Balanced funds

Balanced funds offer a convenient way to make a broadly diversified investment across the equity and fixed income markets. Our experienced portfolio management team tracks the markets, assessing the opportunities they offer and making investment decisions on your behalf. As their name implies, balance funds contain a balanced mix of equity and fixed income investments.

How to choose the most suitable balanced fund

We offer a broad selection of balanced funds that are suitable for various types of saving goals. Here are some things to think about when choosing a suitable balanced fund:

• Balanced funds invest in both equities and fixed income instruments with various weights. The more a fund focuses on equities, the higher its expected return and risk. The more it focuses on fixed income investments, the lower and more stable its expected return and risk.
• Think about how much risk you’re willing to tolerate, what kind of return you’re seeking and how long you wish to hold your investments. Read each fund’s key documents, where you will find out about its structure, expected return and risk profile.

Remember that the same principle applies to balanced funds as to any other funds: risk and return go hand in hand. A higher expected return results in a higher risk and more volatility in the value of the fund. You will usually find a suitable fund by exploring our selection and thinking about your investment goals.

See how the weight of equities and the invested amount affect the return on investment.

The graph on this page illustrates the return on the Nordea Savings 30 and Savings 75 funds with different invested amounts. As can be seen, Savings 75, with its higher weight in equities, has generated a better return, but it has experienced more volatility in its value. Meanwhile, Savings 30, with its more moderate equity weight, has performed more steadily, but with a lower overall return. The graph is a great illustration of how the equity weight affects the expected return and the risk level of an investment.

It also reveals how much the invested amount influences the total return. The comparison between the monthly savings sums of 50 euros and 200 euros shows that the best return was achieved by investing the larger amount in the fund with the higher proportion of equity investments, which is Savings 75. In other words, a higher invested amount, combined with a suitable level of risk, can improve the total return on an investment.

Source: Nordea Asset Management. Return on the Savings 30 and Savings 75 funds from 5 June 2005 to 5 June 2025, including monthly additional investments of 50 euros and 200 euros. The information presented here is intended as general product information only and does not constitute investment advice or recommendations. Past performance is not a guarantee of future results.