COMPANY PRESENTATION 2016 CARNEGIE FONDER AB COMPANY PRESENTATION - - PDF document

CARNEGIE FONDER AB • COMPANY PRESENTATION 2016 3

COMPANY PRESENTATION

2016

COMPANY PRESENTATION 2016 • CARNEGIE FONDER AB 2

Contents

Operations in brief ..............................................................................................................................3 Organisation ............................................................................................................................................4 Assets under management..............................................................................................................5 Investment products ...........................................................................................................................6 Fund managers .......................................................................................................................................8 Investment philosophy ....................................................................................................................10 Investment process ...........................................................................................................................12 Policies and responsible investment ........................................................................................14 Risk management and compliance ..........................................................................................17 Administration and IT .....................................................................................................................20 Trading .....................................................................................................................................................21 Contact information.........................................................................................................................22

All data per October 31st 2016

CARNEGIE FONDER AB • COMPANY PRESENTATION 2016 3

We are value investors. All our funds are actively managed, and we invest in a limi- ted number of undervalued and attractive securities that we have great confjdence in. Our investment philosophy has historically produced signifjcant return on investment and highly competitive performance com- pared to competing fund managers. We have longstanding experience of active fund management in varying market climates. Staff turnover within the organisation is low, which results in continuity and retains experience in the management teams. Assets under management as of 31 October 2016 were approximately EUR 6.1 billion, with 15,000 directly registered clients and more than 300,000 end clients through various distribution, partner and institutional collaborations. Welcome to Carnegie Fonder!

We specialise in equity funds, mixed funds and fixed-income funds in Sweden, the Nordic region and the world’s emerging markets. Founded in 1988, Carnegie Fonder has nearly 30 years of investment experience.

Operations in brief

“Carnegie Fonder has nearly 30 years of invest- ment experience.”

Hans Hedström CEO

COMPANY PRESENTATION 2016 • CARNEGIE FONDER AB 4

Organisation

Legal Structure and organisation

Risk Compliance Marketing

Hans Hedström Chief Executive Offjcer

Head of Business Development & Deputy CEO Head of Sales Third Party Distribution Institutional Clients Head of Marketing and Communication Head of Administration Middle Offjce Trader Emerging Markets Fund Managers Chief Investment Offjcer Back Offjce Private Clients

Altor III

93.75% 6.25% Caram AB Employees Carnegie Fonder AB 100%

CARNEGIE FONDER AB • COMPANY PRESENTATION 2016 5

Board of directors Matts Ekman

Chairman Born 1946. Professional director

Harald Mix

Born 1960. Founder and partner, Altor Equity Partners

Karin Burgaz

Born 1973. Management Consultant Nohrstedt & Partners

Arne Lindman

Born 1962. Chairman of Caram AB

Audit PwC AB

CEO

Hans Hedström

Born 1957 Institutional 31% Third party distribution 63%

By asset class

Assets under management

31 October 2016 By client type

Equities 62% Equity funds 52% Fixed income 29% Mixed funds 19%

Private clients 6%

COMPANY PRESENTATION 2016 • CARNEGIE FONDER AB 6

Investment products

31st October 2016

equity funds area of investment head manager inception aum (eurm1)

Sverigefond Swedish equities Simon Blecher 1987 1,727 Småbolagsfond Swedish equities Viktor Henriksson 2012 443 Sverige Select2 Swedish equities Simon Blecher 2007 269 Emerging Markets Global emerging markets equities Mona Stenmark 1996 59 Rysslandsfond Russian equities Fredrik Colliander 1997 361 Asia Asian equities Gunnar Påhlson Relaunch 2014 64 Indienfond Indian equities Gunnar Påhlson 2004 208 Afrikafond African equities Karin Fries 2006 35

fixed income area of investment head manager inception aum (eurm1)

Corporate Bond3 Fixed income Niklas Edman Relaunch 2009 1,183 Likviditetsfond Fixed income Niklas Edman 1990 558 Emerging Markets Corporate Bond4 Fixed income Mikael Engwall 2015 19 Obligationsfond Fixed income Niklas Edman 1985 17

mixed funds area of investment head manager inception aum (eurm1)

