DNB Global improved small cap

• Invests in small and medium-sized companies in advanced economies (IMF) globally.
• Only trades in shares listed on stock exchanges and regulated markets
• Index-linked mutual fund, but may deviate from the index in order to exclude a company according to ESG requirements
• The reference index consists of almost 4,000 companies: MSCI World Small Cap Index Net

As with the largest companies, there is a big difference between the product range and the risk profile of the small and medium-sized companies. The Small Cap index consists of around 4,000 companies, so the spread by industries and regions is also more extensive than in the normal global index.

At the same time, small and medium-sized companies (SMBs) are on a global scale, something completely different than when we talk about SMBs in Norway. For example, the largest company in the global Small Cap index is worth around NOK 270 billion. At the same time, this company accounts for only 0.2 per cent of the index. In comparison, Apple accounts for over five per cent of the normal global index (MSCI World) alone.

Historical returns are no guarantee of future returns. Future returns will depend, among other things, on market developments, the skill of the Portfolio Manager, the mutual fund’s risk, and the management costs. Returns may be negative as a result of mark-to-market losses.