DJE - Asia High Dividend PA (EUR)

DJE - Asia High Dividend PA (EUR) Header Image
ISIN:
LU0374456654
As at:
24/04/2019
Bid:
213.71 EUR
Offer:
224.40 EUR

Monthly Commentary

In March the international stock markets continued their recovery although the upward momentum slowed down compared to the two previous months. The international equity markets were supported monetary. The European Central Bank announced a two-year programme for long-term interest-free refinancing loans (TLTRO). The US Federal Reserve (Fed) signaled that it is unlikely to raise key interest rates again this year. China's government, on the other hand, had announced a more expansionary fiscal policy and lowered value-added tax in the industrial and construction sectors in March. It also raised its deficit target for 2019 from 2.6% to 2.8%. An agreement in the trade conflict between the US and China had not been found yet but the markets continued to assume a positive outcome of the talks between the US and China. The Chinese Caixin Purchasing Managers Index recovered and rose from 48.3 to 49.9. The DJE - Asia High Dividend gained 2.89% in this market environment. Its benchmark index (MSCI Daily TR AC Far East Ex Japan) rose 2.36%. The better performance of the fund compared to the benchmark index is mainly due to high value contributions of selected, partly highly weighted individual stocks and also to the overweighting of the real estate sector. At sector level real estate, energy, non-cyclical basic consumption and telecommunications in particular performed above average within the Asian investment region in March. The DJE - Asia High Dividend was overweighted or more strongly positioned in the real estate sector and in defensive consumption while the telecommunication sector was underweighted and the energy sector equally weighted. The utility, industrial and healthcare sectors in particular performed below average in March. In the first two sectors the fund was slightly overweighted or invested more heavily and underweighted in the healthcare sector. Overall, the weighting of the sectors had a slightly positive effect on fund prices in March compared to the benchmark index. Viewing individual titles the highest performance contributions in March came from investments in the highly-weighted real estate stocks Hopewell Holdings and Champion REIT from Hong Kong as well as from positions in the Indian financial value Housing Development Finance which is also strongly weighted. In addition the sporting goods producer Anta Sports and the wind turbine manufacturer and operator Xinjiang Goldwind - both located in China - also made valuable contributions to the fund's performance. On the other hand, investements in the Chinese chemical company Kingboard Laminates and the Chinese insurance group PICC had a negative impact. During the month the fund management reduced the investment ratio from 98.81% (previous month) to 94.34%. At sector level the fund management reduced the weighting of the automotive, insurance and real estate sectors. In return the fund increased its exposure to the commodities, energy, food and pharmaceutical sectors. Regionally the proportion of Chinese stocks listed in Hong Kong was reduced and the proportion of Japanese stocks slightly increased. The remaining country allocation remained largely unchanged. There were no currency hedges at the end of the month.

Legal Information / Disclaimer:

Figures subject to revision by the auditors on the reporting dates. The published information does not constitute investment advice or a recommendation, but only provides a brief summary of the key features of the fund. The current sales documents (Key Investor Information Document, prospectus, annual report and – if the annual report is older than eight months – the semi-annual report) for the respective investment funds form the sole basis for the purchase of securities. The sales documents are available at no charge at the respective fund company, the distribution company or at www.dje.de. All data and estimates are indicative and may change at any time. This information is based on our assessment of current legal and tax regulations. The data were carefully compiled, but no guarantee can be given for the accuracy of such information. All data are subject to change. The performance is calculated using the BVI (Bundesverband Investment und Asset Management e.V.) method, i.e. without taking into account the subscription fee. Individual expenses such as fees, commissions and other charges are not taken into account in the data and would have a detrimental effect on the performance if they were. The subscription fees payable reduce the invested capital as well as the performance depicted. Data on past performance are not a reliable indicator of future performance. The tax treatment depends on the individual circumstances of the investor and may be subject to change. Please see the prospectus for more detailed tax information. In connection with brokering fund units, the Dr. Jens Ehrhardt Group and its distribution partners may receive reimbursements from costs charged to the funds by the investment companies in accordance with the respective prospectuses. The units of this fund that are issued may only be sold or offered for sale in jurisdictions in which such offer or sale is permitted. Therefore the units of this fund may not be offered for sale or sold in the USA, or offered for sale or sold to or for the account of US citizens or US persons resident in the USA. This document and the information it contains may not be distributed in the USA. The distribution and publication of this document and the offer or sale of units may also be subject to restrictions in other jurisdictions.

*) © 2016 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.