Strategifond Nordic equities and fixed income John Strömgren Relaunch 2012 1,065 Strategy Fund3 Nordic equities and fixed income John Strömgren Relaunch 2012 89 Total3 Fund of funds Magnus Gustafsson August 2016 5

total, aum (meur1)

6,102

1 EUR/SEK 9.9155 2 Special fund as defined by the Swedish Investment Funds Act SFS 2004:46. 3 Carnegie Corporate Bond, Carnegie Strategy Fund and Carnegie Total are funds registered in Luxembourg with SEB Fund Service

S.A. acting as Fund Company and Carnegie Fonder AB acting as Investment Manager.

4 Carnegie Emerging Markets Corporate Bond is a fund registered in Luxembourg with Carnegie Fund Services S.A acting as Fund

Company and Carnegie Fonder AB acting as Investment Manager.

CARNEGIE FONDER AB • COMPANY PRESENTATION 2016 7

Assets under management as of 31 October 2016 were approximately EUR 6.1 billion.

COMPANY PRESENTATION 2016 • CARNEGIE FONDER AB 8

Equity funds Simon Blecher BSc in Business Administration, Stockholm

• University. Has worked

in the fjnancial industry since 2000. Employed by Carnegie Fonder since 2006. Viktor Henriksson MSc in Business and Economics, Stockholm School of Economics. Has worked in the financial industry since 1996. Employed by Carnegie Fonder since 2004. Fredrik Colliander MSc in Business and

• Economics. Has worked

in the fjnancial industry since 1990. Employed by Carnegie Fonder since 2000. Karin Fries BA in Economics, University

• f South Carolina, MSc

in Economics, Lund University, and Diploma in Financial Analysis (IFL). Employed by Carnegie Fonder since 2004. Gunnar Påhlson MSc in Business and Economics, Stockholm

• University. Has over 27

years’ experience managing emerging markets equity funds’ or ’Started managing emerging markets equity funds in 1989. Employed by Carnegie Fonder since 2006.

Fund managers

Carnegie Fonder was founded. Initial focus on Swedish equities and fixed income.

1994

First major distribution agreement was initiated, making third-party sales an important part of the sales network.

1988 1996

Launch of the Emerging Markets fund. Carnegie Fonder pioneered asset manager of emerging- market equities with the launch of the Rysslandsfond.

1997 2004

The launch of the Kinafond and Indienfond funds, made Carnegie Fonder one of the first Nordic fund managers to offer active funds in China and India. Carnegie Fonder pioneered in the fund management industry with the launch of an open-ended mu- tual fund investing in pan-African equities, the Carnegie Afrikafond.

2006 2007

The sales network expanded to include Norway and Finland. Carnegie Fonder pioneered

• nce again with one of the first

fixed-income funds focusing on corporations in the Nordic region, the Carnegie Corporate Bond fund.

2009

CARNEGIE FONDER AB • COMPANY PRESENTATION 2016 9

Fixed-income funds Niklas Edman MSc in Business and Administration, Stockholm School of Economics. Has worked in the financial industry since 2007. Employed by Carnegie Fonder since 2013. Mikael Engvall BSc in Business Administration, Stockholm

• University. In the fjnancial

industry since 1996. First employed by Carnegie Fonder in 2012, and since 2014 as part of fixed- income management. Maria Andersson BSc in Economics, University of Gothenburg. Has been an analyst and part

• f the fjxed income team at

Carnegie Fonder since 2016. Has worked in the fjnancial industry since 2006. Mona Stenmark MSc in Economics, Uppsala

• University. Has worked

in the fjnancial industry since 2003. Employed by Carnegie Fonder since 2003. Mixed funds John Strömgren MSc in Business and Economics, CEFA diploma. Has worked in the fjnancial industry since 1985. Employed by Carnegie Fonder since 1996. Magnus Gustafsson MA in Political Science (also studies in business and economics), Uppsala

• University. Has worked in

the industry since 1996. Employed by Carnegie Fonder since 2014. Chief executive offjcer Hans Hedström CEO and CIO. MSc in Engineering at KTH, Royal Institute of Technology. Employed by Carnegie Fonder since 1999. Started working in the fjnancial industry in 1988.

