AXA WORLD FUNDS A LUXEMBOURG INVESTMENT FUND ...

Appendix 34: AXA WORLD FUNDS – EURO BONDS
Name of the Sub-Fund AXA WORLD FUNDS – EURO BONDS
Management Company AXA Funds Management S.A. (Luxembourg)
Investment Manager AXA Investment Managers Paris
Sub-delegation None
Promoted by AXA Investment Managers
Objectives and Investment Policy
Investment objective:
The objective of the Sub-Fund is to achieve a mix of income and capital growth by investing in fixed and
floating rate securities. Typical investors would seek a mix of income and capital growth measured mainly
in Euro. �1
Investment policy:
The Investment Manager will seek to achieve the objectives of the Sub-Fund by investing in a diversified
portfolio consisting mainly of Investment Grade transferable debt securities issued by governments,
corporations or public institutions, mainly denominated in Euro. �2
The Sub-Fund will invest at all times at least two thirds of its total assets in transferable debt securities
issued by governments, corporations or public institutions denominated in Euro �3
There is no formal restriction on the proportion of the Sub-Fund’s assets that can be invested in and/or
exposed to any one particular market.
The Sub-Fund will invest not more than 10% of its net assets in units of UCITS and/or other UCIs �4 .
For efficient portfolio management purposes, this Sub-Fund may also expose itself to such assets
through the use of derivative instruments within the limits set forth in the section “Investment
Restrictions”.
The Reference Currency of the Sub-Fund is EUR.
Use of Derivatives:
In order to achieve its management objectives, the Sub-Fund may in particular engage in the credit
derivatives market by entering, i.a., into credit default swaps in order to sell or buy protection.
A credit default swap “CDS” is a bilateral financial contract in which one counterparty (the protection
buyer) pays a periodic fee in return for a contingent payment by the protection seller following a credit
event of a reference issuer. The protection buyer acquires the right to sell a particular bond or other
�1 Such paragraph shall take effect as from 1 st October 2012. Until that time the following investment
objective as disclosed in the prospectus dated February 2012 shall apply: “The objective of the Sub-Fund
is to achieve a mix of income and capital growth by investing in fixed and floating rate securities. Typical
investors would seek a mix of income and capital growth measured in euro. ”
�2 Such paragraph shall take effect as from 1 st October 2012. Until that time the following investment
policy as disclosed in the prospectus dated February 2012 shall apply: “The Investment Manager will
seek to achieve the objectives of the Sub-Fund by investing in a diversified portfolio consisting of Euro
zone government bonds and of any other high quality bonds, including Investment Grade transferable
debt securities issued by corporations or public institutions, denominated in Euro. These securities will
primarily be rated investment grade, taking into account that the Sub-Fund may invest only up to 5% in
sub-investment grade securities (i.e., rated lower than BBB- by Standard & Poor’s or lower than Baa3 by
Moody’s or, if unrated, then deemed to be so by the Investment Manager).”
�3 Such paragraph shall take effect as from 1 st October 2012.
�4 Such paragraph shall take effect as from 1 st October 2012.
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