The (LF) Target Maturity ΙΙ Bond Fund matures on 20 September 2029. It invests in government and corporate bonds, and offers broad diversification. It aims to provide an annual dividend distribution of 1.80% to 2.00% for each year of the predefined 3-year investment horizon. The estimated dividend may be adjusted depending on market conditions. It is authorised in Luxembourg.
The subscription period ends on 18.05.2026.
Investment objective
The fund invests while considering its final maturity date. It aims to hold the bonds until their maturity (buy and hold), so as to secure the principal through the payout of the bonds at their maturity. This is subject to the condition that no adverse developments occur in the bond market, such as a credit event involving a default by issuers of bonds or other securities held in the portfolio.
Bonds or other fixed-income instruments maturing within the last 6 months before the fund’s maturity date may be reinvested in safer and more liquid investments, to protect investors’ interests until maturity.
The fund aims to generate income in the form of dividends, considering prevailing market conditions and the current yield of its assets. The estimated dividend is expected to be between 1.80% and 2.00% per year for the next 3 years.
The (LF) Target Maturity II Bond Fund offers wide diversification in government and corporate bonds, in Europe and Greece. It may also invest:
- Over 35% of its assets in EU government bonds.
- Over 50% of its assets in Eurozone government and corporate bonds.
- Up to 50% of its assets in high-yield securities, as rated by 2 of the big 3 credit rating agencies (Moody's, S&P, Fitch).
It may not invest in equities.
Investor profile
It is intended for investors who seek regular income and capital preservation, accept the risks associated with their investment, and are willing to hold their investment for a period corresponding to the mutual fund’s investment horizon.
