MOVESTIC SICAV (RCS No. B 185.082) SOCIÉTÉ D INVESTISSEMENT À CAPITAL VARIABLE ORGANIZED UNDER THE LAWS OF THE GRAND DUCHY OF LUXEMBOURG ANNUAL REPORT AS OF DECEMBER 31, 2015 COMPANY: MOVESTIC SICAV
MOVESTIC SICAV (RCS No. B 185.082) ANNUAL REPORT AS OF DECEMBER 31, 2015 Report of the Board of Directors 4 Combined Accounts 33 The Key Facts, At a Glance, Profit and Loss accounts, Changes in Net Assets, Classification of Investments, Statement of Assets and Liabilities a.o. MOVESTIC SICAV - Multifond Balanserad 35 MOVESTIC SICAV - Multifond Försiktig 39 MOVESTIC SICAV - Multifond Offensiv 43 MOVESTIC SICAV - Movestic Bevara 47 MOVESTIC SICAV - Movestic Bygga 51 MOVESTIC SICAV - Monyx Fondservice Balanserad Movestic 55 MOVESTIC SICAV - Monyx Fondservice Sverige/Världen Movestic 59 MOVESTIC SICAV - Monyx Fondservice Världen Movestic 63 MOVESTIC SICAV - Trygghet 75 Movestic 67 MOVESTIC SICAV - Trygghet 80 Movestic 71 MOVESTIC SICAV - Trygghet 85 Movestic 75 MOVESTIC SICAV - Trygghet 90 Movestic 79 1
MOVESTIC SICAV - Naventi Offensiv Strategi 83 MOVESTIC SICAV - Naventi Balanserad Strategi 86 MOVESTIC SICAV - Aktiv Allokering 90 MOVESTIC SICAV - Movestic Europa Småbolag 94 MOVESTIC SICAV - Movestic Korta Räntor Plus 100 MOVESTIC SICAV - Movestic Sverige 107 MOVESTIC SICAV - Ascensus Trend Movestic 111 MOVESTIC SICAV - Ascensus Offensiv Movestic 115 MOVESTIC SICAV - Modernac 119 MOVESTIC SICAV - Movestic Global 122 List of Management Fees for the Target Funds, that were included in the portfolio during the reporting period 129 Notes to the Annual Report 132 Report of the Réviseur d Entreprises agréé 139 Partners 140 2
This Annual Report does not constitute an offer or an invitation to purchase shares of the Company. Statements on future performances cannot be made on basis of this Annual Report. The subscription of shares is based on the most recent version of the Prospectus, the Statutes of the Company and the latest Annual Report. If the cut-off day of the Annual Report exceeds more than eight months a more recent Semi-Annual Report will be provided in addition to the Annual Report. The Prospectus is available free of charge at the Company, at the Custodian Bank and at the Paying and Distribution Agents mentioned in this Report. A statement of the changes to the schedule of investments in the period under review is available free of charge from the Company, the Paying Agents and the Distribution Agents.
MOVESTIC SICAV - Multifond Balanserad / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets 2015 became an interesting and somewhat volatile year for the financial markets. After a strong rally many asset classes lost momentum and in combination with lower risk appetite, weaker earnings, modest growth and a tumbling oilprice, the dispersion among markets became significant. Central banks are still stimulating markets with liquidity even though the Federal Reserve (the Fed) started to raise rates, but from a historically low level. Geopolitical, the focus has been, as many times before, on Middle East, but with very limited effect on the global real economy. MOVESTIC SICAV - Multifond Balanserad The sub-fund MOVESTIC SICAV - Multifond Balanserad is an actively managed fund which primarily invests in equity related funds on a global basis, fixed income and hedge funds. The target is 50 % equity exposure and 50 % nonequity exposure. During the year, the sub-fund has successfully been invested in equity-related funds with exposure to different regions, styles and market caps. In addition to the equity exposure the fund has been invested in various fixed income funds and hedge funds. Over the year there have been some changes of underlying holdings due to diversify exposure. The sub-fund has performed as expected and is well positioned to exploit volatility and market inefficiencies. However, the management of the sub-fund does not rely on short term tactical asset allocation. MOVESTIC SICAV - Multifond Balanserad returned 1,3 %* during the reporting period. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method 4
MOVESTIC SICAV - Multifond Försiktig / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets 2015 became an interesting and somewhat volatile year for the financial markets. After a strong rally many asset classes lost momentum and in combination with lower risk appetite, weaker earnings, modest growth and a tumbling oilprice, the dispersion among markets became significant. Central banks are still stimulating markets with liquidity even though the Federal Reserve (the Fed) started to raise rates, but from a historically low level. Geopolitical, the focus has been, as many times before, on Middle East, but with very limited effect on the global real economy. MOVESTIC SICAV - Multifond Försiktig The sub-fund MOVESTIC SICAV - Multifond Försiktig is an actively managed fund which primarily invests in equity related funds on a global basis, fixed income funds and hedge funds. The target is 33 % equity exposure and 67 % non-equity exposure. During the year, the sub-fund has successfully been invested in equity-related funds with exposure to different regions, styles and market caps. In addition to the equity exposure the fund has been invested in various fixed income funds and hedge funds. Over the year there have been some changes of underlying holdings due to diversify exposure. The sub-fund has performed as expected and is well positioned to exploit volatility and market inefficiencies. However, the management of the sub-fund does not rely on short term tactical asset allocation. MOVESTIC SICAV - Multifond Försiktig returned -1,4 %* during the reporting period. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method 5
