Glossary

Morningstar Category

Funds are grouped into categories according to their actual investment style, not merely their stated investment objectives, nor their ability to generate a certain level of income. To ensure homogeneous groupings, Morningstar normally allocates funds to categories on the basis of their portfolio holdings. Several portfolios are taken into account to ensure that the fund´s real investment stance is taken into account.

Europe: Single Country

Austria Equity
Austria Equity funds invest primarily in the equities of companies based in Austria. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Austrian equities.
Morningstar Category Index: MSCI Austria NDTR

Belgium Equity
Belgium Equity funds invest primarily in the equities of companies based in Belgium. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Belgian equities.
Morningstar Category Index: MSCI Belgium NDTR

Denmark Equity
Denmark Equity funds invest primarily in Danish companies. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets Danish equities.
Morningstar Category Index: MSCI Denmark NDTR

Eurozone Single Country Equity
Eurozone Single Country Equity funds invest primarily in the equities of companies based in Eurozone countries for which there are no distinct Morningstar categories (such countries have too few funds to support a distinct category). Currently, there are only two countries for which this is the case: Greece and Portugal. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Greek or Portuguese equities.
Morningstar Category Index: MSCI EMU NDTR

Finland Equity
Finland Equity funds invest primarily in the equities of companies based in Finland. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Finnish equities.
Morningstar Category Index: MSCI Finland NDTR

France Large-Cap Equity
France Large-Cap Equity funds invest primarily in the equities of large-cap French companies. Equities in the top 70% of the European equity market (including the UK) are defined as large-cap. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in French equities.
Morningstar Category Index: MSCI France NDTR

France Small/Mid-Cap Equity
France Small/Mid-Cap Equity funds invest primarily in the equities of small-cap and mid-cap French companies. Their holdings typically fall in the bottom 30% of the capitalisation of the European equity market (including the UK). The funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in French equities.
Morningstar Category Index: MSCI France Sm-Cap NDTR

Germany Large-Cap Equity
Germany Large-Cap Equity funds invest primarily in the equities of large-cap German companies. Equities in the top 70% of the European equity market (including the UK) are defined as large-cap. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in German equities.
Morningstar Category Index: MSCI Germany NDTR

Germany Small/Mid-Cap Equity
Germany Small/Mid-Cap Equity funds invest primarily in the equities of small-cap and madcap German companies. Their holdings typically fall in the bottom 30% of the capitalization of the European equity market (including the UK). The funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in German equities.
Morningstar Category Index: MSCI Germany Sm-Cap NDTR

Italy Equity
Italy Equity funds invest primarily in the equities of companies based in Italy. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Italian equities.
Morningstar Category Index: MSCI Italy NDTR

Netherlands Equity
Netherlands Equity funds invest primarily in the equities of companies based in the Netherlands. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Dutch equities.
Morningstar Category Index: MSCI Netherlands NDTR

Norway Equity
Norway Equity funds invest primarily in Norwegian companies. These funds invest at least 75% of total assets in equities and invest at least 75% of equity assets in Norwegian equities.
Morningstar Category Index: Mutual Fund Index Linked / TOTX

Russia Equity
Russia Equity funds invest primarily in the equities of companies based in Russia. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Russian equities.
Morningstar Category Index: MSCI Russia NDTR

Spain Equity
Spain Equity funds invest primarily in the equities of companies based in Spain. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Spanish equities.
Morningstar Category Index: MSCI Spain NDTR

Sweden Large-Cap Equity
Sweden Large-Cap Equity funds invest primarily in the equities of large-cap Swedish companies. Equities in the top 70% of the capitalisation of the European equity market (including the UK) are defined as large-cap. These funds invest at least 75% of total assets in equities and invest at least 75% of equity assets in Swedish equities.
Morningstar Category Index: MSCI Sweden NDTR

Sweden Small/Mid-Cap Equity
Swedish Small/Mid-Cap Equity funds invest primarily in the equities of small-cap and madcap Swedish companies. Their holdings typically fall in the bottom 30% of the capitalization of the European equity market (including the UK). These funds invest at least 75% of their total assets in equities, and invest at least 75% of equity assets in Swedish equities.
Morningstar Category Index: MSCI Sweden Small Cap NDTR

Sweden/Global Equity
Sweden/Global Equity funds invest globally in equities but have a large position in Swedish equities. Typically funds in this category have between 30 and 75% of total assets invested in Swedish equities.
Morningstar Category Index: 50% MSCI The World Index Free NDTR, 50% MSCI Sweden NDTR

Switzerland Large-Cap Equity
Switzerland Large-Cap Equity funds invest primarily in the equities of large-cap Swiss companies. Equities in the top 70% of the European equity market (including the UK) are defined as large-cap. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Swiss equities.
Morningstar Category Index: MSCI Switzerland NDTR

Switzerland Small/Mid-Cap Equity
Switzerland Small/Mid-Cap Equity funds invest primarily in the equities of small-cap and mid-cap Swiss companies. Their holdings typically fall in the bottom 30% of the capitalisation of the European equity market (including the UK). These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Swiss equities.
Morningstar Category Index: MSCI Switzerland Sm-Cap NDTR

