Investment policy

The management takes as a reference the return of the Euribor weekly compounded annually index, and for the portion of unrated Fixed Income (20%), the reference index will be the Markit Iboxx Eur Liquid High Yield Index. The Fund invests in short-term Fixed Income securities issued by public or private issuers from any country and traded on legally authorized organized financial markets. Under normal market conditions, investments will be made in Fixed Income securities from OECD member countries. The Fund may invest up to 25% of its assets in Fixed Income securities with medium credit quality (rating between BBB- and BBB+), and the remainder with high credit quality (A or higher). However, investments may be made in assets with at least the same credit quality as the Kingdom of Spain at any given time. Additionally, investments of up to a maximum of 20% of the net assets are allowed in Fixed Income securities with low credit quality or unrated. The average duration of the Fixed Income securities portfolio will not exceed 2 years. The Fund will not invest in assets from emerging countries. The maximum currency risk exposure will be up to 5%. Up to 5% may be invested in financial collective investment institutions (CIIs) that are eligible assets, whether harmonized or not, whose investment strategy is consistent with that of the Fund and are not part of the management company's group. Up to 10% may be invested in deposits with credit institutions that must meet the credit rating requirements for Fixed Income. The maximum exposure to market risk through derivatives is the net asset value. More than 35% of the net assets may be invested in securities issued or guaranteed by a member state of the European Union, an Autonomous Community, a Local Entity, International Organizations of which Spain is a member, and States with a solvency rating not lower than that of the Kingdom of Spain. Operations with derivative financial instruments traded on organized derivative markets will be carried out for hedging and investment purposes, as well as operations with non-organized derivative financial instruments for hedging and investment purposes. This operation involves risks due to the possibility that the hedging may not be perfect, the leverage they entail, and the absence of a clearinghouse.