MOVESTIC SICAV - Multifond Offensiv / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets 2015 became an interesting and somewhat volatile year for the financial markets. After a strong rally many asset classes lost momentum and in combination with lower risk appetite, weaker earnings, modest growth and a tumbling oil price, the dispersion among markets became significant. Central banks are still stimulating markets with liquidity even though the Federal Reserve (the Fed) started to raise rates, but from a historically low level. Geopolitical, the focus has been, as many times before, on Middle East, but with very limited effect on the global real economy. MOVESTIC SICAV - Multifond Offensiv The sub-fund MOVESTIC SICAV - Multifond Offensiv is an actively managed fund which primarily invests in equityrelated funds on a global basis, with a 50 % exposure to Swedish equity and 50 % exposure to international equity. During the year, the sub-fund has successfully been invested in equity-related funds with exposure to different regions, styles and market caps. Over the year there have been some changes of underlying holdings due to diversify exposure. The sub-fund has performed as expected and is well positioned to exploit volatility and market inefficiencies. However, the management of the sub-fund does not rely on short term tactical asset allocation. MOVESTIC SICAV - Multifond Offensiv returned 6,2 %* during the reporting period. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method 6
MOVESTIC SICAV - Movestic Bevara / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets 2015 became an interesting and somewhat volatile year for the financial markets. After a strong rally many asset classes lost momentum and in combination with lower risk appetite, weaker earnings, modest growth and a tumbling oil price, the dispersion among markets became significant. Central banks are still stimulating markets with liquidity even though the Federal Reserve (the Fed) started to raise rates, but from a historically low level. Geopolitical, the focus has been, as many times before, on Middle East, but with very limited effect on the global real economy. MOVESTIC SICAV - Movestic Bevara The sub-fund MOVESTIC SICAV - Movestic Bevara is an actively managed fund with mandate to invest in various asset classes. The target is to have approximately 25 % invested in equity funds and 75 % invested in fixed income funds and hedge funds. During the year, the sub-fund has successfully been invested in equity-related funds with exposure to different regions, styles and market caps. In addition to the equity exposure the fund has been invested in various fixed income funds and hedge funds. Over the year there have been some changes of underlying holdings due to diversify exposure. The sub-fund has performed as expected and is well positioned to exploit volatility and market inefficiencies. However, the management of the sub-fund does not rely on short term tactical asset allocation. MOVESTIC SICAV - Movestic Bevara returned -2,8 %* during the reporting period. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method 7
MOVESTIC SICAV - Movestic Bygga / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets 2015 became an interesting and somewhat volatile year for the financial markets. After a strong rally many asset classes lost momentum and in combination with lower risk appetite, weaker earnings, modest growth and a tumbling oil price, the dispersion among markets became significant. Central banks are still stimulating markets with liquidity even though the Federal Reserve (the Fed) started to raise rates, but from a historically low level. Geopolitical, the focus has been, as many times before, on Middle East, but with very limited effect on the global real economy. MOVESTIC SICAV - Movestic Bygga The sub-fund MOVESTIC SICAV - Movestic Bygga is an actively managed fund with mandate to invest in various asset classes. The target is to have approximately 75 % invested in equity funds and 25 % invested in fixed income funds and hedge funds. During the year, the sub-fund has successfully been invested in equity-related funds with exposure to different regions, styles and market caps. In addition to the equity exposure the fund has been invested in various fixed income funds and hedge funds. Over the year there have been some changes of underlying holdings due to diversify exposure. The sub-fund has performed as expected and is well positioned to exploit volatility and market inefficiencies. However, the management of the fund does not rely on short term tactical asset allocation. MOVESTIC SICAV - Movestic Bygga returned -0,1 %* during the reporting period. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method 8
MOVESTIC SICAV - Monyx Fondservice Balanserad Movestic / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets 2015 was a turbulent year in the financial markets. While many equity markets saw strong returns in the first half of the year, most markets closed the year below the highs from the summer. Despite the volatile markets, most equity markets delivered positive returns in Swedish kronor as the krona weakened during the year. In the first half of the year, equity markets generally strengthened and commodity prices stabilized after having fallen in the second half of 2014. In Europe, equity markets returned just over 4 % in Euro terms including dividends, but in Swedish kronor, the European equity market returned more than 6 %. Emerging market equities underperformed in the year and fell around 10 % in Swedish kronor, as the market feared weaker economic growth in China. In the fixed income markets, government bond yields fell at the beginning of the year, as inflation continued to fall, and central banks continued to be supportive. In spring, bond markets sold off, partly driven by higher European inflation data and government bond yields rose nevertheless in the second quarter. At the beginning of the year, the European markets were supported by the expansionary monetary policy from the European Central Bank (ECB), as the ECB initiated its quantitative easing program which was announced in January. Markets were also supported by signs of economic recovery in the Eurozone. In autumn, news media were dominated by the European migration crisis. The migration crisis also had an impact on the financial markets. Swedish bond yields weakened by the end of the year, as the market expected an increase in the supply of Swedish government