UK Large-Cap Blend Equity
UK Large-Cap Blend Equity funds are fairly representative of the overall UK equity market in size, growth rates and price. Equities in the top 70% of the European equity market (including the UK) are defined as large-cap. The blend style is assigned to funds where neither growth nor value characteristics predominate. These funds tend to invest across the spectrum of UK industries. At least 75% of total assets are invested in equities and at least 75% of equity assets are invested in UK equities.
Morningstar Category Index: FTSE 100

UK Large-Cap Growth Equity
UK Large-Cap Growth Equity funds invest primarily in the equities of large-cap UK companies that are more expensive or projected to grow faster than other large caps in Europe (including the UK). Equities in the top 70% of the capitalisation of the European equity market (including the UK) are defined as large-cap. Growth is defined based on fast growth (high growth rates for earnings, sales, book value, and cash flow) and high valuations (high price ratios and low dividend yields). Most of these funds focus on companies in rapidly expanding industries. At least 75% of total assets are invested in equities and at least 75% of equity assets are invested in UK equities.
Morningstar Category Index: MSCI United Kingdom Growth NDTR

UK Large-Cap Value Equity
UK Large-Cap Value Equity funds invest primarily in the equities of large-cap UK companies that are less expensive or growing more slowly than other large-caps in Europe (including the UK). Shares in the top 70% of the capitalisation of the European equity market (including the UK) are defined as large-cap. Value is defined based on low valuations (low price ratios and high dividend yields) and slow growth (low growth rates for earnings, sales, book value, and cash flow). At least 75% of total assets are invested in equities and at least 75% of equity assets are invested in UK equities.
Morningstar Category Index: MSCI United Kingdom Value NDTR

UK Mid-Cap Equity
Some UK Mid-Cap Equity funds invest in equities of all sizes, thus leading to a mid-cap profile, but others focus on mid-cap companies. The European mid-cap range represents the 20% of the European equity market (including the UK) that falls between small caps (the bottom 10% of capitalisation) and large caps (the top 70% of capitalisation). At least 75% of total assets are invested in equities and at least 75% of equity assets are invested in UK equities.
Morningstar Category Index: FTSE 250 Ex Inv

UK Small-Cap Equity
UK Small-Cap Equity funds invest primarily in the equities of small-cap UK companies. Equities in the bottom 10% of the European equity market (including the UK) are defined as small-cap. At least 75% of total assets are invested in equities and at least 75% of equity assets are invested in UK equities.

Europe: Regional

Emerging Europe Equity
Emerging Europe Equity funds invest primarily in the equities of companies based in Emerging Europe. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Emerging Europe equities.
Morningstar Category Index: MSCI EM Eastern Europe ND

Emerging Europe ex-Russia Equity
Emerging Europe ex-Russia Equity funds invest primarily in the equities of companies based in Emerging Europe, excluding Russia. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in non-Russian Emerging Europe equities.

Europe Large-Cap Blend Equity
Europe Large-Cap Blend Equity funds are fairly representative of the overall European equity market (including the UK) in size, growth rates and price. Equities in the top 70% of the European equity market (including the UK) are defined as large-cap. The blend style is assigned to funds where neither growth nor value characteristics predominate. These funds tend to invest across the spectrum of European industries. At least 75% of total assets are invested in equities and at least 75% of equity assets are invested in European equities.
Morningstar Category Index: MSCI Europe NDTR

Europe Large-Cap Growth Equity
Europe Large-Cap Growth Equity funds invest primarily in the equities of large-cap European companies that are more expensive or projected to grow faster than other European large caps. Equities in the top 70% of the capitalisation of the European equity market (including the UK) are defined as large-cap. Growth is defined based on fast growth (high growth rates for earnings, sales, book value, and cash flow) and high valuations (high price ratios and low dividend yields). Most of these funds focus on companies in rapidly expanding industries. At least 75% of total assets are invested in equities and at least 75% of equity assets are invested in European equities.
Morningstar Category Index: MSCI Europe Growth NDTR

Europe Large-Cap Value Equity
Europe Large-Cap Value Equity funds invest primarily in the equities of large-cap European companies that are less expensive or growing more slowly than other European large caps. Equities in the top 70% of the capitalization of the European equity market (including the UK) are defined as large-cap. Value is defined based on low valuations (low price ratios and high dividend yields) and slow growth (low growth rates for earnings, sales, book value, and cash flow). At least 75% of total assets are invested in equities and at least 75% of equity assets are invested in European equities.

Europe Mid-Cap Equity
Some Europe Mid-Cap Equity funds invest in equities of all sizes, thus leading to a madcap profile, but others focus on mid-cap companies. The European mid-cap range represents the 20% of the European equity market (including the UK) that falls between small caps (the bottom 10% of capitalisation) and large caps (the top 70% of capitalisation). At least 75% of total assets are invested in equities and at least 75% of equity assets are invested in European equities.
Morningstar Category Index: MSCI Europe NDTR

Europe Small-Cap Equity
Europe Small-Cap Equity funds invest primarily in the equities of small-cap European companies. Equities in the bottom 10% of the European equity market (including the UK) are defined as small-cap. At least 75% of total assets are invested in equities and at least 75% of equity assets are invested in European equities.
Morningstar Category Index: MSCI Europe Small Cap NDTR