Carnegie Fonder took its first steps to concentrate the product segment and started to apply the new UCITS IV regulations.

2010 2012

Carnegie Fonder launched a new small-cap fund, a complement to the Sverigefond and Strategifond funds launched in 1988. Carnegie Småbolagsfond actively invests in smaller companies with a value-based approach mainly focused on the Stockholm Stock Exchange. Carnegie Corporate Bond launched two currency hedged unit classes, B (NOK) and C (EUR). Carnegie Strategifond launched unit class G for institutional investors.

2013

Carnegie Likviditetsfond launched a new unit class for institutional investors, Carnegie Likviditetsfond B.

2015 2014

The investment mandate of Carnegie Kinafond was adjusted to an equity fund with focus on the Asian region and was relaunched as Carnegie Asia. Carnegie Fonder launched Carnegie Emerging Markets Corporate Bond, a corporate bond fund focusing on the world’s emerging markets. Carnegie Fonder launched Carnegie Total, which is a fund of funds that invests in both equity funds and fixed- income funds.

2016 2015

COMPANY PRESENTATION 2016 • CARNEGIE FONDER AB 10

Management philosophy In order for management to achieve its goals, investments are made based on the following four cornerstones:

z z Value management – Fund resources

are invested in assets that are considered undervalued.

z z Fundamental analysis – Valuations are

based on fundamental analysis

z z Active management – Investments are

made independently of the weights of the assets in their benchmark index or their signifjcance to the market

z z Liquid investments – Fund resources are

invested in assets subject to functioning trading and pricing. Carnegie Fonder’s value management does not mean that high-growth investments are

• avoided. High growth is often an important

component in the value of a business. In addition to the central issue of valuation, fund management by Carnegie Fonder is characterised by the following guiding principles:

z z Patience – Assets may be undervalued

for long periods

z z Go against the flow – A value manager

• ften goes against the grain since often

undervalued assets are against the fmow

• ften undervalued because other investors

avoid them

z z Risk is capital decreasing, not a number

– Relative risk measures such as beta, standard deviation and tracking error should never replace the fundamental view

• f the risk in the investments made by the
• fund. The risk of an absolute loss may be

because the asset was acquired when it was overvalued, or due to a problem in the asset’s underlying business or fjnancial leverage

z z Be careful with leverage – An investment

Investment philosophy

The objective of Carnegie Fonder’s fund management is to generate good risk- adjusted returns over an investment cycle. We are convinced that the best outcome is accomplished by investing in attractively priced businesses that are well run, have a strong competitive position, good prospects and a high return on equity.

CARNEGIE FONDER AB • COMPANY PRESENTATION 2016 11

that fundamentally provides a modest return does not become a good idea just by giving it leverage

z z Understand the investment and the

underlying business – Investments should be made in instruments that the fund manager understands. Similarly, the fund manager must understand the core processes of the underlying business By investing on the basis of the above cornerstones and guiding principles, Carnegie Fonder’s portfolios are likely to differ from most competing funds with the same investment focus in the following ways:

z z Lower volatility z z Lower turnover rate z z Fewer holdings z z Returns are more dependent on dividends

and/or coupons Carnegie Fonder is convinced that its portfolios will also distinguish themselves through higher risk-adjusted returns during the investment cycle.

“Assets may be under valued for long periods.”

Maria Andersson manager of Carnegie Corporate Bond.

COMPANY PRESENTATION 2016 • CARNEGIE FONDER AB 12

Investment process

The investment process is the tool used by the fund managers to identify suitable

• investments. The investment process can be divided into four stages:
• 1. Idea generation

z z Exchanges with analysts and other

managers

z z Company visits and participation at

conferences

z z Quantitative screening. For equities we

mainly use the Schiller PE ratio, P/B, ROE, EV/sales, debt, dividend yield and interest coverage

z z In the case of bonds we also investigate

the new issues offered in the market, our

• wn ideas proposed for banks and brokers,

and the credit and interest-rate curves on the secondary market

• 2. Preliminary evaluation

z z Identifjcation of key issues z z Reconciliation against investment criteria

such as outlook, cyclicality and ownership

z z Norm-based ESG screening

• 3. Analysis

z z Meet with company management z z Interview customers, suppliers, competitors

etc.

z z Evaluate external analysis z z Identify and assess risks (including

responsible investment)

z z Build forecasting and valuation models.