bonds, as the migration crisis will lead to an increase in government spending. The Swedish Riksbank reduced interest rates to negative during the year when it reduced the repo rate from 0,0 to -0,1 % in February and announced its own quantitative easing program in spring. The Swedish Riksbank continued to decrease the repo rate with further reductions to -0,25 % in March and to -0,35 % in July, the latter being somewhat of a surprise to the market. In early summer markets were rattled by the political crisis in Greece. In late summer, financial markets in developed markets weakened in line with heavy falls in the Chinese equity markets, as the markets began to fear a slowdown in the Chinese economy. In August, markets were shaken by a surprising devaluation of the Chinese currency. At the same time, commodity prices fell, due to oversupply and decreasing demand. Equity markets recovered some of the losses in the fourth quarter as economic optimism returned to the markets. In December, the US Federal Reserve Bank (the Fed) increased interest rates for the first time in nine years, as the US labour market continued to strengthen. The US equity market finished the year nearly unchanged in USD terms, including dividends. However, in Swedish kronor, the index nevertheless returned close to 10 % as the US Dollar strengthened. Credit markets weakened during the year, against a background of weaker growth expectations and falling commodity prices. Commodity prices fell dramatically during the year, with oil and iron ore prices falling more than 30 %. Many of the problems occurring in 2015 are also most likely to be valid in 2016. We expect that this could lead to continued and maybe increased volatility and uncertainty in many markets. If this occurs, we are likely going to reduce our exposure to riskier assets. MOVESTIC SICAV - Monyx Fondservice Balanserad Movestic The sub-fund s principal investment objective is to achieve a significant return on invested capital over the long term. The sub-fund will primarily invest in units or shares of UCITS or UCIs, as well as units or shares of closed or open-ended exchange traded funds, with focus on global equity markets, including equities of emerging markets, equity-related instruments and/or global fixed income and money market instruments. The sub-fund MOVESTIC SICAV - Monyx Fondservice Balanserad Movestic has gained 1,3 %* last year. The subfund had an average equity weight of 47 %. The exposure to developed equities was the main contributor to the performance whereas the exposure to fixed income contributed negatively, alternative investments were flat over the period. 9
MOVESTIC SICAV - Monyx Fondservice Balanserad Movestic / Annual Report as of December 31, 2015 The sub-fund had a strong first quarter followed by weakness in line with general equity markets during the summer but managed to recover some of the lost performance during the last quarter. The top performing equity region was the US followed by equities from broad developed countries. The fund also gained from a strong US Dollar against the Swedish krona and that had a positive impact on the fund s international holdings. The best performing investments in absolute numbers and measured in SEK were Öhman Etisk Index USA and JPMorgan Funds SICAV Europe Equity Plus Fund -C (acc) EUR- that contributed approximately 1 % each to the overall performance. On the negative side, the worst performing investments were the funds with fixed income holdings that were all flat or negative over the year. Franklin Templeton Global Bond Fund was the worst performer with a contribution of approximately -0,3 %. The sub-fund has not used derivatives or any currency hedging tools. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method 10
MOVESTIC SICAV - Monyx Fondservice Sverige/Världen Movestic / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets 2015 was a turbulent year in the financial markets. While many equity markets saw strong returns in the first half of the year, most markets closed the year below the highs from the summer. Despite the volatile markets, most equity markets delivered positive returns in Swedish kronor as the krona weakened during the year. In the first half of the year, equity markets generally strengthened and commodity prices stabilized after having fallen in the second half of 2014. In Europe, equity markets returned just over 4 % in Euro terms including dividends, but in Swedish kronor, the European equity market returned more than 6 %. Emerging market equities underperformed in the year and fell around 10 % in Swedish kronor, as the market feared weaker economic growth in China. In the fixed income markets, government bond yields fell at the beginning of the year, as inflation continued to fall, and central banks continued to be supportive. In spring, bond markets sold off, partly driven by higher European inflation data and government bond yields rose nevertheless in the second quarter. At the beginning of the year, the European markets were supported by the expansionary monetary policy from the European Central Bank (ECB), as the ECB initiated its quantitative easing program which was announced in January. Markets were also supported by signs of economic recovery in the Eurozone. In autumn, news media were dominated by the European migration crisis. The migration crisis also had an impact on the financial markets. Swedish bond yields weakened by the end of the year, as the market expected an increase in the supply of Swedish government bonds, as the migration crisis will lead to an increase in government spending. The Swedish Riksbank reduced interest rates to negative during the year when it reduced the repo rate from 0,0 to -0,1 % in February and announced its own quantitative easing program in spring. The Swedish Riksbank continued to decrease the repo rate with further reductions to -0,25 % in March and to -0,35 % in July, the latter being somewhat of a surprise to the market. In early summer markets were rattled by the political crisis in Greece. In late summer, financial markets in developed markets