Balanced funds

Diversified investment for the long term

A balanced fund is a recommended alternative when one wants a ready-made portfolio diversified across the equity and fixed-income markets.

The portfolio manager of the fund monitors development of the markets and decides accordingly on the weights of the fixed-income and equity investments within the scope of the fund rules. When equity prices are expected to decline, the weight of fixed-income investments is increased and vice versa. The basic allocation of a balanced fund, that is, the weights of fixed-income and equity markets determine its level of return and risk.

Nordea’s balanced funds include different alternative portfolios for longer-term saving. For example, Nordea Stable Return Fund seeks to provide stable capital growth with a unique stock selection method developed at Nordea.

Benefits of a balanced fund

• Ready-made diversified investment portfolio.
• Portfolio manager monitors the markets actively.
• Nordea has an extensive range of funds.