OP-Euro

Low-risk option for savings and cash

OP-Euro is an actively managed short-term fixed income fund which invests its assets in Investment Grade fixed income instruments issued by banks, companies, governments and public sector entities mainly in euros. Short-term fixed-income funds are a good choice when the investor has reason to accept more moderate capital appreciation potential. 

Subscription fee Annual management fee Redemption fee
0,00 % 0,15 % 0,00 %

Fund units generate OP bonuses. No fee is charged for fund subscriptions or redemptions

OP-Euro is a short-term fixed-income fund that invests mostly in fixed-income instruments issued in euros by banks, other companies, governments and other public-sector entities in Europe. The fund aims to achieve capital appreciation for the invested assets in the long term.

The key risks associated with the fund unit's value performance are credit risk, liquidity risk and industry risk arising from the investments' focus on the banking and financial sector. Changes in credit risk premiums may have a significant impact on the fund's yield. Credit risk may also materialise as a result of an issuer's bankruptcy or insolvency. To a minor extent the fund is also exposed to interest rate risk (modified duration between 0–1). In abnormal market conditions, the liquidity of the fund's investments may weaken, which may have an effect on the investments' value performance and also lead to delays in the redemption of fund units.

OP-Euro is suitable for those appreciating security and seeking corresponding yield as the return offered by deposits but who want their assets to be rapidly available without the need to worry about major fluctuations in the fund's value. Companies can also make use of the fund in enhanced cash management. OP-Euro offers a flexible alternative to 12-month deposits or fixed-income investments.

The portfolio manager's review is available on the fund's Finnish pages.

OP-Euro is an actively managed short-term fixed income fund which invests its assets in Investment Grade fixed income instruments issued by banks, companies, governments and public sector entities mainly in euros. If invests are made in other currencies, the currency risk is hedged in full. The Fund aims to achieve capital appreciation for the invested assets in the long term. The Fund may not achieve the objective of its investment operations under all market conditions.

The Fund may only invest in fixed income instruments with a remaining term to maturity of 2 years at maximum. The Fund's investments are mainly direct fixed income investments, but the Fund may use fixed income derivatives and credit default swaps to hedge against market changes and to replace direct investments. The Fund diversifies its investments broadly among various issuers' fixed income instruments. The investment instruments are typically certificates of deposit, commercial papers, local authority papers, floating and fixed rate bonds as well as deposits. A classified investment must have an Investment Grade credit rating by a recognised credit rating agency, and other fixed income instruments must have a corresponding rating, as estimated by the Fund’s portfolio management.

Modified duration, which measures the Fund’s interest rate risk, is moderate and can be 0–1. Interest rate risk means the impact of changes in the general interest rate level on the value of the Fund’s investments. The higher the figure, the more sensitive the Fund is to value changes.

The Fund's benchmark index is 3 month Euribor. With active investing, the Fund seeks to outperform its benchmark index in the long term. The Fund’s active risk level is mainly low and differs only slightly from the composition, weights and risk level of the benchmark index.

The Fund promotes environmental and social characteristics and, to ensure it, uses environmental, social and governance (ESG) analysis and excludes certain investments. 

Exclusion: The Fund excludes from its active direct investments controversial weapon manufacturers, mining companies producing thermal coal, power companies using thermal coal, tobacco companies, and companies that have breached international standards and where engagement has been unsuccessful.  The list of exclusions is public. In addition to general exclusion rules, the Fund does not invest in companies whose principal business is in unconventional oil and gas extraction.

Use of ESG data in the investment analysis: ESG factors are considered in the investment process with the help of data by an external ESG service provider and the ESG tool developed internally by OP Asset Management. Considering ESG factors in the investment process means, for example, that the risks and opportunities related to the environment, society and governance are made transparent using selected indicators from each area. 

Violations of international standards: The Fund is screened regularly for non-compliances with international standards. In the event that a non-compliance is detected, an influencing process is begun with the company in question. The aim is to make non-compliant companies change their practices and begin to comply with international standards in their operations. If influencing proves fruitless, the company may be removed from the Fund portfolio and placed on the exclusion list.