weakened in line with heavy falls in the Chinese equity markets, as the markets began to fear a slowdown in the Chinese economy. In August, markets were shaken by a surprising devaluation of the Chinese currency. At the same time, commodity prices fell, due to oversupply and decreasing demand. Equity markets recovered some of the losses in the fourth quarter as economic optimism returned to the markets. In December, the US Federal Reserve Bank (the Fed) increased interest rates for the first time in nine years, as the US labour market continued to strengthen. The US equity market finished the year nearly unchanged in USD terms, including dividends. However, in Swedish kronor, the index nevertheless returned close to 10 % as the US Dollar strengthened. Credit markets weakened during the year, against a background of weaker growth expectations and falling commodity prices. Commodity prices fell dramatically during the year, with oil and iron ore prices falling more than 30 %. Many of the problems occurring in 2015 are also most likely to be valid in 2016. We expect that this could lead to continued and maybe increased volatility and uncertainty in many markets. If this occurs, we are likely going to reduce our exposure to riskier assets. MOVESTIC SICAV - Monyx Fondservice Sverige/ Världen Movestic The sub-fund s principal investment objective is to achieve a significant return on invested capital over the long term. The sub-fund will primarily invest in units or shares of UCITS or UCIs, as well as units or shares of closed or open-ended exchange traded funds, with focus on global equity markets, including equities of emerging markets, equity-related instruments and/or global fixed income and money market instruments. The sub-fund Monyx Fondservice Sverige/Världen Movestic has gained 4,1 %* last year. The sub-fund had an average equity weight of 72 %. The exposure to developed equities was the main contributor to the performance whereas the exposure to fixed income contributed negatively, alternative investments were flat over the period. 11
MOVESTIC SICAV - Monyx Fondservice Sverige/Världen Movestic / Annual Report as of December 31, 2015 The sub-fund had a strong first quarter followed by weakness in line with general equity markets during the summer but managed to recover some of the lost performance during the last quarter. The top performing equity region was the Swedish Equities followed by equities from broad developed countries. The fund also gained from a strong US Dollar against the Swedish krona and that had a positive impact on the Fund s international holdings. The best performing investments in absolute numbers and measured in SEK were Aktie-Ansvar Sverige and Franklin Templeton Global Small/Mid Growth that contributed approximately 1,5 % respectively 1,1 % to the overall performance. On the negative side, the worst performing investments were the funds with fixed income holdings that all were flat or negative over the year, Atlant Sharp was the single worst performer with a contribution of approximately -0,6 %. The sub-fund has not used derivatives or any currency hedging tools. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method 12
MOVESTIC SICAV - Monyx Fondservice Världen Movestic / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets 2015 was a turbulent year in the financial markets. While many equity markets saw strong returns in the first half of the year, most markets closed the year below the highs from the summer. Despite the volatile markets, most equity markets delivered positive returns in Swedish kronor as the krona weakened during the year. In the first half of the year, equity markets generally strengthened and commodity prices stabilized after having fallen in the second half of 2014. In Europe, equity markets returned just over 4 % in Euro terms including dividends, but in Swedish kronor, the European equity market returned more than 6 %. Emerging market equities underperformed in the year and fell around 10 % in Swedish kronor, as the market feared weaker economic growth in China. In the fixed income markets, government bond yields fell at the beginning of the year, as inflation continued to fall, and central banks continued to be supportive. In spring, bond markets sold off, partly driven by higher European inflation data and government bond yields rose nevertheless in the second quarter. At the beginning of the year, the European markets were supported by the expansionary monetary policy from the European Central Bank (ECB), as the ECB initiated its quantitative easing program which was announced in January. Markets were also supported by signs of economic recovery in the Eurozone. In autumn, news media were dominated by the European migration crisis. The migration crisis also had an impact on the financial markets. Swedish bond yields weakened by the end of the year, as the market expected an increase in the supply of Swedish government bonds, as the migration crisis will lead to an increase in government spending. The Swedish Riksbank reduced interest rates to negative during the year when it reduced the repo rate from 0,0 to -0,1 % in February and announced its own quantitative easing program in spring. The Swedish Riksbank continued to decrease the repo rate with further reductions to -0,25 % in March and to -0,35 % in July, the latter being somewhat of a surprise to the market. In early summer markets were rattled by the political crisis in Greece. In late summer, financial markets in developed markets weakened in line with heavy falls in the Chinese equity markets, as the markets began to fear a slowdown in the Chinese economy. In August, markets were shaken by a surprising devaluation of the Chinese currency. At the same time, commodity prices fell, due to oversupply and decreasing demand. Equity markets recovered some of the losses in the fourth quarter as economic optimism returned to the markets. In December, the US Federal Reserve Bank (the Fed) increased interest rates for the first time in nine years, as the US labour market continued to strengthen. The US equity market