Europe ex-UK Equity Large Cap
Europe ex-UK Large Cap funds invest primarily in the equities of large-cap companies in continental Europe. Equities in the top 70% of the capitalisation of the European equity market (including the UK) are defined as large-cap. These funds may also include smaller positions in the region's smaller markets, including the emerging markets of Eastern Europe. These funds invest at least 75% of their total assets in equities, and invest at least 75% of equity assets in European equities, with less than 10% in the UK.
Morningstar Category Index: MSCI Europe Ex UK NDTR

Europe ex-UK Small/Mid Cap
Europe ex-UK Small/Mid Cap funds invest primarily in the equities of small- and mid-cap companies in continental Europe. These funds primarily invest in equities that fall in the bottom 30% of the European equity market (including the UK). These funds may also include smaller positions in the region's smaller markets, including the emerging markets of Eastern Europe. These funds invest at least 75% of their total assets in equities, and invest at least 75% of equity assets in European equities, with less than 10% in the UK.
Morningstar Category Index: MSCI Europe Ex UK Small Cap NDTR

Eurozone Large-Cap Equity
Eurozone Large-Cap Equity funds invest primarily in the equities of large-cap companies from the 12 Eurozone countries. Funds in this category typically invest across multiple countries in the Eurozone. Equities in the top 70% of the European equity market (including the UK) are defined as large-cap. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Eurozone equities.

Eurozone Mid-Cap Equity
Some Eurozone Mid-Cap Equity funds invest in equities of all sizes, thus leading to a madcap profile, but others focus on mid-cap companies. Funds in this category typically invest across multiple countries in the Eurozone.The mid-cap range represents the 20% of the European equity market (including the UK) that falls between small caps (the bottom 10% of capitalisation) and large caps (the top 70% of capitalisation). At least 75% of total assets are invested in equities and at least 75% of equity assets are invested in Eurozone equities.

Eurozone Small-Cap Equity
Eurozone Small-Cap Equity funds invest primarily in the equities of small-cap companies from the 12 Eurozone countries. Funds in this category typically invest across multiple countries in the Eurozone. Equities in the bottom 10% of the European equity market (including the UK) are defined as small-cap. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Eurozone equities.

Nordic Equity
Nordic Equity funds invest primarily in equities of companies from Scandinavian countries such as Sweden, Norway, Finland and Denmark. These funds invest at least 75% of their total assets in equities, and invest at least 75% of equity assets in equities from the Nordic countries.

Asia

Asia-Pacific with Japan Equity
Asia-Pacific with Japan Equity funds have a wider investment range than other Asiaoriented funds. These funds can invest throughout the Pacific Rim, including Australia and New Zealand. As a result, country weightings for these funds vary tremendously, though most retain some exposure to Japan and Hong Kong. These funds invest at least 75% of total assets in equities, and invest at least 75% of equities in Pacific countries, including at least 15% in Japan.
Morningstar Category Index: MSCI AC Asia Pacific NDTR

Asia-Pacific ex-Japan Equity
Asia-Pacific ex-Japan Equity funds cover a wide geographic range. Most of these funds focus on export-oriented nations such as Hong Kong, Singapore, Taiwan and Korea. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Pacific Countries, with less than 10% in Japan.
Morningstar Category Index: MSCI AC Asia Pacific Ex Japan NDTR

Australia & New Zealand Equity
Australia & New Zealand Equity portfolios invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Australia and/or New Zealand.
Morningstar Category Index: MSCI Australia NDTR

China Equity
China Equity funds invest primarily in Chinese companies listed on the stock exchanges in China and Hong Kong, and companies that derive significant revenues from or have substantial business ties with the China market. These funds invest at least 75% of total assets in equities, and at least 75% of equity assets in Chinese or China-related companies defined as above. The funds usually invest less than 10% of total assets in Taiwanese equities.
Morningstar Category Index: MSCI China Free NDTR

Greater China Equity
Greater China Equity funds invest in companies from the mainland of China, Hong Kong and Taiwan. To a lesser extent, these funds may also invest in companies that derive significant revenues from or have substantial business ties with the three markets. At least 50% of equity assets are invested in Chinese equities, and at least 10% of equity assets are invested in Taiwanese equities. At least 75% of total assets are invested in equities. Morningstar Category Index: MSCI Golden Dragon Emerging Asia Single Country Equity Emerging Asia Single Country Equity funds invest primarily in the equities of companies from a single Asian country (excluding Japan, Hong Kong, Taiwan, Singapore, China, India, Australia, New Zealand and Korea). Examples are funds that invest mainly in Indonesian or Thai companies. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in a single emerging Asian country.
Morningstar Category Index: MSCI AC Asia Pacific Ex Japan NDTR

Hong Kong Equity
Hong Kong Equity funds invest primarily in the equities of Hong Kong companies. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Hong Kong equities.
Morningstar Category Index: MSCI Hong Kong NDTR

India Equity
India Equity funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Indian equities.
Morningstar Category Index: MSCI India NDTR

Japan Large-Cap Equity
Japan Large-Cap Equity funds invest primarily in the equities of large-cap Japanese companies. Equities in the top 70% of the capitalisation of the Japanese market are defined as large-cap. These funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Japanese equities.
Morningstar Category Index: MSCI Japan NDTR

