Risk profile: Medium
Management type: Flexible with VaR
Annual return target: 4-5% per annum*
Time horizon on the line: at least 3 years
Risk: average of the last 52 weekly VaR readings, maximum 6% with a time horizon of 1 month and 95% confidence interval

The line aims to achieve a positive absolute result, independently of market trends, through the use of financial instruments such as ETFs, UCITS, Bonds, Equities and Certificates and aims to achieve a result that is significantly higher than the rate of return of risk-free financial instruments.
In the portfolio choices, fundamental analysis and asset allocation criteria are used with the aim of building portfolios with the best expected return and risk characteristics, and with a high degree of diversification; more medium- and long-term strategic asset allocation choices are often flanked by more tactical positions.
The differentiated use of active and passive Funds is based on the following criteria:
actively managed Funds are chosen by selecting the best instruments per category, taking into account their management strategy, past performance, volatility, maximum losses, recovery time, all relative to different time horizons.
Passively managed and highly diversified Funds, i.e. ETFs, are mainly used to hedge traditional bond and equity asset classes.
On the equity side, a top-down fundamental analysis process is carried out in order to identify the most interesting investment themes, sectors or geographic areas, which are often invested in with specific ETFs. In some cases, individual equities are also included in the portfolio, identifying companies with the best growth prospects in the medium term, solid balance sheets, good margins and both relative and absolute valuations, such as to allow the stock to appreciate over time.
Any certificates included in the portfolio are selected using a proprietary, constantly updated database, screening on both quantitative and qualitative criteria and monitoring positions over time.
Part of the portfolios may be invested in foreign currencies.

*The annual return targets of the investment lines are only forecasts and are not to be interpreted as minimum returns and/or guaranteed returns.