finished the year nearly unchanged in USD terms, including dividends. However, in Swedish kronor, the index nevertheless returned close to 10 % as the US Dollar strengthened. Credit markets weakened during the year, against a background of weaker growth expectations and falling commodity prices. Commodity prices fell dramatically during the year, with oil and iron ore prices falling more than 30 %. Many of the problems occurring in 2015 are also most likely to be valid in 2016. We expect that this could lead to continued and maybe increased volatility and uncertainty in many markets. If this occurs, we are likely going to reduce our exposure to riskier assets. MOVESTIC SICAV - Monyx Fondservice Världen Movestic The sub-fund s principal investment objective is to achieve a significant return on invested capital over the long term. The sub-fund will primarily invest in units or shares of UCITS or UCIs, as well as units or shares of closed or open-ended exchange traded funds, with focus on global equity markets, including equities of emerging markets, equity-related instruments and/or global fixed income and money market instruments. The sub-fund Monyx Fondservice Världen Movestic has gained 4,7 %* last year. The sub-fund had an average equity weight of 74 %. The exposure to developed equities was the main contributor to the performance whereas the exposure to fixed income contributed negatively, alternative investments were flat over the period. 13
MOVESTIC SICAV - Monyx Fondservice Världen Movestic / Annual Report as of December 31, 2015 The sub-fund had a strong first quarter followed by weakness in line with general equity markets during the summer but managed to recover some of the lost performance during the last quarter. The top performing equity region was the Swedish Equities followed by equities from broad developed countries. The fund also gained from a strong US Dollar against the Swedish krona and that had a positive impact on the Fund s international holdings. The best performing investments in absolute numbers and measured in SEK were Öhman Etisk Index USA and JPMorgan Europe Equity Plus Fund -C (acc) EUR- that contributed approximately 1,8 % respectively 1,4 % to the overall performance. On the negative side, the worst performing investments were the funds with fixed income holdings that were all flat or negative over the year. Öhman Fixed Income Allocation was the single worst performer with a contribution of approximately -0,2 %. The sub-fund has not used derivatives or any currency hedging tools. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method 14
MOVESTIC SICAV - Trygghet 75 Movestic / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets The year started off with quantitative easing being widely used, combined with a low rate environment and increased liquidity coming from the back of 2014. The financial markets continued to rise and, given the appreciation of the US Dollar against Swedish kronor, this led to Swedish-based investor returns near to 20 % at the beginning of April. Mid-year changed with Greece: Its strained debts were in the limelight. That in turn led to the markets retracting due to the uncertainty around a potential Greek exit from the European Union, something that has never happened before. After a political carousel the country finally received a bailout package and the markets could exhale. An expected US rate hike through September failed to materialize with the Federal Reserve (the Fed), expressing concerns about the global economy in general and the slowdown in China in particular. However, in the last meeting during 2015 the Fed, after 7 years of zero rate policy, raised the Federal Funds rate, citing improvement in the labor market and inflation expectations. The positioning of the small cap space in Europe, North America and Sweden over the year was changed towards a greater allocation to small caps, since it was expected that small caps would start outperforming following last year s underperformance. Looking back large caps in the US outperformed small caps. In Sweden and Europe the small caps outperformed large caps a lot in 2015. During 2015, we continued to decrease the exposure to emerging Europe since the volatility and the geopolitical tensions increased in that region. The main drivers for performance in the sub-fund were Swedish equities, primarily driven by a weaker currency and a continued improvement in the economy. The top performance contributors were investments in Didner & Gerge Småbolag Units, Öhman Etisk Index USA and JPMorgan Europe Equity Plus Fund -A (acc) EUR-. Detractors of the sub-fund s performance were to be found in emerging markets. The worst performer over the period was Vanguard Funds PLC - FTSE Emerging Markets UCITS ETF. The sub-fund has not used derivatives. A global equity market index in Swedish kronor ended the year with positive returns thanks to the rebound in the last quarter. Emerging markets underperformed developed markets and contracted during 2015. This was the result of a big drop in commodity prices in general and oil prices in particular, raising geopolitical concerns. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors MOVESTIC SICAV - Trygghet 75 Movestic The sub-fund MOVESTIC SICAV - Trygghet 75 Movestic returned 6,6 %* during the reporting period. Thomas Albert Henrik Sundin The largest contributors to performance were (sorted descending) Swedish equities, North American equities, European equities, Japanese equities and Asia ex Japan equities. Detractors were Emerging Europe equities and emerging market equities. *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method The general risks for the sub-fund over the period have been the exposure to equities and subsequent exposure to various large currencies, like the US Dollar/Euro. The sub-fund outperformed its benchmark during 2015. The sub-fund underweighted emerging markets and Latin America and overweighted Europe and Japan which proved to be good. The sub-fund started the year with around 97 % equity exposure and it began decreasing it during the summer and autumn following the increase in market volatility. 15
