At AIF Alternative Invest Finance AG, we believe that a UCITS fund is the ultimate financial product. UCITS funds are the new gold standard for investors seeking protection, liquidity and daily valuation.
UCITS is an investment fund product regulated by the European Union. This regulatory structure has made UCITS a simple, efficient and transparent investment tool for individuals and institutions seeking exposure to European equity markets. Over the past 30 years, UCITS has become one of the most successful financial products of modern times.
- Common Standards
When you invest in a UCITS fund, you buy a highly regulated investment tool that corresponds to a strict standard work. Investors can buy with confidence, knowing that the European Commission has developed and continues to improve these investment standards.
By nature, UCITS funds offer greater diversification than individual stocks and bonds. When you buy a UCITS fund, you buy a basket of assets that have the potential to grow in value.
- Professional Management
Simply said, this means UCITS fund stocks and positions are selected and offset by a fund manager. The job of investment experts is to find the highest potential outcome for acceptable market risk. They are watching the markets around the clock to find investments that might otherwise be missed.
Almost 75 of all small investments in Europe are invested in UCITS funds. This large pool of potential buyers and sellers means UCITS funds should have lower investment costs and a tighter bid ask spread than when trading less liquid, unregulated funds. This also means investment trusts are readily available after a sale, with most investors receiving their funds within two to five business days.
- Investment Diversity
UCITS funds cover a variety of investment tools, from managed index funds to retirement funds for investors seeking reliable income. There are nearly 36,000 funds currently traded and new funds appear weekly.
- Investor Protection
Every investment carries a market risk, but the consumer protection provided by UCITS is among the strongest in the world.
The European Commission has set strict guidelines for the type of assets that can be held by collective investment organisms in transferable securities. The “5/10/40 rule” for UCITS funds means that no more than 10% of the fund’s assets may be invested in an issuer’s securities, and that investments of more than 5% of an issuer cannot account for more than 40% of the entire portfolio.
Fund managers are required by law to be cautious in their investment decisions, i.e. they have an overview of all risks in the market and are able to respond when the risk-reward ratio becomes unstable.
After all, the transparent nature of these funds is. Fund companies are required to publish documentation of the funds’ assets, holdings and risk projections, as well as the essential investor information. These reports are published every six months to ensure investors understand fund composition, portfolio management activities and performance.
We offer the following UCITS funds:
Provides investors with access to companies related to blockchain technology, UCITS-enabled cryptocurrencies and non-physical precious metals.
More information can be found on www.blockchainfund.li.
CoCo Alpha Fund
Provides investors with a diversified basket of bonds hand-selected for today's historically low interest rate environment. This approach combines bottom-up securities selection with a dynamic sector allocation to generate predictable returns for investors.
More information can be found on www.cca-bond-fund.li.
PAM Alpha Fund
Provides investors with access to a long-standing, successful and unique US long-short index strategy. This strategy is particularly suitable for the medium-to-longer term volatile stock markets and uses short-term movements within the S&P®500 to provide investors with a truly alpha-enabled strategy in the medium term.
For more information, visit www.pam-alpha.li.
PAM Long Only Fund
For investors looking for a long-only approach, this fund fits perfectly. Since 2003, it has used a rules-based and fully systematic smart beta (long-cash) approach to protect capital invested by investors as much as possible (cash phases) and to continue to build in the medium term (long phases). It is a highly liquid fund with a low correlation with other reference indexes.
More information can be found on www.pam-longonly.li.