BL Equities Dividend
Theme fund
Data as of 19/08/2019
Risk level
| Low |  | High |
Recommended investment horizon : > 6 years Performance
Average annual performance since launch 7,13 %
Performance as at 19/08/2019
Composition
| Asset breakdown |
| Equities | 90,93 % |
| Cash | 9,07 % |
| Breakdown by currency |
| USD | 35,29 % |
| GBP | 18,18 % |
| CHF | 12,52 % |
| EUR | 11,03 % |
| CNY | 4,67 % |
| Others | 18,29 % |
| Main positions |
| Unilever NV | 8,06 % |
| PepsiCo Inc | 5,38 % |
| Philip Morris International Inc | 5,37 % |
| Colgate Palmolive Co | 4,51 % |
| Givaudan SA nom | 4,12 % |
Strategy
Investment objective and policy
The fund seeks long-term capital appreciation by investing in equities offering high dividend yields. BL-Equities Dividend invests in international companies whose current or expected dividend yield is higher than their benchmark index. There is no specific geographical, sector or monetary allocation. Companies are selected based on their valuation and intrinsic quality.
Management report - 2d Quarter 2019
In the second quarter of 2019, BL Equities Dividend gained 0.70% (retail accumulation share in euros, net of fees). During the period, we sold the entire positions in Invocare (valuation) and Altria (revised investment case). On the other hand, we opened a new position in Rockwell Automation (ROK), one of the world leaders in automation, with a focus on the connected enterprise - marrying the traditional different operational sites with information technology, data, and analytics. ROK offers products (smart motor commands and control, sensors, scanners, circuit breakers, interfaces, etc.), software and services, enabling productivity gains and a reduction in energy consumption, waste, lead times and production risks, including security improvements. The group benefits from various competitive advantages: an image synonymous with quality and innovation; a large base of relatively low-cost patented critical equipment installed at clients' complex operational sites; its unique relatively easy-to-use Logix Platform, providing interoperability for all types of applications (process, discrete, hybrid) and third-party solutions; expertise on the ground and close relationships with longstanding clients; a dedicated distribution model, mainly via exclusive contracts; and strategic partnerships with Microsoft, Cisco, Fanuc and PTC. Its activity is very cyclical but underpinned by strong trends: the constant search for productivity gains and more flexible cost bases; the need to renew ageing installed bases in developed countries; new requirements and wage inflation in emerging markets; growing interest in the 'connected enterprise' (less than 20% of today's market according to ROK); more complex production chains; greater concern for security; and a growing need to save resources. ROK enjoys a certain pricing power and presents a high return on capital employed and cash generation. It has a sound balance sheet. In its current structure (spun-off from Rockwell Collins in 2001), the company has never reduced its dividend, which is comfortably covered by free cash flow and could be significantly increased in the coming years. At the time of our purchase, the gross dividend yield was 2.40%. The fund currently holds positions in 39 companies. At the end of the period, BL Equities Dividend offered a gross weighted average yield of 3.1% (cash included).
General information
| Net Asset Value |
| Calculated | Every business day |
| NAV class B capitalisation shares (19/08/2019) | 170,88 USD |
| CODES | Internal capitalisation code : 13774684
ISIN capitalisation code : LU0751781666
WKN capitalisation code : A1JUGG
|
| Net assets (million) | 494,59 USD |
| Launch date | 16/03/2012 |