Japan Small/Mid-Cap Equity
Japan Small/Mid-Cap Equity funds invest primarily in the equities of small-cap and madcap Japanese companies. Their holdings typically fall in the bottom 30% of the capitalisation of the Japanese equity market. These funds invest at least 75% of their total assets in equities, and invest at least 75% of equity assets in Japanese equities.
Morningstar Category Index: MSCI Japan Small Cap NDTR

Korea Equity
Korea Equity funds invest primarily in the equities of South-Korean companies. These funds invest at least 75% of their total assets in equities, and invest at least 75% of equity assets in Korean equities.
Morningstar Category Index: MSCI Korea NDTR

Singapore Equity
Singapore Equity funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Singapore equities.
Morningstar Category Index: MSCI Singapore NDTR

Taiwan Equity
Taiwan Equity funds invest at least 75% of total assets in equities, and invest at least 75% of equity assets in Taiwanese equities.
Morningstar Category Index: MSCI Taiwan NDTR

Global

Emerging Markets Equity
Emerging Markets Equity funds tend to divide their assets among several emerging markets in Asia, Latin America, Europe, Middle East and/or Africa. These funds invest at least 75% of their total assets in equities, and invest at least 75% of equity assets in emerging markets equities.
Morningstar Category Index: MSCI EM (Emerging Markets) NDTR

Global Large-Cap Blend Equity
Global Large-Cap Blend Equity funds invest primarily in the equities of large-cap companies from around the globe. Most of these funds divide their assets among many developed markets and invest at least 20% of equity assets in North America and 15% in Greater Europe. Equities in the top 70% of the capitalisation of each of the seven regional Morningstar style zones are defined as large-cap (the style zones are Europe, U.S., Canada, Latin America, Japan, Asia ex-Japan, and Australia/New Zealand--please see the Morningstar Style Box Methodology for further information). The blend style is assigned to funds where neither growth nor value characteristics predominate. At least 75% of total assets are invested in equities.
Morningstar Category Index: MSCI The World Index Free NDTR

Global Large-Cap Growth Equity
Global Large-Cap Growth Equity funds invest primarily in the equities of large-cap growth companies from around the globe. Most of these funds divide their assets among many developed markets and invest at least 20% of equity assets in North America and 15% in Greater Europe. Equities in the top 70% of the capitalisation of each of the seven regional Morningstar style zones are defined as large-cap (the style zones are Europe, U.S., Canada, Latin America, Japan, Asia ex-Japan, and Australia/New Zealand--please see the Morningstar Style Box Methodology for further information). Growth is defined based on fast growth (high growth rates for earnings, sales, book value, and cash flow) and high valuations (high pric e ratios and low dividend yields). At least 75% of total assets are invested in equities.
Morningstar Category Index: MSCI The World Index Free Growth NDTR

Global Large-Cap Value Equity
Global Large-Cap Value Equity funds invest primarily in the equities of large-cap value companies from around the globe. Most of these funds divide their assets among many developed markets and invest at least 20% of equity assets in North America and 15% in Greater Europe. Equities in the top 70% of the capitalisation of each of the seven regional Morningstar style zones are defined as large-cap (the style zones are Europe, U.S., Canada, Latin America, Japan, Asia ex-Japan, and Australia/New Zealand--please see the Morningstar Style Box Methodology for further information). Value is defined based on low valuations (low price ratios and high dividend yields) and slow growth (low growth rates for earnings, sales, book value, and cash flow). At least 75% of total assets are invested in equities.
Morningstar Category Index: MSCI The World Index Free Value NDTR

Global Equity Small/Mid Cap
Global Equity Small/Mid Cap funds invest primarily in the equities of small- and mid-cap companies from around the globe. Most of these portfolios divide their assets among many developed markets and invest at least 20% of equity assets in North America and 15% in Greater Europe. Equities in the bottom 10% of the capitalisation of each of the seven regional Morningstar style zones are defined as small-cap, and equities in the next 20% of each market’s capitalisation are defined as mid-cap (the style zones are Europe, U.S., Canada, Latin America, Japan, Asia ex-Japan, and Australia/New Zealand--please see the Morningstar Style Box Methodology for further information). At least 75% of total assets are invested in equities.
Morningstar Category Index: MSCI The World Index Small Cap NDTR

Sector Specific

Sector Equity Biotechnology
Sector Equity Biotechnology funds invest primarily in the equities of companies that focus on biotechnology. These funds invest at least 75% of total assets in equities and invest at least 50% of equity assets in the biotechnology industry.
Morningstar Category Index: MSCI Wrld/Biotechnology NDTR

Sector Equity Communications
Sector Equity Communications funds invest primarily in the equities of telecommunications and media companies of various kinds. Most buy some combination of cable television, wireless-communications, and communications-equipment firms as well as traditional phone companies. These funds invest at least 75% of total assets in equities and invest at least 50% of equity assets in the telecommunication and media sectors.
Morningstar Category Index: MSCI Wrld/Comml Svc & Suppl NDTR

Sector Equity Consumer Goods and Services
Sector Equity Consumer Goods and Services funds invest primarily in the equities of companies that manufacture or provide consumer goods or services. These funds invest at least 75% of total assets in equities and invest at least 50% of equity assets in the consumer goods and/or consumer services sectors.
Morningstar Category Index: 50% MSCI Wrld/Consumer Discretionary NDTR, 50% MSCI Wrld/ Consumer Staples NDTR