Equity forecasts are based in part on earnings performance, capital requirements, cash fmows and payout ratios

z z Credit analysis also includes covenants,

credit ratings and capital structure

z z Determine the net present value. To arrive

at a fair net present value we calculate the present value of future distributions. The required return varies according to the nature of the business, the fjnancial risk and the liquidity of stocks and bonds

• 4. Discussion and decision

z z Discussion with other members of the

management team

z z Decisions are made by the portfolio

manager

CARNEGIE FONDER AB • COMPANY PRESENTATION 2016 13

When selecting securities we compare the net present value of dividends with the market

• value. Different securities are ranked with

respect to price potential. Carnegie Fonder’s investment organisation spends a great deal of time on understanding the position of the companies. We consider this to be the best way to generate excess

• returns. However, we believe it is close to

impossible to generate excess returns by forecasting macroeconomic events. Accordingly, Carnegie Fonder does not conduct any macroeconomic analysis and our focus is on building well-diversifjed portfolios with margins of safety so that portfolios can perform well in different economic climates. Our investments are continuously evaluated. An investment may be reconsidered for reasons including the following:

z z Fundamental impairments of investments z z Insight into erroneous analysis and

valuation

z z Obvious overvaluation z z Better investment alternatives z z Violation of ESG policy

“Our focus is on building well-diversifjed portfolios with margins of safety”

Fredrik Colliander, manager of Carnegie Rysslandsfond.

COMPANY PRESENTATION 2016 • CARNEGIE FONDER AB 14

Policies and responsible investment

Shareholder policy Carnegie Fonder acts exclusively in the joint interests of fund unitholders.. Carnegie Fonder’s conduct in matters of ownership is therefore intended solely to increase the return on the funds’ investments. Carnegie Fonder acts to ensure that its freedom to trade in shares listed companies is not

• restricted. Employees of Carnegie Fonder

may therefore not become directors of listed companies. Carnegie Fonder participates in shareholder meetings and exercises the voting rights conferred by shareholdings. In the event that Carnegie Fonder’s holding is negligible compared to the holdings of other shareholders, or when Carnegie Fonder’s holding makes up only a very small proportion of the funds’ total portfolios, the participation of Carnegie Fonder and its exercise of voting rights may be of little signifjcance to unitholders. In this case Carnegie Fonder may make an exception from this principle. Carnegie Fonder participates in the nomination process for the appointment of board of directors. Carnegie Fonder works together with other shareholders in matters of ownership when appropriate. Responsible investment

Carnegie Fonder’s overall objective is to

generate good long-term returns, and to succeed we follow our management philosophy of focused value management. We are also convinced that the creation of long-term value demands responsibility in matters concerning the environment, human rights, anti-corruption and labour law. Our mission is to generate good risk-adjusted returns for our unitholders. We dislike risk and do not like to speculate. We therefore invest long term in companies that we believe are stable, well-managed and that have a bright future. We therefore do not invest in companies that are corrupt, that damage the environment or that violate core international conventions

• n human rights and labour rights. Nor

do we invest in companies involved with controversial weapons such as nuclear, chemical and biological weapons, landmines and cluster bombs. Carnegie Fonder is a signatory to the United Nations Principles for Responsible Investment (PRI). We have therefore committed ourselves to the following:

CARNEGIE FONDER AB • COMPANY PRESENTATION 2016 15

• 1. We

will incorporate environmental, social and corporate governance (ESG) issues into investment analysis and decision-making processes.

• 2. We will be active owners and

incorporate ESG issues into our

• wnership policies and practices.
• 3. We will seek appropriate

disclosure on ESG issues by the entities in which we invest.

• 4. We will promote acceptance and

implementation of the principles within the investment industry.

