The Evli Corporate Bond fund celebrates its 25th anniversary this year, making it one of the oldest and longest running corporate bond funds in Finland. Launched on September 14, 1999, the trailblazing fund was the first in Finland to offer investors access to the European corporate bond market, and since then has enjoyed an unparalleled quarter-century of success.
The Evli Corporate Bond fund is a long-term fixed income fund that invests primarily in euro-denominated bonds issued by European companies. The fund's investment strategy is based on careful analysis and diversification, which has enabled it to generate stable returns over the long run. What also makes the fund's history unique is that its portfolio manager has remained the same throughout the years and through different market situations.
"When we introduced the Evli Corporate Bond fund 25 years ago, our aim was to create a new and unique opportunity for investors to participate in the burgeoning corporate bond market. We succeeded in this. We are proud that our fund has stood the test of time, providing investors with stable returns through different market conditions," says Mikael Lundström, the fund’s Portfolio Manager and a veteran expert in the finance industry. Mr Lundström has been with the fund since its inception, making him one of Finland's longest-serving portfolio managers.
The fund’s enduring strategy has garnered recognition at the European level while also forming the basis for other successful strategies at Evli. This has resulted in Evli often being voted as the best fixed income house. Most recently, earlier this year in France, Evli was named the best small fixed income house by Lipper.
The success of the Evli Corporate Bond fund also reflects the growth in popularity of corporate bonds as an investment. Evli's strong expertise in the corporate bond market has also attracted international attention for the Evli Corporate Bond fund. The fund has won several industry awards and is also in Morningstar's top quartile ranking for 1-, 3-, 5-, 10-, and 15-year performance. This shows that the fund's strategy works in both bull and bear markets.
"In a historical context, the current market is particularly favourable for the fund. As interest rates have risen, bonds from highly rated companies have become more popular in the fixed income market. Although the market situation is now changing, we are confident about the future. Our fund has also performed well during the challenging market periods of the past quarter century. Our persistent and analytical approach will continue to deliver results. We thank our investors for their trust over the past 25 years and look forward to the decades ahead,’ says Lundström.
Over the years, Evli's fixed income team has grown from one person to ten specialists, focusing mainly on corporate bonds. Evli's assets under management in corporate bonds amounts to approximately 6 billion euros.
Mikael Lundström
- Chief Investment Officer at Evli Fund Management Company
- Career in Evli began as a fixed income Analyst in 1996
- Acted as Portfolio Manager for both the Evli Corporate Bond fund and the Evli European High Yield fund since their inception in 1999 and 2001, respectively.
- Has actively invested in the European corporate bond market since its inception and led a number of highly successful investment strategies.
- By education, Lundström is a Master of Economic Sciences (M.Sc.)