Sector Equity Energy
Sector Equity Energy funds invest primarily in the equities of companies that produce or refine oil and gas, oilfield services and equipment companies, and pipeline operators. These funds invest at least 75% of total assets in equities and invest at least 50% of equity assets in energy equities.
Morningstar Category Index: MSCI Wrld/Energy NDTR

Sector Equity Financial Services
Sector Equity Financial Services funds invest primarily in the equities of companies in the financial services sector, including banks, brokerage firms, insurance companies and consumer credit providers. These funds invest at least 75% of total assets in equities and invest at least 50% of equity assets in financial services companies.
Morningstar Category Index: MSCI Wrld/Financials NDTR

Sector Equity Health Care
Sector Equity Health Care funds invest primarily in the equities of companies in the medical and health-care industries. Most invest in a range of companies, buying everything from pharmaceutical and medical device makers to hospitals and nursing homes. A few funds concentrate on just one industry segment, such as medical devices. These funds invest at least 75% of total assets in equities, and invest at least 50% of equity assets in health care companies.
Morningstar Category Index: MSCI Wrld/Health Care NDTR

Sector Equity Industrial Materials
Sector Equity Industrial Materials funds invest primarily in the equities of industrialmaterials companies. These include companies that provide or manufacture chemicals, machinery, building materials, and commodities, as well as aerospace and defence firms. These funds invest at least 75% of total assets in equities, and invest at least 50% of equity assets in industrial materials companies.
Morningstar Category Index: MSCI Wrld/Materials NDTR

Sector Equity Precious Metals
Sector Equity Precious Metals portfolios invest primarily in the equities of mining companies, though some may own gold or other metals outright. Most portfolios concentrate on gold-mining equities, but some have significant exposure to silver-, platinum-, and base-metal-mining equities as well. Many precious-metals companies are based in North America, Australia, and South Africa.

Sector Equity Real Estate Direct
Sector Equity Real Estate Direct funds have the legal status of an investment fund, and directly invest in and/or manage real estate (i.e., they directly own or manage “bricks and mortar” property). At least 50% of the total assets are invested directly in real estate properties.
Morningstar Category Index: MSCI Wrld/Real Estate NDTR

Sector Equity Real Estate Indirect
Sector Equity Real Estate Indirect funds invest primarily in the securities of real-estate companies, including those of real-estate investment trusts (REITs). They do not invest significant amounts directly in “bricks and mortar”. Some funds concentrate on a certain segment of the real estate market, such as companies or trusts that own office buildings or residential properties. These funds invest at least 75% of total assets in equities, and invest at least 50% of equity assets in real-estate securities.
Morningstar Category Index: MSCI Wrld/Real Estate NDTR

Sector Equity Technology
Sector Equity Technology funds invest primarily in the equities of companies in the hardware and software sectors. Most concentrate on computer, semiconductor, software, networking and internet-related equities. Some concentrate on a single technology industry. These funds invest at least 75% of total assets in equities, and invest at least 50% of equity assets in the hardware and software sectors.
Morningstar Category Index: MSCI Wrld/Information Tech NDTR

Sector Equity Utilities
Sector Equity Utilities funds invest primarily in the equities of companies in the utilities sector. The sector includes electric , gas, and water companies, but not telecommunications or cable companies. These funds invest at least 75% of total assets in equities, and invest at least 50% of equity assets in utility companies.
Morningstar Category Index: MSCI Wrld/Utilities NDTR

Sector Equity Other
Sector Equity Other funds have meaningful sector concentrations, but do not fit in a Sector Equity category. These funds invest at least 75% of total assets in equities. They concentrate their assets in less than four sectors, and invest more than 10% of equity assests in each of those sectors

Bond

Asia/Japan Convertible Bond
Asia/Japan Convertible Funds invest principally in convertible securities denominated or hedged into the Yen or other Asian currencies.

Dollar/Global Convertible Bond
These funds invest principally in convertible securities denominated in or hedged into the U.S. dollar or have global currency exposure.
Morningstar Category Index: Merrill Lynch All Conv, All Qualities

Emerging Europe Bond
Emerging Europe Bond funds invest principally in bonds of issuers in emerging markets countries in Europe. Most funds will invest in several countries or currencies, though same may specialise in a single country or currency.
Morningstar Category Index: ML EUR EM Sovr EUR/ME/Afr

Euro Convertible Bond
Euro Convertible Bond funds invest principally in convertible securities denominated in or hedged into the Euro.

