What are the best investment funds for your financial goals?

In today's changing financial markets, choosing the right investment funds is essential to building a sustainable investment strategy. Through rigorous selection, it is possible to reconcile returns, diversification and risk management. The key is to identify the real levers of performance and the funds best suited to your investment ambitions.

Like all investments, mutual funds carry a risk of capital loss. Professional guidance is recommended to structure an allocation in line with your objectives.

Investment funds offer simplified, structured access to the financial world:

• Integrated diversification: each fund unit exposes you to several assets or strategies, thereby reducing specific risk.
• Expert management: decisions are made by seasoned professionals, who adapt the fund's strategy in line with market trends.
• Extensive accessibility: funds can be accessed via a securities account or as part of tax wrappers such as life insurance or PEA.
• Liquidity: most funds can be subscribed to or redeemed at any time, with regular valuation.

The fund typology reflects a variety of return and risk profiles.

H3: Equity funds

Invested in listed securities, these funds aim for long-term capital growth. They should be favored for dynamic investments, notably via a PEA. Their performance potential is correlated to stock market volatility.

H3: Bond funds

Focused on debt securities, these funds offer a more stable alternative to equities. The risk/return profile varies according to issuer credit quality and bond duration.

H3: Diversified or mixed funds

By combining several asset classes (equities, bonds, cash), these funds seek to capture performance while cushioning downturns. Suitable for moderate profiles.

ETFs (index funds)

These listed funds replicate a market index. With very competitive fees, they offer simple, effective and transparent exposure to a theme, sector or geography.

Private equity funds

Private equity funds finance unlisted companies with a 5 to 10-year investment horizon. It offers the prospect of higher returns, but entails higher risk and low liquidity. Eurazeo offers private equity solutions starting at €10,000.

Theme funds and FCPI

Targeting buoyant sectors (tech, healthcare, energy transition), these funds can be held in a securities account or in tax wrappers. In addition, FCPI funds offer tax advantages linked to investment in innovation.

Real estate funds

REITs and SCPIs offer indirect exposure to rental property, with the potential for regular income. They are sensitive to interest rates and the real estate market.

SRI (socially responsible investment) funds

These funds select assets according to ESG (environmental, social and governance) criteria. They combine financial performance with positive impact.

Any investment in a fund carries a level of risk that needs to be assessed before any decision is made.

• Market risk: fluctuations in equities or bonds.
• Credit risk : default by a bond issuer.
• Management risk: strategy failure or poor execution.
• Liquidity risk : difficulty in selling units quickly.
• Tax risk : variable taxation depending on the investment envelope and rules in force.

A rigorous analysis of the fund's risk profile and documentation is essential.

• Alignment with your financial objectives: growth, income, inheritance...
• Risk-adjusted historical performance: assess with caution.
• Regularity of performance: more than a one-off peak.
• Management fees: assess their impact on net yield.
• Transparency and governance : ESG criteria, clear reporting, track record.

• Diversify your allocation: between geographical zones, sectors and fund types.
• Regularly monitor your portfolio: adjust as your objectives evolve.
• Take advantage of tax incentives : PEA, life insurance, FCPI, PER, etc.
• Rely on professional advice : to build a personalized strategy and manage arbitrages.

This article was produced by Eurazeo Global Investor for information purposes only. It should not be construed as a solicitation or offer for financial products, nor as legal, tax, financial or any other kind of advice. Readers are invited to contact their own advisors for any analysis relating to the content of this article. The information presented does not claim to be exhaustive. It should not be relied upon as the sole basis for an investment decision. Please refer to the legal documentation of the funds mentioned before making any final investment decision.

Past performance is not necessarily indicative, nor a guarantee of future results. Information on past investments is provided solely to illustrate the nature of these investments and the related investment strategy and process. There can be no guarantee that the investments made by the funds will yield comparable results, or that the targeted returns will be achieved. Investing in Private Equity/Private Debt funds involves a risk of capital loss and illiquidity.