• 5. We will work together to enhance
• ur effectiveness in implementing

the principles.

• 6. We will each report on our

activities and progress towards implementing the principles. As active managers, we do our best to identify and avoid companies that behave improperly. In addition to maintaining close and regular dialogue with our holdings, we engage an external consultant – GES Investment Services – to review our portfolio in terms of sustainability, even before we invest (pre- screening). Special consideration is given to the UN Global Compact and the OECD Guidelines for Multinational Enterprises. Carnegie Fonder is an active manager that takes a stand on corporate governance issues, including

• sustainability. We therefore have

a special council for responsible investment, comprising the CEO, the Compliance Offjcer, the Head of Corporate Communications and the Head of Sales. The council regularly discusses sustainability issues, quality assures that the fund managers take sustainability into account when making investments and ensures that Carnegie Fonder’s personnel receive training in these matters. If we receive information that a holding is not living up to our requirements, the council takes action in consultation with the relevant fund manager. We have a number of possible courses of action:

z z The manager seeks additional

information and discusses the holding with the council.

z z The manager contacts the

company with regard to our issues.

z z Carnegie Fonder’s CEO makes

more formal contact with the holding’s CEO or chairman.

z z We contact other shareholders for

joint ownership dialogue.

z z If the response is not satisfactory,

and the company does not show willingness to change, we can choose to divest the holding. This type of process can take some time, depending on the nature of the issue, the size of our holding and where the company is based

• geographically. Each case is unique

and is evaluated individually. We will each report

• n our activities and

progress towards implementing the principles.

COMPANY PRESENTATION 2016 • CARNEGIE FONDER AB 16

Gunnar Påhlson, manager of Carnegie Asia and Carnegie Indienfond.

“The dialogue is focused on the risks that we consider in relation to our ethical standards.”

CARNEGIE FONDER AB • COMPANY PRESENTATION 2016 17

Risk management The purpose of risk management is not to eliminate all risk but to make it possible for the funds to have a achieve good performance in a sound manner. A risk assessment is performed at least once a year. Market risk – is the risk of loss due to adverse movements in the underlying market

• factors. Market risk in the funds is managed

by limiting the fund’s investment strategies in the fund rules. Each investment fund is reviewed on a daily basis against the applicable investment statutes independently by middle offjce (post- control). Fund status monitoring is fully integrated in the portfolio system with a pre- control for the asset managers and a post- control performed by middle offjce. In order to deal with potential risks for possible changes in the market, periodic stress tests of market risk are performed. The total exposure is measured on a regular basis according to the commitment approach for all funds with holdings of derivative instruments. Credit risk e.g. counterparty risk – is the risk

• f loss due to default by the counterparty to

a transaction before fjnal settlement of the transaction’s cash fmow. All investments are performed through a counterparty approved by the counterparty committee. Each counterparty has a counterparty limit, which is monitored independently on a daily basis by middle offjce. Liquidity risk – is the risk of not being able to meet liquidity commitments due to redemptions in the funds. The liquidity in each fund is stress tested on a regular basis to ensure that the funds can withstand possible higher liquidity fmow in a strained and extreme. Operational risk – is the risk of losses resulting from an inappropriate organisation, the human factor, inadequate or failed internal processes and systems or from external events. The approach to regulatory and operational risk management is based on an enterprise risk assessment process. The asset management organisation is built

• n a team structure, where each team is

responsible for a number of investment

• products. This structure reduces the
• perational risk if one or more team

members leave the organisation.

Risk management and compliance

COMPANY PRESENTATION 2016 • CARNEGIE FONDER AB 18

Compliance Carnegie Fonder has a comprehensive programme that helps the company and its employees to conduct operations and activities ethically, with the highest level of integrity and in compliance with legal and regulatory requirements. The aim of the programme is to foster a culture of ethics and compliance that is central to all of Carnegie Fonder’s operations and activities, understand the nature of risks and potential exposures and identify and manage risks that impact the company. Key points of the programme:

z z An independent and committed

board of directors

z z An investment philosophy and

• perating style that communicates,

by word and action, that there is support for compliance and commitment to ethics

z z An established Code of Conduct z z HR Practices and Policies

covering recruitment and hiring,

• rientation, evaluation, promotion

and compensation, as well as disciplinary actions

z z Clear assignment of authority

and responsibility with focus on maintaining clear reporting and communication

z z Clear written policies and

procedures to ensure that legal requirements are met in an understandable, accessible and practical manner

z z Ongoing training and education

including maintaining licensing requirements for the staff Confmicts of interest Carnegie Fonder has adopted policies and procedures designed to identify and manage confmicts of