Euro Money Market, Stable
Euro Money Market Stable funds place an emphasis on capital preservation, by limiting maturity to less than 90 days and maintaining a high level of average credit quality.
Morningstar Category Index: Citigroup 1M Euro Deposit

Euro Money Market, Dynamic
Euro Money Market Dynamic funds tend to have average maturity that exceeds 90 days. These funds attempt to add value over stable money-market funds by taking on more credit risk than the latter and by investing in some less than perfectly liquid instruments (e.g. asset swaps).
Morningstar Category Index: Citigroup 3M Euro Deposit

Euro Short Bond
Euro Short Bond funds invest in short-dated bonds denominated or hedged into euros. The aggregate maturity for each fund does not tend to exceed three years.
Morningstar Category Index: Citigroup Eurozone GBI 1-3Y

Euro Government Bond
Euro Government Bond funds invest primarily in government or government-backed agency securities denominated or hedged into the relevant currency.
Morningstar Category Index: Citigroup Eurozone GBI

Euro Global Bond
Euro Global Bond funds invest in fixed income securities and take material currency exposures as part of their investment strategies. These funds are optimised in euros and a moderate credit exposure is possible.
Morningstar Category Index: Citigroup WGBI In Euros

Euro Global Bond - Hedged
Euro Global Bond – Hedged funds invest in bonds on a global basis, and normally hedge all of their currency exposure back into the Euro.
Morningstar Category Index: Citi Ccy-Hdg WGBI Euros

Euro High Yield Bond
Euro High Yield Bond funds invest in higher yielding securities denominated or hedged into the relevant currency. These funds invest 40% or more of their assets in securities with a credit quality equivalent to BB, or lower.
Morningstar Category Index: Lehman Pan-European High Yield (Euro)

Euro Inflation Linked Bond
Euro Inflation Linked Bond funds invest principally in inflation-linked bonds denominated in or hedged into the Euro.
Morningstar Category Index: EuroMTS Inflation Linked Aggregate

Non-Euro Inflation Linked Bond
Non-Euro Inflation Linked Bond funds invest primarily in inflation-linked bonds denominated in or hedged into currencies other than the Euro.
Morningstar Category Index: ML Glb Gov Inflation-Linked

Euro Long Bond
Euro Long Bond funds invest principally in bonds denominated in or hedged into the Euro. The average maturity for each fund is generally greater than 10 years.
Morningstar Category Index: Citi Eurozone GBI 10+Y

Euro Diversified Bond
Euro Diversified Bond funds have a generalist mandate and do not exhibit significant risk concentrations. This category contains funds that are not eligible for other Eurodenominated/ hedged bond fund categories.
Morningstar Category Index: Lehman Euro-Aggregate Index

European Bond
European Bond funds invest in European fixed income securities. This category is similar to the Euro Global Bond category, except that the foreign currency exposure is limited to European currencies.
Morningstar Category Index: Lehman Pan-European Aggregate

Sterling Money Market
Sterling Money Market funds invest in Sterling-denominated money market instruments. The residual aggregate maturity of those instruments does not exceed 12 months.
Morningstar Category Index: Citigroup 3M Sterling Deposit

Sterling Government Bond
Sterling Government Bond funds invest primarily in government or government-backed agenc y securities denominated or hedged into the relevant currency.
Morningstar Category Index: Citigroup UK GBI, All Maturities, USD

Sterling High Yield Bond
Sterling High Yield Bond funds invest in higher yielding securities denominated or hedged into Sterling. These funds will invest 40% or more of their assets in securities with a credit quality equivalent to BB, or lower.
Morningstar Category Index: Lehman Pan-European High Yield (Non-Euro)

Sterling Global Bond
Sterling Global Bond funds invest in fixed income securities and take material currency exposures as part of their investment strategies, but are optimised in Sterling. A moderate credit exposure is possible.
Morningstar Category Index: Citigroup WGBI, All Maturities, In Sterling

Sterling Diversified Bond
Sterling Diversified Bond funds have a generalist mandate and do not exhibit significant risk concentrations. This category contains funds that are not eligible for other bond fund categories.
Morningstar Category Index: Lehman Sterling Aggregate

Dollar Money Market
Dollar Money Market funds invest in U.S. Dollar-denominated money market instruments of which the residual aggregate maturity does not exceed 12 months.
Morningstar Category Index: Citigroup 3M USD Deposit

Dollar Short Bond
Dollar Short Bond funds invest in short-dated bonds denominated in or hedged into U.S. dollars. The aggregate maturity for each fund does not tend to exceed three years.
Morningstar Category Index: Citigroup U.S. GBI 1-3 Year Sector

Dollar Government Bond
Dollar Government Bond funds invest primarily in government or government-backed agency securities denominated in or hedged into the relevant currency.
Morningstar Category Index: Citigroup U.S. GBI, All Maturities, In Euros

Dollar Global Bond
Dollar Global Bond funds invest in fixed income securities and take material currency exposures as part of their investment strategies. These funds are optimised in U.S. dollars and a moderate credit exposure is possible.
Morningstar Category Index: Citigroup World GBI

Dollar High Yield Bond
Dollar High Yield Bond funds invest in higher yielding securities denominated or hedged into the relevant currency. These funds invest 40% or more of their assets in securities with a credit quality equivalent to BB, or lower.
Morningstar Category Index: Lehman High Yield Corporate Bond Index

Dollar Diversified Bond
Dollar Diversified Bond funds have a generalist mandate and do not exhibit significant risk concentrations. This category contains funds that are not eligible for other dollardenominated/ hedged bond fund categories.
Morningstar Category Index: Lehman Aggregate Bond Index

SEK Bond
SEK Bond funds invest in bonds denominated or hedged into Swedish Krona. The aggregate maturity of these funds exceeds three years.
Morningstar Category Index: Citigroup Sweden GBI

SEK Money Market
SEK Money Market funds invest in Swedish Krona-denominated money market instruments. The residual aggregate maturity does not exceed 12 months.
Morningstar Category Index : Statsobligasjonsind. 0.25