MOVESTIC SICAV - Trygghet 80 Movestic / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets The year started off with quantitative easing being widely used, combined with a low rate environment and increased liquidity coming from the back of 2014. The financial markets continued to rise and, given the appreciation of the US Dollar against Swedish kronor, this led to Swedish-based investor returns near to 20 % at the beginning of April. Mid-year changed with Greece: Its strained debts were in the limelight. That in turn led to the markets retracting due to the uncertainty around a potential Greek exit from the European Union, something that has never happened before. After a political carousel the country finally received a bailout package and the markets could exhale. An expected US rate hike through September failed to materialize with the Federal Reserve (the Fed), expressing concerns about the global economy in general and the slowdown in China in particular. However, in the last meeting during 2015 the Fed, after 7 years of zero rate policy, raised the Federal Funds rate, citing improvement in the labor market and inflation expectations. The positioning of the small cap space in Europe, North America and Sweden over the year was changed towards a greater allocation to small caps, since it was expected that small caps would start outperforming following last year s underperformance. Looking back large caps in the US outperformed small caps. In Sweden and Europe the small caps outperformed large caps a lot in 2015. During 2015, we continued to decrease the exposure to emerging Europe since the volatility and the geopolitical tensions increased in that region. The main drivers for performance in the sub-fund were Swedish equities, primarily driven by a weaker currency and a continued improvement in the economy. The top performance contributors were investments in Didner & Gerge Småbolag Units, Öhman Etisk Index USA and JPMorgan Europe Equity Plus Fund -A (acc) EUR-. Detractors of the sub-fund s performance were to be found in emerging markets. The worst performer over the period was Tundra Frontier Opportunities Fund. The sub-fund has not used derivatives. A global equity market index in Swedish kronor ended the year with positive returns thanks to the rebound in the last quarter. Emerging markets underperformed developed markets and contracted during 2015. This was the result of a big drop in commodity prices in general and oil prices in particular, raising geopolitical concerns. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors MOVESTIC SICAV - Trygghet 80 Movestic The sub-fund MOVESTIC SICAV - Trygghet 80 Movestic returned 6,0 %* during the reporting period. The largest contributors to performance were (sorted descending) Swedish equities, North American equities, European equities, Japanese equities and Asia ex Japan equities. Detractors were Emerging Europe equities and emerging market equities. Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method The general risks for the sub-fund over the period have been the exposure to equities and subsequent exposure to various large currencies, like the US Dollar/Euro. The sub-fund outperformed its benchmark during 2015. The sub-fund underweighted emerging markets and Latin America and overweighted Europe and Japan which proved to be good. The sub-fund started the year with around 85 % equity exposure and it began decreasing it during the summer and autumn following the increase in market volatility. 16
MOVESTIC SICAV - Trygghet 85 Movestic / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets The year started off with quantitative easing being widely used, combined with a low rate environment and increased liquidity coming from the back of 2014. The financial markets continued to rise and, given the appreciation of the US Dollar against Swedish kronor, this led to Swedish-based investor returns near to 20 % at the beginning of April. Mid-year changed with Greece: Its strained debts were in the limelight. That in turn led to the markets retracting due to the uncertainty around a potential Greek exit from the European Union, something that has never happened before. After a political carousel the country finally received a bailout package and the markets could exhale. An expected US rate hike through September failed to materialize with the Federal Reserve (the Fed), expressing concerns about the global economy in general and the slowdown in China in particular. However, in the last meeting during 2015 the Fed, after 7 years of zero rate policy, raised the Federal Funds rate, citing improvement in the labor market and inflation expectations. The positioning of the small cap space in Europe, North America and Sweden over the year was changed towards a greater allocation to small caps, since it was expected that small caps would start outperforming following last year s underperformance. Looking back large caps in the US outperformed small caps. In Sweden and Europe the small caps outperformed large caps a lot in 2015. During 2015, we continued to decrease the exposure to emerging Europe since the volatility and the geopolitical tensions increased in that region. The main drivers for performance in the fund were Swedish equities, primarily driven by a weaker currency and a continued improvement in the economy. The top performance contributors were investments in Didner & Gerge Småbolag Units, Öhman Etisk Index USA and JPMorgan Europe Equity Plus Fund -A (acc) EUR-. Detractors of the sub-fund s performance were to be found in emerging markets. The worst performer over the period was Vanguard Funds PLC - FTSE Emerging Markets UCITS ETF. The sub-fund has not used derivatives. A global equity market index in Swedish kronor ended the year with positive returns thanks to the rebound in the last quarter. Emerging markets underperformed developed markets and contracted during 2015. This was the result of a big drop in commodity prices in general and oil prices in particular, raising geopolitical concerns. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors MOVESTIC SICAV - Trygghet 85 Movestic The sub-fund MOVESTIC SICAV - Trygghet 85 Movestic returned 4,2 %* during the reporting period. Thomas Albert Henrik Sundin The largest contributors to performance were (sorted descending) Swedish equities, North American equities, European equities, Japanese equities and Asia ex Japan equities. Detractors were Emerging Europe equities and emerging market equities. *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method The general risks for the sub-fund over the period have been the exposure to equities and subsequent exposure to various large currencies, like the US Dollar/Euro. The sub-fund outperformed its benchmark during 2015. The sub-fund underweighted emerging markets and Latin America and overweighted Europe and Japan which proved to be good. The sub-fund started the year with around 63 % equity exposure and it began decreasing it during the summer and autumn following the increase in market volatility. 17
MOVESTIC SICAV - Trygghet 90 Movestic / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets The year started off with quantitative easing being widely used, combined with a low rate environment and increased liquidity coming from the back of 2014. The financial markets continued to rise and, given the appreciation of the US Dollar against Swedish kronor, this led to Swedish-based investor returns near to 20 % at the beginning of April. Mid-year changed with Greece: Its strained debts were in the limelight. That in turn led to the markets retracting due to the uncertainty around a potential Greek exit from the European Union, something that has never happened before. After a political carousel the country finally received a bailout package and the markets could exhale. An expected US rate hike through September failed to materialize with the Federal Reserve (the Fed), expressing concerns about the global economy in general and the slowdown in China in particular. However, in the last meeting during 2015 the Fed, after 7 years of zero rate policy, raised the Federal Funds rate, citing improvement in the labor market and inflation expectations. A global equity market index in Swedish kronor ended the year with positive returns thanks to the rebound in the last quarter. Emerging markets underperformed developed markets and contracted during 2015. This was the result of a big drop in commodity prices in general and oil prices in particular, raising geopolitical concerns. MOVESTIC SICAV - Trygghet 90 Movestic The sub-fund MOVESTIC SICAV - Trygghet 90 Movestic returned 1,6 %* during the reporting period. The sub-fund underperformed its benchmark during 2015. The sub-fund started the year with around 42 % equity exposure and when the market volatility started to pick up the sub-fund had to decrease the exposure to protect the capital according to the investment model. It underperformed the benchmark mainly due to underweighting equities in the second half of the year compared to the benchmark. The subfund underweighted emerging markets and Latin America and overweighted Europe and Japan which proved to be good. The positioning of the small cap space in Europe, North America and Sweden over the year was changed towards a greater allocation to small caps, since it was expected that small caps would start outperforming following last year s underperformance. Looking back large caps in the US outperformed small caps. In Sweden and Europe the small caps outperformed large caps a lot in 2015. During 2015, we continued to decrease the exposure to emerging Europe since the volatility and the geopolitical tensions increased in that region. The main drivers for performance in the fund were Swedish equities, primarily driven by a weaker currency and a continued improvement in the economy. The top performance contributors were investments in Didner & Gerge Småbolag Units, Öhman Etisk Index USA and Movestic Europa Småbolag. Detractors of the sub-fund s performance were to be found in emerging markets. The worst performer over the period was Handelsbanken Latinamerikafond. The sub-fund has not used derivatives. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors The largest contributors to performance were (sorted descending) Swedish equities, North American equities, European equities, Japanese equities and Asia ex Japan equities. Detractors were emerging Europe equities and emerging market equities. Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method The general risks for the fund over the period have been the exposure to equities and subsequent exposure to various large currencies, like the US Dollar/Euro. 18
MOVESTIC SICAV - Naventi Offensiv Strategi / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets During 2015, several equity markets performed fairly well despite set-backs caused by the Greek default on its debt to the International Monetary Fund in June and the deteriorating economic outlook for China. Important market drivers were the major central banks that continued to stimulate the world economy with lower interest rates and quantitative easing. This was on the back of slowing growth, tumbling energy prices and therefore falling inflation expectations. The Swedish Riksbank also added a quantitative easing program and introduced a negative rate of interest. The US went ahead in its economic recovery, triggering the Federal Reserve System to end its stimulus and to hike up interest rates for the first time since 2008. This caused US Dollar strengthening, especially against commodity currencies. MOVESTIC SICAV - Naventi Offensiv Strategi The Net Asset Value of the sub-fund increased in 2015. The fund has had equity exposure towards USA, Europe and the Nordic countries. European equities returned positive, whereas the US equity market disappointed. The stronger US Dollar improved the overall performance measured in the sub-fund s portfolio base currency, Swedish kronor. Lower interest rates and quantitative easing by the central banks had a positive impact on the equity market. We are still positive towards equity markets and we see few other alternatives in the existing low interest rate environment. The yield from equities is still on a high level compared to 10 year interest rates. Company valuations are not extremely high and the European Central Bank will continue with its quantitative easing program during 2016, which will support the markets. Energy prices are likely to remain on low levels during 2016 and we will probably see the first defaults in the US and Norwegian High-Yield sectors. We will continue to have a low exposure towards energy and commodities. MOVESTIC SICAV - Naventi Offensiv Strategi returned 4,0 %* during the reporting period. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method 19
