October 2010
flash ProduCt Natixis Dollar Reserve To complement its euro-denominated cash funds, Natixis Asset Management offers a dollar-denominated fund as part of its money market range: Natixis Dollar Reserve. This fund enables investors to take advantage of the expertise of one of Europe's leaders in money market investment for the management of their dollar cash position.
o Outperforming the dollar money market while maintaining liquidity The objective of Natixis Dollar Reserve is to achieve a rise in its net asset value that exceeds the overnight rate in the US interbank market (Effective Federal Funds Rate) in dollars over a recommended investment horizon of at least one week. To achieve that objective, the managers invest in USD money market debt securities. The modified duration (sensitivity to interest rate risk) of Natixis Dollar Reserve is between 0 and 0.5. The Natixis Dollar Reserve investment team relies on the core scenario drawn up by Natixis Asset Management’s Macroeconomic and Money Market Committees. Depending on expectations with regard to the central banks’ monetary policies and yield curve fluctuations, the investment team decides on an appropriate allocation on the money market yield curve.
o Rigorous issuer selection The investment universe comprises Investment Grade issuers, generally in the private sector. They are selected from a core list of eligible bank and corporate securities. The managers rely on the recommendations of a team of credit analysts, who closely monitor the eligible issuers, taking account of earnings data, strategic developments, rating changes and any other events liable to change the assessment of the issuers’ financial solidity. At the same time, a specific division dedicated to credit risk in Natixis Asset Management's Risk Department independently oversees the eligibility conditions for issuers included in the investment universe.
Fixed/Variable rate allocation • Macroeconomic Scenario • Expectations of Central Banks' monetary policies
Portfolio construction • Investment universe • Financial research • Eligibility of issuers and counterparties
Issuers selection
The rating issued by Fitch Ratings: a guarantee of quality and transparency Natixis Dollar Reserve has been rated AA/V2 by Fitch Ratings*, underlining its moderate level of credit risk and volatility. As part of its rating procedure, Fitch Ratings also monitors the portfolio on a weekly basis. The existence of this rating, which results from a desire for transparency on the part of Natixis Asset Management, provides an independent assessment of the quality of the fund’s investment portfolio. * Fitch rating since 15 December 2008
www.am.natixis.com Corporate and Investment Banking / Saving Solutions / Specialized Financial Services
Flash produCt / october 2010
Exceptional performance boost in August The fund recorded a strong rise in its NAV following disposals of securities in August. The investment team decided to dispose of the securitizations acquired before the summer of 2007 which were still present in the portfolio, as market conditions had become more favorable. These debt securities had been very illiquid since the summer of 2007, making them difficult to value. In this particular context, the disposal of these securities generated an exceptional gain relative to the book values, which, in accordance with the normal procedures, are determined on the basis of the contributed prices on screen. That led to a strong rise in the fund's net asset value. It will be recalled that the debt securities essentially comprised AAA-rated senior tranches of securitizations of mortgage loans to private individuals in the UK and Australia. They had initially been acquired as part of an investment policy aimed at holding assets which were of the highest intrinsic quality and moreover allowed a sector and geographic diversification of the portfolio.
Investment team Natixis Asset Management is Europe’s fourth-largest operator in cash management*. The money market investment team comprises 11 portfolio managers and two financial engineers managing ₏62.4 billion of assets in this asset class as at the end of June 2010**. This specialist team is very stable, with an average length of service of 13 years and a consistent track record for over 10 years. * Source: Feri Fund Market as at 31 May 2010 ** Source: Natixis AM
Allocation of the portfolio by type of instrument as at 30 September 2010 Weight % of net assets
Instrument Commercial paper
53,01%
Certificates of deposit
26,87%
Deposits
12,79%
Bonds
7,27%
Cash liquidities
0,06 %
Securitizations
0%
Total
100,00 %
Source : Natixis AM
For futher information: n Your usual sales representatives at Natixis Asset Management will be pleased to answer any further questions n See the detailed information sheet for Natixis Dollar Reserve in the "Our Products" section on www.am.natixis.com
Disclaimer This document is intended for professional clients. It may not be used for any purpose other than that for which it was intended and may not be reproduced, disseminated or disclosed to third parties, whether in part on in whole without prior authorization in writing from Natixis Asset Management. No information contained in this document may be interpreted as being contractual in any way. This document is produced purely for informational purposes. It is a presentation created and prepared by Natixis Asset Management based on sources considered to be reliable. Natixis Asset Management reserves the right to change the information in this document at any time without notice, and in particular anything relating to the description of the investment process, which under no circumstances constitutes a commitment from Natixis Asset Management. Natixis Asset Management will not be held liable for any decision taken or not taken on the basis of the information in this document, nor for any use that a third party might make of the information. The UCITS is authorized for sale in France and possibly in other countries where the sale is not contrary to local legislation. Prior to any investment, investors must check that they are legally authorized to invest in a UCITS. The risks and fees connected to investment in a UCITS are described in the relevant prospectus. The prospectus and periodic documents are available from Natixis Asset Management upon request. The prospectus must be given to the investor prior to the subscription. October 2010.