SEK Short Bond
SEK Short Bond invest in short-dated bonds denominated or hedged into Swedish Krona. The aggregate maturity does not exceed three years. Morningstar Category Index: Citigroup Sweden GBI 1-3Y NOK Bond NOK Bond funds invest in bonds denominated or hedged into Norwegian Krone, where the aggregate maturity exceeds three years.
Morningstar Category Index: Statsobligasjonsind. 3.00

NOK Money Market
NOK Money Market funds invest in Norwegian Krone-denominated money market instruments. The residual aggregate maturity does not exceed 12 months.
Morningstar Category Index: Statsobligasjonsind. 0.25

NOK Short Bond
NOK Short Bond Funds invest in short-dated bonds denominated or hedged into Norwegian Krone. The aggregate maturity does not exceed three years.
Morningstar Category Index: Statsobligasjonsind. 1.00

DKK Money Market
DKK Money Market funds invest in Danish Krone-denominated money market instruments. The residual aggregate maturity does not exceed 12 months.

DKK Bond
DKK Bond invest in bonds denominated or hedged into Danish Krone, where the aggregate maturity exceeds three years.
Morningstar Category Index: Citigroup Danish GBI, All Maturities, In Euros

DKK Short Bond
DKK Short Bond funds invest in short-dated bonds denominated or hedged into Danish Krone. The aggregate maturity does not exceed three years.
Morningstar Category Index: Citigroup Danish GBI, 1-3 Year Sector, USD

CHF Money Market
CHF Money Market funds invest in Swiss Francs-denominated money market instruments. The residual aggregate maturity does not exceed 12 months.
Morningstar Category Index: Citigroup Swiss Franc 1-Month Euro Deposit, USD

CHF Bond
CHF Bond funds invest in bonds denominated or hedged into Swiss Franc , where the aggregate maturity exceeds three years.
Morningstar Category Index: Citigroup Swiss GBI, all maturities

CHF Global Bond
CHF Global Bond funds invest in fixed income securities and are taking material currency exposures as part of their investment strategies. These funds optimise their returns in Swiss Francs and a moderate credit exposure is possible.
Morningstar Category Index: Citigroup WGBI CHF

CAD Bond and Cash
CAD Bond and Cash funds invest in Canadian Dollar-denominated bonds and/or money market securities.
Morningstar Category Index: Citigroup Canadian GBI, all maturities

AUD Bond and Cash
AUD Bond and Cash funds invest in Australian Dollar-denominated bonds and/or money market securities.
Morningstar Category Index: Citigroup Australian GBI, all maturities

JPY Bond
JPY Bond funds invest in Japanese Yen-denominated bonds and money market securities.
Morningstar Category Index: Citigroup Japanese GBI, All Maturities, USD

Taiwan Bond
Taiwan Bond funds invest in Taiwan Dollar-denominated Bonds and/or money market securities.
Morningstar Category Index: JPM Taiwan Local Markets Index Plus (USD)

Asia Bond
The Asia Bond funds category consists of all funds investing in Asian Bonds and money market securities (excl. funds that exclusively invest in Australia, Japan or Taiwan).
Morningstar Category Index: JPM Asia Local Markets Index Plus (USD)

Emerging Markets Bond
Emerging Market Bond funds are dedicated to fixed income securities of issuers in emerging market countries. Most funds will invest in several currencies or countries. Some might have a more specialized approach.
Morningstar Category Index: JPM EMBI+

CHF Aggressive Balanced
CHF Aggressive Balanced funds have a mandate to balance equity and bond investments for a Swiss Franc -based investor. The equity component does not exceed 75% in the normal running of the fund.
Morningstar Category Index: 40% Citi Switzerland GBI, 60% FTSE World

CHF Cautious Balanced
CHF Cautious Balanced funds have a mandate to balance equity and bond investments for a Swiss Franc -based investor. The equity component does not exceed 40% in the normal running of the fund.
Morningstar Category Index: 75% Citi Switzerland GBI, 60% FTSE World

DKK Balanced
DKK Balanced funds have a mandate to balance equity and bond investments for a Danish Krone-based investor. The equity component does not exceed 75% in the normal running of the fund.
Morningstar Category Index: 50% Citi Danish GBI, 50% FTSE World

Dollar Balanced
Dollar Balanced funds have a mandate to balance equity and bond investments for a U.S. Dollar-based investor. The equity component does not exceed 75% in the normal running of the fund.
Morningstar Category Index: LB $ Aggregate 50% / FTSE World 50%

Euro Cautious Balanced
Euro Cautious Balanced funds have a mandate to balance equity and bond investments for a Euro-based investor. The equity component does not exceed 35% in the normal running of the fund.
Morningstar Category Index: LB Euro-Agg. 75% / FTSE World 25%

Euro Moderate Balanced
Euro Moderate Balanced funds have a mandate to balance equity and bond investments for a Euro-based investor. The equity component does not exceed 60% in the normal running of the fund.
Morningstar Category Index: LB Euro-Agg. 50% / FTSE World 50%

Euro Aggressive Balanced
Euro Aggressive Balanced funds have a mandate to balance equity and bond investments for a Euro-based investor. The equity component does not exceed 75% in the normal running of the fund.
Morningstar Category Index: LB Euro-Agg. 25% / FTSE World 75%