• interest. Both Carnegie Fonder and

its employees shall act in the best interests of clients. Employees should be alert to potential conflicts of interest and, if such occur, ensure they are handled with integrity and

• honesty. Carnegie Fonder’s interests

should never be put before the interests of client and no client should be favoured at the expense

• f another.

Areas where confmicts of interest do

• r may exist are reviewed regularly.

Carnegie Fonder has a number of procedures for managing confmicts

• f interest which are monitored by

the second line of defence. As an example, the grandfather principle is applied to internal procedures. Furthermore, information is limited to employees who need it to perform their work. Personal account dealing is closely monitored in accordance with regulatory requirements. The board and management are informed of signifjcant confmicts

• f interest.

Counterparties Carnegie Fonder has an established procedure in line with regulatory requirements to manage counterparties. There is an

• nboarding process as well as an

annual review and evaluation of the The board and management are informed of signifjcant confmicts

• f interest.

CARNEGIE FONDER AB • COMPANY PRESENTATION 2016 19

1

st line – refers to management and line functions, encompassing both business and support functions. The fjrst line of defence is responsible for the risks generated by their activities and for maintaining risk at an acceptable level.

2

nd line – refers to risk control and and compliance functions, which are independent of the business and support units they monitor and

• control. Monitoring and

controls are established according to a risk-based

• approach. The second line

reports directly to the Board and the CEO.

3

rd line – refers to the internal audit function, which provides independent assurance of the fjrst two lines of defence. The internal audit function is required to validate and test the effjciency of procedures and controls within the

• rganisation.

Third line

• f defence

Independent Control Second line

• f defence

Risk Control and Compliance First line

• f defence

Business Areas Board of Directors Front Offjce Adminstration CEO Middle Offjce

Three lines of defence

Internal Audit Risk and Compliance Offjcer

performance of approved counterparties. When evaluating counterparties four parameters are evaluated: fjnancial status, quality of research, execution of orders and general services. Carnegie Fonder’s prior knowledge and experience of the counterparty should always be taken into account.

COMPANY PRESENTATION 2016 • CARNEGIE FONDER AB 20

Administration and IT

All administrative responsibilities for the Swedish domiciled funds are managed by the fund administrative team at Carnegie Fonder in Stockholm. For our Luxembourg domiciled funds the administrative responsibilities lie with the fund company, SEB Fund Services S.A. and Carnegie Fund Services. Carnegie Fonder is the investment manager for the Luxembourg domiciled fund and therefore some administrative tasks are managed by the fund administrative team at Carnegie Fonder. The main responsibility of middle offjce is to act as an operational control function for both front and back offjce. Controls are adequately documented and verifjed by either the Head of Fund Administration or the CRO. The central IT system used at Carnegie Fonder is the Secura platform consisting

• f both a front offjce and back offjce

application, Secura Portfolio together with

• Bloomberg. The Secura applications are

integrated with each other. Back offjce uses two main systems. Secura Portfolio is used for portfolio administration. Secura Fund is used as our CRM system for all client administration. Portfolio valuation/NAV calculation For the Swedish domiciled funds the NAV is calculated by Carnegie Fonder back offjce under the supervision of middle offjce. In

• rder to attain an independent portfolio

valuation the NAV calculation is carried

• ut without any infmuence from the fund

managers. The primary price source for equities, currencies and indexes is Bloomberg. It is also used as a price source for fjxed income instruments. Portfolio valuation is carried out in the portfolio system, Secura Portfolio. The portfolio holdings are priced through an automatic price feed which is connected to Reuters and Bloomberg. Before the NAV is

• ffjcial and published, middle offjce verifjes

the portfolio valuation for all funds. For more information regarding processes in Luxembourg please contact: spara@carnegiefonder.se.

