BL Emerging Markets
Mixed funds
Data as of 19/08/2019
Risk level
| Low |  | High |
Recommended investment horizon : > 10 years Performance
Average annual performance since launch -0,14 %
Performance as at 19/08/2019
Composition
| Asset breakdown |
| Equities | 79,28 % |
| Cash | 12,47 % |
| Bonds | 8,25 % |
| Breakdown by currency |
| USD | 11,10 % |
| CNY | 10,42 % |
| TWD | 9,54 % |
| BRL | 9,13 % |
| EUR | 8,81 % |
| Others | 51,00 % |
| Main positions |
| Thai Beverage PCL | 3,05 % |
| Tencent Holdings Ltd | 2,69 % |
| Taiwan Semiconductor Manufacturing Co Ltd | 2,65 % |
| Want Want China Holdings Ltd | 2,38 % |
| Fomento Economico Mexicano SAB de CV ADR repr 10 units of 10 shs B + 20 shs D | 2,35 % |
Strategy
Investment objective and policy
The fund seeks long-term capital appreciation by investing in emerging market equities and bonds.The equity allocation can vary between 60% and 100%. The bond allocation results from the lack of opportunities on the equity side. The structure of this fund is not linked to a benchmark index, but derives from the addition of individual investment opportunities. The equity investments are based on the principles of "business-like investing". This approach implies that the fund manager considers every investment like a stake in a business with a long-term investment horizon. This means that he is on the look-out for quality companies with a tangible competitive advantage that results in high levels of profitability and strong potential for free cash flow generation. Great importance is also attached to company valuation. The fund only invests in a company when its share price provides a safety margin compared to its intrinsic value. This sub-fund is also available denominated in USD with the identical investment policy (LU0887931029).
Management report - 2d Quarter 2019
The emerging markets equity index, the MSCI Emerging Markets NR, posted a decline of 0.6% (in EUR) in the second quarter of 2019. Over the same period, the fund (retail class B share) was down 0.5% in EUR. The quarter was marked by a significant correction of -8.8% in EUR in May (-4.9% for the fund) and a rebound in June, ending the quarter virtually unchanged. The correction was triggered by a resurgence of trade tensions between the United States and China. The Trump government has blacklisted Huawei and US companies are now barred from selling key components to the Chinese telecoms giant. The United States threatened to raise customs tariffs on Chinese imports and China responded by threatening to do the same to American imports. The market rebound in June was prompted by the central banks. The latest signals from the President of the ECB and Chairman of the Federal Reserve boosted global equities. Mario Draghi is planning new stimulus measures due to the prevailing absence of inflation and Jerome Powell is assessing the possibility of a cut in interest rates because trade risks are casting gloom over the economy and inflation remains sluggish. In terms of sectors, financials made the most headway, followed by consumer staples. The weakest sector was healthcare. No new positions were added to the portfolio during the quarter. On the sale side, the manager sold the commercial fishing company Oceana Group, a spin-off from Tiger Brands. Yungtay Engineering was sold after the successful takeover by Hitachi. At the end of June, the allocation to equities came to 79%, virtually unchanged from the start of the year.
General information
| Net Asset Value |
| Calculated | Every business day |
| NAV class B capitalisation shares (19/08/2019) | 99,34 USD |
| CODES | Internal capitalisation code : 13974046
ISIN capitalisation code : LU0887931029
WKN capitalisation code : A1KCRG
|
| Net assets (million) | 505,48 USD |
| Launch date | 24/02/2013 |