MOVESTIC SICAV - Naventi Balanserad Strategi / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets During 2015, several equity markets performed fairly well despite set-backs caused by the Greek default on its debt to the International Monetary Fund in June and the deteriorating economic outlook for China. Important market drivers were the major central banks that continued to stimulate the world economy with lower interest rates and quantitative easing. This was on the back of slowing growth, tumbling energy prices and therefore falling inflation expectations. The Swedish Riksbank also added a quantitative easing program and introduced a negative rate of interest. The US went ahead in its economic recovery, triggering the Federal Reserve System to end its stimulus and to hike up interest rates for the first time since 2008. This caused US Dollar strengthening, especially against commodity currencies. MOVESTIC SICAV - Naventi Balanserad Strategi The NAV of the sub-fund increased in 2015. The fund has had equity exposure towards USA, Europe and the Nordic countries. European equities returned positive, whereas the US equity market disappointed. The stronger US Dollar improved the overall performance measured in the portfolio base currency, Swedish kronor. Lower interest rates and quantitative easing from the central banks had a positive impact on the equity market. We are still positive towards equity markets and we see few other alternatives in the existing low interest rate environment. The yield from equities is still on a high level compared to 10 year interest rates. Company valuations are not extremely high and the European Central Bank will continue with its quantitative easing program during 2016, which will support the markets. Energy prices are likely to remain on low levels during 2016 and we will probably see the first defaults in the US and Norwegian High-Yield sectors. We will continue to have a low exposure towards energy and commodities. MOVESTIC SICAV - Naventi Balanserad Strategi returned 2,2 %* during the reporting period. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method 20
MOVESTIC SICAV - Aktiv Allokering / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets 2015 became an interesting and somewhat volatile year for the financial markets. After a strong rally many asset classes lost momentum and in combination with lower risk appetite, weaker earnings, modest growth and a tumbling oilprice, the dispersion among markets became significant. Central banks are still stimulating markets with liquidity even though the Federal Reserve (the Fed) started to raise rates, but from a historically low level. Geopolitical the focus has been, as many times before, on Middle East, but with very limited effect on the global real economy. MOVESTIC SICAV - Aktiv Allokering The sub-fund MOVESTIC SICAV - Aktiv Allokering is an actively managed fund with mandate to invest in various asset classes. During the reporting year, the sub-fund invested in equities, fixed income with short duration and alternative investments. The sub-fund has performed as expected and is well positioned to exploit volatility and market inefficiencies. MOVESTIC SICAV - Aktiv Allokering returned -2,0 %* during the reporting period. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method 21
MOVESTIC SICAV - Movestic Europa Småbolag / Annual Report as of December 31, 2015 Report of the Board of Directors Market Review 2015 Financial markets The European Central Bank started buying government bonds during 2015 and reduced the depo rate to negative. The government curve steepened as the yield on short dated bonds declined, while long dated yields rose. The government bond market return was 1,6 % in 2015. Corporate bonds had a more challenging time, and especially investment grade spreads rose in 2015. The Investment Grade cash index spread rose with over 30 basis points to 133 basis points. The high yield spreads rose even more. MOVESTIC SICAV - Movestic Europa Småbolag The investment objective for the sub-fund is to increase the value of its assets over the medium term. The sub-fund invests at least two-thirds of its assets in equity securities. Whereas it is the intention of the Investment Manager to choose such investments that are included in indices that serve as benchmarks for European small cap companies or that have a stock market capitalization below the highest market capitalization in these indices (as addressed at the start of each financial year), and that have their registered head office in Europe. The remainder, namely one-third of its assets maximum, may be invested in any other transferable securities, money market instruments, derivatives or cash. Growth was unevenly spread in 2015. The United States of America had its ups and downs, but domestic growth was robust. Eurozone growth held up well as the Euro depreciated versus the US dollar, oil prices fell and austerity faded. Growth was not strong in Japan, but a tighter labour market and small gains in nominal wages were positive for consumers. Growth slowed in China; Russia and Brazil experienced deep recessions. MOVESTIC SICAV - Movestic Europa Småbolag returned 16,2 %* during the reporting period. Luxembourg, March 31, 2016 MOVESTIC SICAV For the Board of Directors Thomas Albert Henrik Sundin *) calculated using the BVI (Bundesverband Investment and Asset Management e.v.) method 22