NOK Balanced
NOK Balanced funds have a mandate to balance equity and bond investments for a Norwegian-Krone based investor. The equity component does not exceed 75% in the normal running of the fund.
Morningstar Category Index: 50% Citi Norway GBI, 50% FTSE World

SEK Aggressive Balanced
SEK Aggressive Balanced funds have a mandate to balance equity and bond investments for a Swedish-Krona based investor. The equity component does not exceed 75% in the normal running of the fund.
Morningstar Category Index: 40% Citi Sweden GBI, 30% MSCI Sweden NDTR, 30% FTSE World

SEK Cautious Balanced
SEK Cautious Balanced funds have a mandate to balance equity and bond investments for a Swedish-Krona based investor. The equity component does not exceed 40% in the normal running of the fund.
Morningstar Category Index: 75% Citi Sweden GBI, 12.5% MSCI Sweden NDTR, 12.5% FTSE World

Sterling Aggressive Balanced
Sterling Aggressive Balanced funds have a mandate to balance equity and bond investments for a sterling-based investor. The equity component does not exceed 75% in the normal running of the fund.
Morningstar Category Index: 40% Lehman Brothers Sterling Aggregate, 60% FTSE World

Sterling Cautious Balanced
Sterling Cautious Balanced funds have a mandate to balance equity and bond investments for a Sterling-based investor. The equity component does not exceed 40% in the normal running of the fund.
Morningstar Category Index: 75% Lehman Brothers Sterling Aggregate, 25% FTSE World

Asia Balanced
Asia Balanced funds have a mandate to balance equity and bond investments for an Asiabased investor. The equity component does not exceed 75% in the normal running of the fund.
Morningstar Category Index: 50% JPM Asia Local Markets Index Plus (USD) / 50% MSCI AC Asia Pacific NDTR

Taiwan Balanced
Taiwan Balanced funds have a mandate to balance equity and bond investments for a Taiwan-based investor. The equity component does not exceed 75% in the normal running of the fund.
Morningstar Category Index: 50% JPM Taiwan Local Markets Index Plus (USD) / 50% MSCI Taiwan NDTR

Capital Protected
Capital Protected funds protect capital but do not guarantee the repayment of all or part of the capital invested. This category is in use in Hong Kong.

Euro Absolute Return
Euro Absolute Return funds have an investment objective of pursuing positive returns in all market environments, and risk controls and investment capabilities sufficient to give the fund a reasonable chance of meeting that objective. They should not display a negative return over an 18 month period. Such funds will typically have a stated benchmark reflecting that goal (e.g., Euribor + 2%, etc.), and should have the ability to invest across asset classes and/or use derivatives. The funds in this category will invest primarily in instruments denominated in or hedged into the Euro.
Morningstar Category Index: ML Euro LIBOR 1-Mth Const Mat (LOC)

Non-Euro Absolute Return
Non Euro Absolute Return funds have an investment objective of pursuing positive returns in all market environments, and risk controls and investment capabilities sufficient to give the fund a reasonable chance of meeting that objective. They should not display a negative return over an 18 month period. Such funds will typically have a stated benchmark reflecting that goal (e.g., Libor + 2%, etc.), and should have the ability to invest across asset classes and/or use derivatives. The funds in this category will invest primarily in instruments denominated in or hedged into currencies other than the Euro.
Morningstar Category Index: ML GBP LIBOR 1-Mth Const Mat (LOC)

Guaranteed Funds
Guaranteed funds promise and/or guarantee the repayment of all or part of the capital invested or promises a pre-determined rate of return.

Long-Short Funds
Long-short funds take long positions in securities that appear attractive and short positions in securities that appear to be unattractive (e.g. by taking full use of the investment powers under Ucits 3 regulations). Some of these portfolios are market neutral, which means that they divide their exposure equally between long and short positions in an attempt to minimize the losses that could occur from a broad market rally or decline. Other funds exclusively focus on investments that are or could be involved in mergers and acquisitions or invest in multiple funds that use the ability of arbitrage and or long-short positions.

Target Date 2000-2014
Target-date portfolios provide diversified exposure to equities, bonds, and cash for those investors who have a specific date in mind (in this case, the years 2000-2014) for retirement or another goal. These portfolios aim to provide investors with an optimal level of return and risk, based solely on the target date. These portfolios get more conservative as the goal date approaches by investing more in bonds and cash. Investment managers structure these portfolios differently; two funds with the same goal year may have different allocations to equities and therefore different levels of return and risk. The category excludes guaranteed funds.
Morningstar Category Index: 50% Citi WGBI Euros, 50% FTSE World

Target Date 2015+
Target-date portfolios provide diversified exposure to equities, bonds, and cash for those investors who have a specific date in mind (in this case, the years 2015 and beyond) for retirement or another goal. These portfolios aim to provide investors with an optimal level of return and risk, based solely on the target date. These portfolios get more conservative as the goal date approaches by investing more in bonds and cash. Investment managers structure these portfolios differently; two funds with the same goal year may have different allocations to equities and therefore different levels of return and risk. The categoryexcludes guaranteed funds.
Morningstar Category Index: 25% Citi WGBI Euros, 75% FTSE World

Other
All funds which do not fit into any other category.
For additional information, please see: Morningstar Category Classifications

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