Citadele Eastern European Balanced Fund was named the “Best Balanced Fund 2010” in the recent survey held by European business magazine Business New Europe on the best performing CEE funds. Citadele Eastern European Balanced Fund has brought the highest return (24.26%) among other funds with similar investment strategy covered in the survey.
Andris Kotāns, Senior Fund Manager of Citadele Asset Management says, “The Fund invests in debt and equity securities of Eastern European issuers. During the period from July 1, 2009 to June 30, 2010, the Fund was performing very well, and we congratulate the Fund’s faithful investors on it! This growth was primarily driven by the strong performance of the hard currency debt markets of Eastern Europe during this period, which at the start of the period formed 85% of the Fund’s assets. Following the late 2008/early 2009 panic and liquidity squeeze, these debt markets offered amazing opportunities with bonds of fundamentally strong issuers offering yields in double digits. Subsequently, the market reacted very positively to the generally strong economic durability of the region, with strong liquidity boost provided by global monetary policy stimuli of the world’s leading central banks. As the Eurobond market rallied and the amount of obviously undervalued debt instruments decreased, the weight of equities in the Fund has increased to 20% due to better forward-looking risk/return balance. Further increase of the equity weighting is expected in the coming months, yet the region’s Eurobonds are still expected to form the backbone of the Fund for the foreseeable future”.
Business New Europe also awarded Citadele Eastern European Balanced Fund as the Best Balanced Fund in 2008.
More information on this: http://businessneweurope.eu
About Citadele Bank
Citadele Bank has been established to inspire the growth for people and enterprises and to enhance regional development. The Bank strives to ensure outstanding customer service and provide a wide range of retail services, as well as services for enterprises and private capital management clients, and to attract excellent and experienced clients and customer service staff. Citadele Bank is an exclusive dealer of American Express® in Latvia and Lithuania entitled to issue American Express credit cards. 75% of the Bank’s shares are held by Privatization Agency, while the European Bank for Reconstruction and Development (EBRD) owns 25% plus one voting shares.