Sustainability.
Sustainability
Nordnet Fonder is a wholly owned subsidiary of Nordnet Bank. The fund company started operations in May 2022 and offers funds in all markets where Nordnet operates - Sweden, Norway, Denmark and Finland. The goal of the business is to conduct qualitative and cost-effective management focused on broad asset classes for long-term savers. Sustainability is an important component of our management work, and the prospectus for each fund contains more information on how our various funds take sustainability into account in their management. You can read more about the Nordnet Group's overall sustainability work here.
No consideration of Principal Adverse Impacts
Nordnet Fonder does not consider PAI (Principal Adverse Impacts). The reason is that Nordnet Fonder only manages fund-of-funds and equity index funds. When investing in securities funds, Nordnet Fonder cannot directly influence which companies they invest in. The investment decisions in Nordnet Fonder's equity index funds are governed by the companies included in the indices that the funds' investments are to emulate.
Integration of sustainability risks in the investment decision process
Version 1.1, Updated 2023-07-14
Integration of sustainability risks in the investment decision process
The EU's Sustainable Finance Disclosure Regulation (SFDR) defines sustainability risk as an environmental, social or governance-related event or circumstance that, if it occurs, could have a significant negative impact on the value of the investment.
Impact of sustainability risks on performance
The value of a fund's holdings may develop negatively due to sustainability risks related to fines, reduced demand for products and services or damaged reputation. A sustainability-related event can affect an individual investment, a broader economic sector or a geographic region, which can have an impact on the fund's performance.
Risk analysis in order to avoid clear sustainability risks when choosing holdings for a fund is deemed by Nordnet Fonder to have a positive contribution to its risk-adjusted return over time. Responsible companies have, according to Nordnet Fonder's assessment, a greater chance of long-term profitability and thus greater potential to contribute a positive return to the fund's shareholders over time.
How sustainability risks are integrated in the investment decision process
Sustainability risks are not assessed for investments in Nordnet Indeksfond Norge. This is because the index being tracked has no sustainability-related selection criteria.
For other index funds, sustainability risks are limited by excluding certain companies. In the index's selection process, there are exclusion criteria based on exposure to certain industries as well as exposure to companies that violate the UN Global Compact or have a high degree of controversy according to Sustainalytics' assessment. The exclusion criteria are determined by the index provider.
For the allocation funds within Nordnet One, sustainability risks are limited by investing a majority of the fund’s assets into underlying funds classified according to SFDR Article 8 or 9. All external fund companies undergo a due diligence process before investment and thereafter at least annually by Nordnet Fonder, in which the fund companies' sustainability work and the product's sustainability profile is evaluated.
| Version | Description | Date |
| 1.0 | First version of document | 2022-11-09 |
| 1.1 | General update of format and content | 2023-07-14 |
Remuneration policy
Version 1.0, Updated 2022-11-09
Nordnet applies a compensation strategy that aims to stimulate employees to deliver sustainable results that are compatible with Nordnet's strategy, the interests of shareholders and customers, as well as with sound and efficient risk management.
Nordnet offers competitive compensation that is based on business needs and that is determined regardless of gender, transgender identity or expression, sexual orientation, ethnicity, belief, disability or age. The compensation system in Nordnet aims to attract, motivate and retain personnel with the ability, experience and skills to deliver on Nordnet's strategy in accordance with Nordnet's values.
The basic principle is that Nordnet employees have fixed remuneration, which is based on the nature and responsibility of the employee's position, the individual results and market conditions. Pension benefits are offered in accordance with collective agreements, rules and practices in the country where the employee is permanently resident. Variable remuneration occurs to a very limited extent. The variable remuneration is of a one-off nature and is used, for example, to reward employees who, in accordance with Nordnet's goals and values, have delivered above expectations in the final stage of a critical project. Non-compliance with external or internal rules and regulations or deficiencies in risk management are circumstances that will be considered incompatible with Nordnet's values.
Sound risk-taking is part of Nordnet's business strategy and the compensation system is designed to discourage excessive risk-taking and encourage employees to deliver sustainable results that are consistent with the strategic goals. Nordnet integrates ethical, social, environmental and financial considerations into its business decisions and our remuneration system is deemed to be compatible with these considerations.
| Version | Description | Date |
| 1.0 | First version of document | 2022-11-09 |
Shareholder engagement
Version 1.1, Updated 2023-07-14
As a fund company Nordnet Fonder shall represent shareholders in all matters relating to the Company's funds, including ownership issues.
| Version | Description | Date |
| 1.0 | First version of document | 2022-11-09 |
| 1.1 | Update of active licenses and yearly revision | 2023-07-14 |