Nordea Funds Ltd has implemented a Remuneration Policy that is designed as not to encourage excessive risk taking. In that context, it integrates in its performance management system risk criteria specific to the activities of the business units, i.e. Management Company and of the UCITS funds managed by the Management Company.
- The Management Company has implemented a series of safeguards in order for its staff to refrain from taking undue risk that is inconsistent with the risk profiles or fund rules of the UCITS funds managed or that would be in conflict with the obligation of the Management Company to act in the best interest of the UCITS funds managed.
- The Remuneration Policy supports the business strategy, objectives, values and a long-term interests of the UCITS funds managed by the Management Company and of the investors in such UCITS funds, and of the Management Company and the group of Nordea Bank AB (publ) to which it belongs. The governance structure of the Remuneration Policy aims at preventing internal conflicts of interest.
- Individual staff assessments are based on a weighting of financial and non-financial targets linked to the specific job scope and role. The total amount of remuneration is based on a combination of the assessment as to the performance of the individual and of the business unit or UCITS funds concerned and as to their risks and of the overall results of the Management Company.
- As such, the principle of individual performance assessment is based on an assessment of objectives reached as well an appreciation of the employee’s long-term value creation. Furthermore, the performance reflects an assessment of business and interpersonal skills and is linked to the achievement of the individual.
- The criteria applied to establish fixed remuneration are job complexity, level of responsibility, performance and local market conditions. All staff members entitled to variable remuneration (such as bonus payments) are subject to an evaluation including both quantitative and qualitative criteria as part of an annual performance assessment. Variable amounts may be paid out over a period of time in line with applicable laws and regulations.
- The Board of Directors of the Management Company decides on the Remuneration policy.
- The Nordea Funds Ltd’s Remuneration Committee evaluates the remuneration policy and practices. The committee is responsible for the preparation of recommendations to the Board of Directors relating to the remuneration policy that may have an impact on the risks and the risk management of the Management Company and the UCITS funds managed by the Management Company.
- The Chairman of the Board of Directors of the Management Company Mr. Jukka Perttula and the board member Mr. Nils Bolmstrand have been appointed as members of the Nordea Funds Ltd’s Remuneration Committee.
Investors may receive, free of charge and upon request, the prospectus in written form.