIDENTIAL
Slide 34: Evli is a forerunner in Responsible Investing
34 Evli is a forerunner in Signatory of a COP15 initiative ’Moving Together on Nature’ Responsible Investing Signatory of Open Letter to EU leaders Joining the PRI Advance initiative as from investors on a endorser sustainable recovery Signatory of a from COVID-19 joint statement on European Investo
Slide 35: Four pillars of responsible investing at Evli
35 Four pillars of responsible investing at Evli #1 in Sustainable investing according to Finnish institutions 2017-20242 Principles for ESG 1 -integration in Engagement and Reporting Responsible Investment Team Responsible Investment investment process active ownership – Decided by Evli’s – Portfol
Slide 36: Monitoring, engagement and active ownership
36 Monitoring, engagement and active ownership ENGAGEMENT ACTIVITIES 2024 UN Global Compact, the UN Guiding Principles on Business and Human COLLABORATIVE ENGAGEMENT PARTICIPATING IN GENERAL Rights, the OECD Guidelines for Multinational Enterprises and Evli’s climate INITIATIVES MEETINGS principles
Slide 37: Exclusions in practice in all Evli funds
37 Exclusions in practice in all Evli funds – With 0% revenue threshold: – Controversial weapon manufacturers – Companies manufacturing peat for energy production – With 5% revenue threshold: – Tobacco producers, adult entertainment producers and companies practicing controversial lending – With 10%
Slide 38: Evli's climate change principles
38 Evli’s climate change principles 1. Analysis – Monitoring the emissions of companies in Evli’s funds through fund-specific carbon footprints. – Funds’ carbon footprints are also assessed by Evli’s Responsible Investment team. 2. Exclusion – Avoiding1 investments in companies that gain a significa
Slide 39: Evli's climate targets
39 Evli’s climate targets Evli aims for carbon neutrality of its own operations by 2025, and carbon neutrality of investments by 2050 at the latest. The interim target for the investments -50% reduction in indirect emissions from investments by 2030 (compared to 2019). We are aware that a credible l
Slide 40: What Opportunities Does the Market Currently Offer?
40 WHAT OPPORTUNITIES DOES THE MARKET CURRENTLY OFFER? Evli Euro Liquidity - Overview of the market CONFIDENTIAL
Slide 41: Evli's funds vs. the market
41 Evli’s funds vs. the market 31.1.2025 8,0 Evli fund Market Evli Nordic Senior Secured Loan (AIF; 7,20%) 7,0 Evli European High Yield (6,17%) 6,0 Evli Emerging Markets Credit (5,73%) European Developed Markets High Yield Constrained Evli Nordic 2025 Target Maturity (5,18%) 5,0 Yield to maturity Ev
Slide 42: Market outlook
42 Market outlook – Germany’s decision to change their – The Q4 reporting season had a positive – The corporate bond market offers deficit policies impacted European yield tone from a credit investor’s attractive spreads and yield level curves significantly, new world order perspective leads to high
Slide 43: Spreads: BBB-rated IG in Europe
43 Spreads: BBB-rated IG in Europe (03/03/2025) Last 5 years Since 1999 Source: ICE BofAML, EVLI CONFIDENTIAL
Slide 44: Spreads: B-rated HY in Europe
44 Spreads: B-rated HY in Europe (03/03/2025) Last 5 years Since 1999 Source: ICE BofAML, EVLI CONFIDENTIAL
Slide 45: Credit metrics (IG + HY)
45 Credit metrics (IG + HY) Net leverage (net debt to EBITDA) EBITDA margin Source: ICE BofAML, EVLI CONFIDENTIAL
Slide 46: At Your Service
46 AT YOUR SERVICE Our mission is to increase clients' wealth according to their individual targets. CONFIDENTIAL
Slide 47: At your service
47 At your service – Distinctive and comprehensive reporting - My Evli online service - Monthly fund reviews - Monthly custody statement - All Evli’s market and equity analysis - Quarterly ESG reports – Evli funds present on - Bloomberg, Citywire, Lipper, eVestment, Morningstar, Reuters, Sijoitustut
Slide 48: Important information
48 Important information This marketing material is intended for non-professional and professional clients in Finland, Sweden, Lithuania, Latvia and Estonia. In other jurisdictions this Document is intended only for professional clients. The management company of the fund is Evli Fund Management Com
Slide 49: Disclaimer statement
49 Disclaimer statement Evli This presentation is intended only for the recipient's personal and private use. This material is based on sources that Evli Group (Evli) considers correct and reliable. However, neither Evli nor its employees give any guarantee concerning the correctness, accuracy or co
Slide 50: Evli Funds social media and contact details
LinkedIn – Evli Funds LinkedIn – Evli Funds Facebook – Evli Funds Facebook – Evli Funds Facebook – Evli Funds Message Service X – Evli Funds Message Service X – Evli Funds Message Service X – Evli Funds evli.com evli.com evli.com Evli Plc | Aleksanterinkatu 19 | P.O. Box 1081 | FI-00101 Helsinki, Fi