Stefnir is subject to a strict fiduciary duty, which entails that all decisions taken on behalf of the funds must at all times prioritise the interests of the fund investors.
Funds managed by Stefnir buy and sell financial instruments in the market through securities brokers. The brokers with whom Stefnir transacts on behalf of the funds may be domestic or international, depending on the nature of the financial instruments traded at any given time. Parties considered eligible counterparties for Stefnir in transactions involving financial instruments must undergo specific due diligence in accordance with Stefnir’s internal rules.
The volume of transactions executed through securities brokers may vary. As a general rule, brokerage commissions are not paid in primary offerings, instead, the selling party pays the commission.
Stefnir has adopted a policy on order execution procedures, which explains how transactions in securities for funds under its management are carried out.
An extract from the policy describes how the overall assessment of transaction price and costs is generally the most important factor in determining best execution.
