Objective

Seeks capital appreciation through investment in European equities with market capitalization greater than 65 million euros. Focuses exclusively on developed European markets.

Strategy

Diversify portfolio using strict controls on the level of investment in any particular industry to maximise the impact of individual stock selection – assess relative earnings strength and valuation discrepancies within industry groups, based upon the premise that stock markets are reasonably, but not perfectly, efficient; investor sentiment is considered through analysis of earnings revisions, analyst recommendations and price behavior

Fund Facts
Asset Manager
  • Degroof Petercam Asset Management, Brussels, Belgium
Benchmark MSCI Europe Index
Fund Inception Date July 12, 2010
Mimimum Investment €50,000
Expense Ratio 1.55%
ISIN IE00B3DD4Y80

Annual Average Total Returns
(%) as of 30/09/2021

Trailing 3
Months
1
Yr
3
Yrs
5
Yrs
10
Yrs
Since
Inception
Inception
Date
European Equity Fund 0.84 28.75 3.35 6.07 8.91 6.12 9/7/2010
MSCI Europe Index 0.83 29.48 8.51 8.82 10.39 8.63

Characteristics as of 30/09/2021

Statistics Fund Index
Weighted Median Market Cap € 17.1B € 48.2B
Average Price/Book 1.3x 2.1x
Average Price/Earnings 13.8x 17.3x
Average Yield 2.3% 2.5%
Beta (ex ante) 1.1 N/A
Active Share 78.3 N/A
5 Yr Earnings Rate 2.9% 0.0%
Ten Largest Portfolio Holdings 17.2% 6.2%
# Securities in Portfolio 125 432
Turnover Rate (12 Mo) 82.3 N/A
Fund Size € 143.3MM
Sector Fund Index Diff.
Communication Services 4.1 3.8 0.3
Consumer Discretionary 11.8 11.7 0.2
Consumer Staples 12 12.5 -0.6
Energy 5.2 4.8 0.4
Financials 17.6 16 1.6
Healthcare 12.5 14.4 -1.9
Industrials 14.7 14.9 -0.2
Information Technology 8.5 8.6 -0.2
Materials 7.6 7.8 -0.2
Real Estate 1.3 1.3 0.0
Utilities 4.3 4.1 0.2
Cash 0.4 0.0 0.4
Country Fund Index
France 29.5 16.2
Germany 14.4 14.1
Italy 3.8 3.3
United Kingdom 15.4 19.7
Other Developed Europe 36.9 46.3
Other Developed Asia 0.0 0.5
Top 10 Holdings % Weight
TotalEnergies SE 2.9
Siemens AG 2.0
OMV AG 1.8
SAP SE 1.7
L'Oreal SA 1.6
UCB S.A. 1.5
Alcon AG 1.5
Pernod Ricard SA 1.5
QIAGEN NV 1.4
EssilorLuxottica SA 1.4
  • 2Q 2021 Performance Review

    12-Month Review

    • Excess return is generated through stock selection. Outperformance was concentrated in Industrials and Financials. Sectors that adversely affected results were Information Technology and Consumer Discretionary.
    • Negative impact from Information Technology was due to a combination of owning cheaper names and not owning expensive names.

    3-Month Review

    • Stock selection within sectors contributed to almost all excess returns.
    • Overweight to the lowest Price/Book quintile and underweight to the highest P/B were the primary driver of underperformance.
    • Stock decisions in Consumer Discretionary, Information Technology, and Health Care were the primary detractors to relative performance.

    Current Positioning

    •  The weighted average market cap of the portfolio is less than half that of the benchmark index.
    • The overall P/E and P/B ratios are lower than the index.
    • Sector weights do not deviate significantly from the index.
    • Excess return is generated by quantitative and fundamental stock analytics within sectors.
  • Fund Fact Sheet

    PDF
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