LHV Pensionifond M

Active Management
10%
-10%
10%
10 year net yield
2
1
7
Risk level
46.59%
0%
100%
Invests into Estonia
8024
Fund investors

Suitable if

  • you have 3–10 years left until retirement age,
  • you have moderate risk tolerance,
  • your aim is the long-term stable growth of your pension savings.
There is a transaction associated with the fund taking effect on
See pending transactions
In my portfolio
~
Payments deposited here
Number of units
Acquisition price
Unit NAV
Profit/loss %
Profit/loss €
Total value

Strategy

When investing in assets, the fund prefers cash-flow assets and, where possible, the local market, including less liquid private equity and real estate investments. The investments are predominantly in local currency and up to 75% of the fund's assets can be invested directly in equities. The fund's long-term preferred asset class is real estate investments.

Performance
From beginning
...
Current year
...
Current month
...
...
The Fund's return is expressed as the net yield after deduction of all fees.

Biggest investments

The data is presented as at 31.08.2022

Biggest investments
France Government 2.25% 25/10/229.20%
Luminor 0.792% 03/12/245.15%
ZKB Gold ETF4.51%
EfTEN Kinnisvarafond3.99%
Riigi Kinnisvara 1.61% 09/06/273.86%
SG Capital Partners Fund 12.76%
German Government 1.5% 04/09/222.71%
Coop Pank 6.75% 04/12/20272.36%
Eastnine 08/07/242.34%
Siauliu Bankas 6.15% 23/12/292.11%

Biggest investments in Estonia

Biggest investments in Estonia
Luminor 0.792% 03/12/245.15%
EfTEN Kinnisvarafond3.99%
Riigi Kinnisvara 1.61% 09/06/273.86%

Asset Classes

The data is presented as at 31.08.2022.

Information about the fund

Information about the fund
Volume of the fund (as of 31.08.2022)98,694,642.82 €
Management companyLHV Varahaldus
Equity in the fund400 000 units
Rate of the depository’s charge0,0576% (paid by LHV)
DepositoryAS SEB Pank

Entry fee: 0%

Exit fee: 0%

Management fee: 0,6240%

Success fee: Performance fee is 20% of the positive difference between the fund's performance and the benchmark, maximum of 2% per annum of the fund's volume. Performance fee for 2021 0,00%.

Ongoing charges (inc management fee): 1,17%

The ongoing charges figure is an estimate based on the current management fee and the 2021 level of all other recognized costs. Ongoing charges may vary from year to year.

August 2022: In a falling stock market, the energy sector proved strong

Kristo Oidermaa and Romet Enok, Fund Managers

In August, world markets were predominantly pessimistic. The MSCI World Index, the US S&P 500, and the Japanese Nikkei Index fell 2.8%, 2.9% and 1.5% over the month in euros, respectively. The European stock exchanges went through a steeper decline last month, with the Euro Stoxx 50 index falling by 5.1%. Emerging markets were a contrast to this, as the MSCI Emerging Markets index rose by 1.5% in euros over the last month. The performance of local stock exchanges was mixed: while the Tallinn and Vilnius stock markets grew by 2.4% and 1.9%, respectively, the Riga stock market declined by 4.5%.

Domestic venture capital fund Superangel sold its first investment. Nordigen, an open banking company founded in Latvia, was sold to GoCardless, a company established in the United Kingdom. The Superangel fund invested in Nordigen in early 2020, and the fund’s portfolio still includes more than 40 companies.

In equity positions, precious metals investments showed signs of weakness. Investments were strong, however, in the energy sector, which forms the second cornerstone of our equity investments.

The fund’s listed stock investments remain in the commodity sector, with a focus on precious metals, energy, energy metals, renewable materials (wood) and various links in the related value chains. We believe that in an environment of rapid inflation, equity investments in the commodity sector will help us maintain and increase the purchasing power of our capital.

July 2022: Stock markets continue a strong recovery

Kristo Oidermaa and Romet Enok, Fund Managers

Stock markets mostly recovered in July. Measured in euros, the MSCI World index, the US stock market index, the S&P 500, and the Nasdaq Composite index, which tracks the technology sector, rose 10.7%, 12.2%, and 15.5%, respectively. Measured in euros, the Japanese Nikkei index fell 10.2%, while the European Euro Stoxx 50 index and the MSCI Emerging Markets index rose 7.4% and 2.1%, respectively. The local Baltic markets fluctuated: while the Riga and Vilnius stock markets rose by 0.6% and 1.1% respectively during the month, the Tallinn stock market fell by 1.2%.

In July, the local private equity company BaltCap announced that the BaltCap Latvia Venture Capital Fund, which they manage, had sold Vendon. Vendon, a company founded in Riga in 2011, has a primary business focus of the management of vending machines and the processing of related payments. Vendon’s core markets are European countries, where they handle more than 45,000 vending machines. The fund managed, by BaltCap, invested in Vendon in 2011 and Vendon was sold to the Spanish technology company Azkoyen.

In July, we made a new investment in a local company and one in international markets.

As regards financing the projects of Estonian companies, we finalised a deal with Perton Ehitus to finance a development project of apartment buildings. Perton Ehitus sold three year bonds to LHV pension funds for the development of Kotzebue Park in the Kalamaja district in Tallinn. The interest rate is 8.5% per annum and the bond is secured by a mortgage.

We acquired and added bonds from the large Finnish real estate company, Kojamo, to the fund’s portfolio from the international stock market. Kojamo has a long standing history in the Finnish housing market, and develops and owns apartments in Helsinki and elsewhere in the country. Kojamo’s largest shareholders are Finnish pension funds and trade unions, Kojamo shares are traded on the Helsinki stock exchange.

We work actively to analyse local projects and find opportunities in international bond markets. Focusing on both the local and international markets and comparing them, gives us an advantage over those who only engage in one of the two.

June 2022: Fall in stock markets deepens

Kristo Oidermaa and Romet Enok, Fund Managers

In June, we saw a larger decline in stock markets. The MSCI World Index, the US S&P 500, the Japanese Nikkei Index and the European Euro Stoxx 50 fell 6.4%, 6.2%, 6.2% and 8.8% over the month in euros, respectively. The situation was no different in emerging markets, and the MSCI Emerging Markets index fell by 4.9% in June, measured in euros.

The Baltic markets were more modest. The Tallinn and Vilnius stock markets fell by 3.2% and 3.4%, respectively. The Riga stock market was an exception, growing by 7.2%.

In June, local private equity firm BaltCap announced that their managed BaltCap Private Equity Fund II was selling the pump and pumping system rental company Uprent. It was acquired by Renta Group, a construction machinery and accessories rental company established in Finland. The BaltCap fund invested in Uprent in 2016. During the investment period, the company’s product range was successfully expanded, as were its operations in both the Baltic and Polish markets.

Bond markets offer one of the best expected return prospects in an environment of rising interest rates. We therefore subscribed to the subordinated bonds of Coop Pank last month. The interest on the instruments is 10% per annum and the bank will have the first redemption right after five years. These are securities that in terms of complexity are closer to bank equity than deposits. LHV pension funds were the largest investor in the private placement.

Investing in an inflationary environment
Andres Viisemann, Head of LHV Pension Funds

After a surprisingly substantial rise in July, the world’s largest stock markets were in decline again in August. The S&P 500 index, which tracks the value of the largest US companies, lost 2.9% of its value measured in euros last month, while the Japanese Nikkei index fell by 1.5%.