Aegon Achtergestelde Leningen (ALF) Fund
CLASS AND CODES
Asset Class: Fixed Income
Fund description

The SME Loan Programme S.a.r.l, short for ‘Subordinated Loan Funds”, is a specialty fixed income investment vehicle that invests in subordinated loans to Dutch small and medium-sized enterprises (SMEs and SMCs) through its various compartments.


Fund highlights

  • Invest in Dutch subordinated SME loans, with a 50% to 80% government guarantee
  • Benefit from an expected 450 bps spread over swap, a significant premium for risk and illiquidity
  • Diversify into a difficult to access market segment
  • Fund set-up together with Dutch large banks and other parties as part of a government initiative to provide financing for SMEs and hence foster economic growth

 

About the investment vehicle

The SME Loan Programme S.a.r.l, short for ‘Subordinated Loan Funds”, is a specialty fixed income investment vehicle that invests in subordinated loans to Dutch small and medium-sized enterprises (SMEs and SMCs) through its various compartments. It was developed by Aegon Asset Management in close cooperation with the Dutch large banks (ABN AMRO, ING, and Rabobank). Banks play an important role in deal-sourcing. A significant part of the subordinated loans issued by the Subordinated Loan Funds benefit from a guarantee from the European Investment Fund (“EIF”).  By providing guarantees to the Subordinated Loan Funds, EIF enhances Dutch SME/SMC’s access to financing and stimulates economic growth in the Netherlands. EIF guarantees between 50% to 80% of credit losses on the principal amount of the subordinated loans that are eligible for an EIF guarantee.

Key facts
ISIN
NL0011546734
SEDOL
1154673
SFDR Classification
Article 8
Literature
All Documents
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Aegon AM NL Sustainability Risks and Impacts Policy
Statement of Compliance