Handelsbanken Brasilien Tema (A9 EUR)

Legal name: Handelsbanken Brasilien Tema (A9 EUR)

Equity Fund Registered in Sweden (UCITS) Bid

About risk

Historical yields are not a guarantee of future returns. A fund can both increase and decrease in value and it is not guaranteed that you will recover the entire invested amount. Note that a fund with risk level 5-7, as stated in the fund's fact sheet (KID), can vary greatly in value due to the fund's composition and management methodology. The prospectus, fund rules and KID are available under each fund. Summary of investors' rights.

The fund is an actively managed fund and invests mainly in equities in small and mid-sized companies in Brazil, that have the majority of their business operations in Brazil and that benefits from growth in the country. As a result, the fund has a currency exposure to these markets. The business operations of the companies shall target domestic demand.

The thematic investment strategy provides for investments that occur in a limited area in which development is deemed to result in a structural change to the economy and society. This change provides favorable conditions for companies active within the area to create profitable growth over time.

For this fund, the fund company's Enhanced exclusion level applies. For information about sectors that the fund excludes, see the Detailed information tab.

The fund is reported as an Article 8 fund pursuant to EU regulation 2019/2088 on sustainability-related disclosures in the financial services sector (SFDR).

Fund Spotlight

Brasilien Tema is merged with Handelsbanken Tillväxtmarknad Tema. Merger date March 15, 2025. Last day for trading in Brasilienl Tema is March 10, 2025.
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Fund manager

Elias Kayal Experience in the fund industry 2018. Portfolio Manager since 1 November 2023.

Risk 6/7

The risk indicator provides guidance on the risk level for this product relative to other financial products. It shows the likelihood that the product will decrease in value due to market performance. Risk level 1 represents a low risk and risk level 7 is a high risk.

About risk

The risk/return indicator illustrates the link between risk and potential returns from an investment in the fund. The indicator is based on the change in the fund’s value over the past 5 years. Given that the fund does not have five years of historical performance, the risk indicator has been estimated based on the fund’s benchmark index (see above under the heading, Objectives and Investment Focus).

This shareclass belongs to category 6, which means there is a high risk for up- and downturns in the net asset value. Category 1 does not mean that the fund is risk-free. The fund's risk indicator can change both upwards and downwards on the scale over time, as the indicator is based on historical data that does not guarantee future risk/returns.

An investment in an equity fund is generally characterized by high risk as the value of the equities can fluctuate significantly over time but also has the potential for high returns.

The indicator primarily reflects the upturns and downturns in the value of the fund’s equity investments and fluctuations in exchange rates.

The indicator reflects the most important risks in the fund but excludes the following material risks:

Given that the fund’s investments are made in one country or a limited number of countries, the fund normally has a higher risk relative to investments that are allocated with a broader geographical distribution across several regions or countries.

The fund's investment focus entails exposure to markets that frequently have lower liquidity, and the variation in liquidity is considered to be higher relative to more developed markets. This can impact the fund's ability to manage significant outflows at a relatively low cost.

Risks that have not been captured by the risk indicator include: Operational risk - the risk for loss due to unforeseen policy decisions or weaknesses in a country’s securities regulations. This product does not provide any protection from future market performance. You could therefore lose some or all of your investment.

Additional information about the risks may be found in the prospectus available at www.handelsbanken.se/funds.

Total Rating™

28.02.2025

The rating shows which funds have historically posted the strongest performance in relation to risk. Ratings are denoted by a scale of one to five stars, with five as the highest rating. A fund must have a performance history of at least three years to receive a rating.
Read more about the fund's rating

SFDR

This fund promotes environmental and social characteristics through its investments but does not have sustainable investments as its objective. As a result, the fund takes into consideration the environment and climate, as well as human rights, employees’ rights and corruption.
The fund is reported as an Article 8 fund pursuant to EU regulation on sustainability-related disclosures in the financial services sector (SFDR).

31.12.2024

Sustainability-
rating

The sustainability rating is developed by the fund information company Morningstar. The rating measures how well the fund's investee companies manage sustainability risks relative to other funds within the same global Morningstar category. If the fund has invested in government bonds issued by sovereign states, the respective country's sustainability risk is included in the calculation. The analyzed funds can receive a sustainability rating between 1 and 5 globes, with 5 as the highest rating.

About Sustainabilty rating

The fund complies with the UN Principles for Responsible Investments.

Graph

Performance

Monthly savings

In percent including distribution in EUR

2025

1 year

3 years

5 years

10 years

Note that benchmark returns, unlike fund returns, do not take distributions into account. As a result, fund returns are higher than they would otherwise be relative to benchmark.

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Historical rates

Performance

Rate 06.03.2025	1 week	1 month	3 months	2025	1 year	5 years	10 years
6.87 EUR	-5.50%	-8.28%	-2.14%	5.21%	-24.84%	-	-

Portfolio 15.01.2025

Portfolio manager comments — Q4 2024

Fund performance was negative during the final quarter of the year. A sharp weakening of the Brazilian real relative to SEK made an additional impact on the negative returns. As in the previous quarter, the political developments in Brazil played a key role, with the market concerned that the government is not taking sufficient action to control the public expenditures. This has led to rising interest rates, a weakened currency and weak share price performance for companies with domestic exposure.

Despite this, the economic growth was unexpectedly positive and company reports were generally strong. However, politics and macro factors continue to outweigh fundamental valuations. One example is the building materials company Dexco, which reported good results but whose stock price was put under pressure by expectations of a challenging interest rate cycle.

Brazilian Klabin was the strongest contributor to fund returns during the quarter. The company reported strong results and its currency exposure has benefited from the weakening Brazilian real. In addition, the significant investments made by the company in recent years is beginning to generate positive cash flow and create value for shareholders going forward.

The Brazilian stock exchange operator B3 also posted strength. The company exceeded low expectations with a result that was driven by earnings from segments other than stock trading.

In addition to Dexco, Lojas Renner also had weak performance in the market and had a negative impact on returns, despite a strong start to the year and quarterly reports that indicate clear improvements in the company.

The fund has a thematic investment process with Demographics, Productivity, Environment and Lifestyles as the main themes.

Portfolio distribution 28.02.2025

Geographic breakdown 28.02.2025

Svenska Handelsbanken AB (PLC)

Historical yields are not a guarantee of future returns. The money you invest in a fund can both increase and decrease in value and it is not guaranteed that you will recover the entire invested amount.
Handelsbanken does not assume liability for any errors in the information.

Handelsbanken's funds are classified in seven risk classes, 1 for the lowest risk and 7 for the highest risk.