A mutual fund switch allows you to move all or part of your investment from one mutual fund to another eligible fund. It can be used when you want to change your investment while keeping the process within a single switch order.
How a mutual fund switch works
A switch consists of 2 transactions:
- Units in your existing mutual fund are sold
- The proceeds are used to buy units in the mutual fund you are switching to.
You can switch your full eligible holding or only part of it.
The number of units you receive in the new fund depends on the value of the units sold and the price of the fund you are switching to.
The sell and buy parts of a switch may not be completed at the same time.
Which mutual funds can I switch between?
Switching is only available for eligible mutual funds.
The funds available for a switch depend on the eligibility conditions of the funds involved. In particular:
- The fund you switch from and the fund you switch to must be from the same fund house and denominated in the same currency.
- Switching must be supported for both funds.
If a fund is not eligible as the destination of your switch, it will not be available for selection.
You can switch your full eligible position or part of it. Switch orders can only be placed by specifying the number of units you want to switch. You cannot place a switch order by specifying a monetary amount.
You cannot place a switch order for more units than you hold, and you cannot switch units that have not yet settled.
How to select the fund you want to switch to
- Enter the number of units you want to switch.
- Click Search in the Security field.
- Search for and select the mutual fund you want to switch to.
- The selected fund appears in the Security field.
- Review the switch details before placing the order.
Examples of switches
Please note that the figures used in the examples are for illustration only. The number of units you receive depends on the applicable fund prices.
Example 1: Full switch in the same currency
You hold 100 units of Fund A, priced at EUR 435 per unit, giving your holding a value of EUR 43,500.
You switch all 100 units to Fund B, priced at EUR 180 per unit.
Calculation:
EUR 43,500 ÷ EUR 180 = 241.67 units
Result: You receive 241.67 units of Fund B, and your full holding in Fund A is switched.
Example 2: Partial switch in the same currency
You hold 100 units of Fund A, priced at EUR 435 per unit. You choose to switch 75 units to Fund B.
The 75 units have a value of EUR 32,625. Fund B is priced at EUR 180 per unit.
Calculation:
EUR 32,625 ÷ EUR 180 = 181.25 units
Result: You receive 181.25 units of Fund B, while 25 units of Fund A remain in your portfolio.