It therefore affects the overall performance of the Fund

Collective management, the recent stock market history pinned as well some guaranteed funds than dynamic monetary funds or hedge through the Madoff scandal. Yet, these disappointments had merit. They opened the eyes of the investor on a sometimes forgotten reality: invest in the stock market involves risk. Therefore, the individual must enjoy to choose a vehicle adapted to its requirements.

"Liquidity risk is often ignored or forgotten while the first risk in any investment," explains Denis Beaudoin, President of Finaltis. During the crisis of 2008, the markets, including some more fluid (interbank debt, market monetary...) saw their liquidity to reduce, or even disappear under the effect of a widespread distrust. For the investor, this disruption led to NAV temporary suspensions, thus unable to recoup its investment. Liquidity is an argument that has contributed to the success of collective management. Or "this is not the UCITS which is liquid, but the assets in which it invests that are a little, much or... not at all." The small and medium-sized values of traded more difficult that large values and obligations of the larger States are in principle better than Exchange small countries. In other words, it is the nature of the assets and their characteristics that will give the UCITS more or less liquidity.

For investors in UCITS of the euro area, the threat may come from foreign exchange risk, i.e. of the variation in the course of one currency - other than the euro - in which a fund would be invested. Attention, the UCITS denominated in euros playing the markets are not free of risk. Indeed, behind a value net asset (VL) calculated in euros, saver on the United States gives the care Manager to invest this money in dollar securities. At the time to sell its shares, the individual will collect the amount in euro on the VL of the UCITS, except that it will take into account the value of the dollar.

AllianzGI Investments Europe experts consider that current market conditions will in the sense of a strengthening of the euro against dollar in the short term. Thus, Jean-Denis Bachot, Director of market Management of AllianzGI France, believes that "an investor in the euro area who wishes to invest in the United States has an interest in to position themselves in a UCITS euro covered the risk of change".

On UCITS bond, the investor faces credit risk (degradation of the signature of the issuer) and failure (the issuer cannot pay interest or repay the principal at maturity). Above all, the main threat lies in the evolution of interest rates. In General, an increase causes a decrease in the course of duty. It therefore affects the overall performance of the Fund. Experts express the degree of risk of UCITS bond by its sensitivity. But "there are all sorts of tools to oversee it and optimize it," says Ali Chabaane, responsible for the construction of portfolio in Pioneer Investments.

Is that a fund include securities (fixed rate) to long life, it is sensitive to variation in the rate. To choose a UCITS bond, saver thus refer to the AMF prospectus showing the range of sensitivity by managers. In the current context, the expert from Pioneer advocates of "UCITS of absolute performance benefiting from the diversification of different Active strategies to adjust the sensitivity to market conditions."

The shares are specific risks which depend on the quality of management of the company, sector or economic conditions. Beyond a sometimes difficult to appreciate "mix", a UCITS which bets are concentrated on a particular niche (sector, country, size of reduced capitalization, limited number of titles) presents a much higher than a diversified product potential. Finally, saver table on a dividend may not be paid on the investment. Clearly, the performance is not automatic and the amount fixed or built-in. "With the direction of Solvancy II, a UCITS diversified action be probably less risky in the long term than a bond... vehicle if upstream, Corporation planned and quantified potential disaster scenarios" dedramatized Flavien Duval, responsible for risk management in Edram.