CARNEGIE FONDER AB • COMPANY PRESENTATION 2016 21

Fund operations are divided into two units at Carnegie Fonder AB Middle Offjce

Primary responsibilities

z z Pre- and post-trade compliance checks z z Performance reporting z z Legal reporting z z NAV/Price control

IT Systems

z z Portfolio System - Secura Portfolio z z Risk monitoring - Secura Portfolio and

Bloomberg

z z Legal reporting - Secura Portfolio -

Bloomberg

z z Bloomberg z z Trapets

Back Offjce

Primary responsibilities

z z Portfolio and trade reconciliation z z Portfolio administration z z NAV calculation z z Monitoring of cash and security holdings

IT Systems

z z Portfolio System - Secura Portfolio z z Client Manager System - Secura Fund z z Custodian web platform/network (for

monitoring portfolio holdings)

Trading

Fund managers or traders place trades via brokers/counterparties.

Swedish domiciled funds When the order is confjrmed the fund manager or trader registers the trade in Secura Front, which is the front application

• f our portfolio system. There is a built-in

pre-trade compliance check in Secura Front and an interface between Secura Front and Secura Portfolio. Once the trade is booked by the fund manager it will be shown as a new trade in Secura Portfolio. The trade is preliminary until back offjce matches the information with the confjrmation from the counterparty. Luxembourg domiciled funds After a trade has been executed the fund manager creates a ticket in Bloomberg AIM which is automatically routed to Carnegie Fund Services or EFA in Luxembourg depending on which fund the trade is allocated to. The ticket is also subjected to a pre-compliance check in Bloomberg upon creation. The respective administrative teams reconcile the ticket against the contract note from the counterparty and are responsible for the settlement. Best execution In order to achieve the best possible result when executing or transmitting orders we follow our Best Execution Policy. In accordance therewith we only trade with selected brokers who will take all reasonable measures into consideration when an order is executed/transmitted. Such measures include the size and type of the order, the price, the costs, the speed, the likelihood of the order

resulting in a transaction and that the transaction can be settled, and any other consideration which is relevant to a particular order.

COMPANY PRESENTATION 2016 • CARNEGIE FONDER AB 22

Peter Gullmert

Head of Sales +46 8 12 15 50 51 peter.gullmert@carnegiefonder.se

Martin Pantzar

Head of Sales Norway +46 8 12 15 50 54 martin.pantzar@carnegiefonder.se

Claes Feldmann

Sales (Sweden and Finland) +46 8 12 15 50 52 claes.feldmann@carnegiefonder.se

Henrik Sohlberg

Sales (Sweden) +46 8 12 15 50 53 henrik.sohlberg@carnegiefonder.se

Sophia Bendrik

Sales (Sweden) +46 8 12 15 50 55 sophia.bendrik@carnegiefonder.se

Martin Martinelle

Sales (Institutional) +46 8 12 15 50 56 martin.martinelle@carnegiefonder.se

Louise Lindevall

Sales (Private Clients) +46 8 12 15 50 57 louise.lindevall@carnegiefonder.se

Andreas Uller

Head of Business Development/Dept CEO +46 8 12 15 50 99 andreas.uller@carnegiefonder.se

Postal address

Carnegie Fonder AB Box 7828 SE- 103 97 Stockholm, Sweden

Visitors

Regeringsgatan 56 Stockholm, Sweden

Website

www.carnegiefonder.se

E-mail

spara@carnegiefonder.se

Phone

+46 8 12 15 50 00

Contact information

CARNEGIE FONDER AB • COMPANY PRESENTATION 2016 23

John Strömgren, manager Carnegie Strategy Fund.

“Our investments are continuously evaluated.”

COMPANY PRESENTATION 2016 • CARNEGIE FONDER AB 2

About Carnegie Fonder

We specialise in equity funds, mixed funds and fixed-income funds in Sweden, the Nordic region and the world’s emerging markets. Founded in 1988, Carnegie Fonder has nearly 30 years of investment experience.