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Flash produCt / october 2010
Legal information The funds mentioned in this material are not registered or authorized in all jurisdictions and may not be available to all investors in a jurisdiction. Natixis International Funds (Lux) I is organized as an investment company with variable capital under the laws of the Grand-Duchy of Luxembourg and is authorized by the financial regulator (the CSSF) as a UCITS. Natixis Global Associates S.A. is the management company of the Fund. The provision of this material does not constitute an offer of services, nor an offer or recommendation to purchase or sell shares in any financial instrument. Investors should consider the investment objectives, risks and expenses of any investment carefully before investing. In the case of a fund, these can be found in the fund’s prospectus or offering memorandum, which should be read carefully before investing. If you would like further information about any of the funds, including charges, expenses and risk considerations, contact the sender of this document or your financial advisor for a free prospectus, simplified prospectus, copy of the Articles of Incorporation, the semi and annual reports, and/ or other materials and translations that are relevant to your jurisdiction. Any reference to a ranking, a rating or an award provides no guarantee for future performance results and is not constant over time. Performance data shown represents past performance and is not a guarantee of future results. More recent performance may be lower or higher. Principal value and returns fluctuate over time (including as a result of currency fluctuations) so that shares, when redeemed, will be worth more or less than their original cost. Performance shown is net of all fund expenses, but does not include the effect of sales charges or correspondent bank charges, and assumes reinvestment of distributions. If such charges were included, returns would have been lower. The analyses, opinions, and certain of the investment themes and processes referenced herein represent the views of the author(s) referenced as of the date indicated. These, as well as the portfolio holdings and characteristics shown, are subject to change. There can be no assurance that developments will transpire as may be forecasted in this material. In certain cases, this material is provided by one of the Natixis Global Associates entities listed below, each of which is a subsidiary of Natixis Global Asset Management, the holding company of a diverse line-up of specialised investment management and distribution entities worldwide, each of which conduct any regulated activities only in and from the jurisdictions in which they are licensed or authorized. Their services and the products they manage are not available to all investors in all jurisdictions. Although Natixis Global Associates believes that the information provided in this material to be reliable, it does not guarantee the accuracy, adequacy, or completeness of such information. In the UK: This material is provided by Natixis Global Associates UK Limited which is authorised and regulated by the UK Financial Services Authority (register no. 190258). This material is intended to be communicated to and/or directed at persons (1) in the United Kingdom, and should not to be regarded as an offer to buy or sell, or the solicitation of any offer to buy or sell securities in any other jurisdiction than the United Kingdom; and (2) who are authorised under the Financial Services and Markets Act 2000; or are high net worth businesses with called up share capital or net assets of at least £5 million or in the case of a trust assets of at least £10 million; or any other person to whom the material may otherwise lawfully be distributed in accordance with the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 or the (Promotion of Collective Investment Schemes) (Exemption) Order 2001 (the "Intended Recipients"). To the extent that this material is issued by Natixis Global Associates UK Limited, the fund, services or opinions referred to in this material are only available to the Intended Recipients and this material must not be relied nor acted upon by any other persons. Registered Address: Cannon Bridge House, 25 Dowgate Hill, London, EC4R 2YA. In the E.U. (outside of the UK): This material is provided by Natixis Global Associates S.A. or one of its branch offices listed below. Natixis Global Associates S.A. is a Luxembourg management company that is authorized by the Commission de Surveillance du Secteur Financier and is incorporated under Luxembourg laws and registered under n. B 115843. Registered office of Natixis Global Associates S.A.: 2-8 Avenue Charles de Gaulle, L-1653 Luxembourg, Grand Duchy of Luxembourg. France: Natixis Global Associates International (n.509 471 173 RCS Paris). Registered office: 21 quai d'Austerlitz, 75013 Paris. Italy: Natixis Global Associates S.A. Succursale Italiana (Bank of Italy Register of Italian Asset Management Companies no 23458.3). Registered office: Via San Clemente, 1 20122, Milan,MI, Italy. Germany: Natixis Global Associates S.A., Zweigniederlassung Deutschland (Registration number: HRB 88541). Registered office: Im Trutz Frankfurt 55, Westend Carrée, 7. Floor, Frankfurt am Main 60322, Germany. Netherlands: Natixis Global Associates S.A., Nederlands filiaal (Registration number 50774670). Registered office: Evert van de Beekstraat 310, 1118CX Schiphol, the Netherlands. Sweden: Natixis Global Associates S.A. (Luxembourg) Nordics Filial (Registration number 516405-9601 - Swedish Companies Registration Office). Registered office: Master Samuelsgatan 60, 8th Floor, Stockholm 111 21, Sweden. In Switzerland: This material is provided to Qualified Investors by Natixis Global Associates Switzerland Sàrl. Registered office: place de la Fusterie 12, 1204 Genève. In the DIFC: This material is provided in and from the DIFC financial district by Natixis Global Associates Middle East, a branch of Natixis Global Associates UK Limited, which is regulated by the DFSA. Related financial products or services are only available to persons who have sufficient financial experience and understanding to participate in financial markets within the DIFC, and qualify as Professional Clients as defined by the DFSA. Registered office: PO Box. 118257, 5th Floor, Building 8, Gate Village, DIFC, Dubai, United Arab Emirates.
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Natixis Asset Management Limited Liability Company Share Capital 50 434 604,76 € RCS Number 329 450 738 Paris Regulated by AMF under n°GP 90-009 Registered Office: 21 quai d’Austerlitz 75 634 Paris, Cedex 13 - Tel. +33 1 78 40 80 00 www.am.natixis.com