Minimum share of sustainable investments: In accordance with the minimum amount stated below, the Fund allocates investments into companies whose business promotes one or more UN Sustainable Development Goals (SDG) without harming other sustainability factors or objectives. Sustainable investments are determined using OP Asset Management’s analysis model which is based on an external service provider’s SDG and sustainability data.

Assessing good governance practices: Analysing the target company’s governance is an important part of the investment process. To us, good governance is a key foundation for any company’s financial success, regardless of sector. When assessing governance, some of the areas considered include the appropriateness of the target company’s administrative organisation, the target company’s actions in relation to its personnel, and the target company’s rewarding and taxation practices. In assessing good governance, we use the analysis of third-party service providers and our own qualitative analysis if no external data is available. We screen the funds regularly to check them against the criteria of good governance. Minimum limits apply for these criteria. 

More details Basic data, performance and fact figures

Basic data

Fund manager
Tuula Vierimaa
Benchmark index
Euribor 3 months
Start date
26.04.1996
ISIN
FI0008805163
fund serie
Accumulation unit
Fund size
1399 Meur
Serie value (19.02.)
21,95 EUR
Monthly review
Download
Key Information Document
Download
Rules
Download
Sustainability data
Download

Accumulated profit (16.02)

1mth 3mth 6mth 1 y 3 y p.a. 5 y p.a.
OP-Euro A +0,37 % +1,06 % +2,05 % +3,49 % +0,82 % +0,46 %
Benchmark +0,32 % +1,02 % +1,97 % +3,39 % +0,91 % +0,39 %

Yearly performance

2019 2020 2021 2022 2023 YTD
OP-Euro A 0,00 % −0,09 % −0,28 % −0,94 % +3,16 % +0,50 %
Benchmark −0,34 % −0,39 % −0,55 % −0,33 % +3,04 % +0,56 %

Key figures

Volatility 12 m vola 12m Sharpe 12 m Duration
OP-Euro A 0,41 % - -
Benchmark index - - -

As our owner-customer, saving and investing is especially worthwhile thanks to the excellent benefits you receive.

Your benefits when investing in funds or through insurance:

  • Buy and sell almost all OP mutual funds with no fees.*
  • You earn 0.35% OP bonuses from mutual fund and insurance assets.** 
  • Begin saving through insurance free of charge. 
  • Switch between investments, invest additional funds and change your payment and investment plan for OP Unit-linked Insurance and OP Savings Agreement free of charge in our digital services.  

Your benefits in equity and ETF investing:

  • Open an equity savings account or book-entry account free of charge.
  • You get a discount on equity trading and a 1% fee ceiling when trading in Finnish listed companies through a book-entry account The discounts apply in digital services.
  • Get access to free stock picks and analysis.
  • Get a discount on the service packages for savers and investors:
    Equity savings account: 
    Saver: €0/month (normally €2.99/month)
    Investor: €9.99/month (normally €14.99/month)
    Book-entry account: 
    Saver: €0/month (normally €2.99/month)
    Investor: €0/month (normally €5.39/month)

Other benefits:

  • Only owner-customers can invest in Profit Shares.

Remember to make use of all benefits:

*Standard fees are charged for the following special common funds: OP-Public Services Real Estate, OP-Forest Owner, OP-Rental Yield, OP-Alternative Portfolio and OP-Private Equity.

**OP bonuses are automatically used to pay the bank’s service charges and insurance premiums. No OP bonuses are accrued from the R2 Crystal special common fund or institutional classes of funds. The following investment products linked to insurance assets do not accrue OP bonuses: JPM Russia A, JPM Emerging Europe Equity Fund, and BlackRock GF Emerging Europe Fund A. OP bonuses are accrued from unit-linked insurance policies, excluding Individual Unit-linked Insurance and Individual Capital Redemption Contracts.  

This is an advertisement. Remember that investment always involves risks. The value of investments can rise and fall, and an investor can lose part or all of the money they invest. OP funds are managed by OP Fund Management Company Ltd, with OP cooperative bank acting as its agent. Normal transaction costs are charged for the following special common funds: OP-Public Services Real Estate, OP-Forest Owner, OP-Rental Yield, OP-Alternative Portfolio and OP-Private Equity special common funds.