Bellevue Global Macro (Lux)
The world in one portfolio - all-weather strategy with absolute return approach
The fund seeks consistent positive annual returns over the business cycle
UCITS V regulated absolute return strategy with daily liquidity
Please find a more detailed description of share classes here.
The Fund’s objective is to generate consistent absolute returns of 5-7% p.a. in any market environment with an annualized volatility of 5-7%. The Fund actively invests globally in several asset classes with the possibility to build up long- and short exposure, maintaining a constant level of risk over time.
Indexed performance (as at: 16.05.2022)
NAV: USD 138.32 (13.05.2022)
Rolling performance (13.05.2022)
|12.05.2021 - 13.05.2022||-10.96%||0.16%|
|13.05.2020 - 12.05.2021||10.15%||0.24%|
|13.05.2019 - 13.05.2020||-2.28%||1.90%|
|11.05.2018 - 13.05.2019||5.35%||2.61%|
Annualized performance (13.05.2022)
|Since Inception p.a.||1.49%||1.15%|
Cumulative performance (13.05.2022)
Facts & Key figures
The Fund’s objective is to generate consistent absolute returns of 5-7% p.a. in any market environment with an annualized volatility of 5-7%. The Fund actively invests globally in several asset classes with the possibility to build up long- and short exposure, maintaining a constant level of risk over time. A proprietary global macro screening engine supports an experienced team of specialists to express their market views and to define the most successful top down strategies. Risk is an integrated part within the entire investment process. By targeting an explicit risk level on a daily basis the risk profile is maintained over time. The portfolio is mainly invested in liquid assets, the Fund offers daily liquidity.Show moreShow less
Investment suitability & Risk
|Investment Manager||Bellevue Asset Management AG|
|Custodian||RBC Investor Services, Luxembourg|
|Fund Administrator||RBC Investor Services, Luxembourg|
|Year end closing||30. Jun|
|NAV Calculation||Daily "Forward Pricing"|
|Cut of time||15:00 CET|
|Subscription Fee (max.)||5.00%|
|Performance Fee||15.00% (with High Water Mark)|
|Total expense ratio (TER)||1.94% (29.04.2022)|
|Legal form||SICAV Luxembourg jurisdiction|
|SFDR category||Article 8|
Key data (29.04.2022, base currency EUR)
|No. of positions||101|
Opportunities & Risks
- Fund targets to achieve consistent absolute returns across the economic cycle
- Systematic investment approach – based on proprietary models developed over the past 23 years
- Use of leverage is possible, the net exposure is usually between 120% - 150%.
- Possibility to make short investments if the market environment offers appropriate opportunities to do so.
- UCITS V regulated absolute return strategy with daily liquidity.
- The fund may engage in derivatives transactions. The increased opportunities gained come with an increased risk of losses.
- The fund may invest part of its assets in bonds. Their issuers may become insolvent.
- The investment in fixed-interest securities gives rise to interest rate risks.
- Investing in emerging markets entails the additional risk of political and social instability.
- The fund invests in foreign currencies, which means a corresponding degree of currency risk against the reference currency.
Review / Outlook
The fund returned -3.3% in April with a volatility of 6.9%. During the month, the MSCI World Equity Index lost 8.4%, the JP Morgan global government bond index lost 0.3% and commodities rose 5.1%, all figures in euro hedged terms.
April was difficult for most asset classes, with both treasuries and equities falling. The main performance contributors are equities (-1.36%), foreign exchange (-0.75%), government bonds (-0.71%), and non government bonds (-0.60%).
The equity strategy suffered along with overall equity markets. We note the resilient performance of dividend futures. We appreciate these investments in the current environment because dividends adjust with inflation. The loss of the forex strategy reflects the fact that our neutral portfolio is 100% euro hedged and suffers when the USD rises. The EUR/USD at 1.05 marks a record high for the USD not reached since December 2016. Government bonds suffered from a continued sell-off. The US 10y treasury yield rose by 60 bps, on the top of last month’s 51 bps, to 2.93%.
During the month, we decreased the equity exposure from 29% to 28%. We raised the long term government bond exposure from 28% to 30% and the non-government bonds exposure from 21% to 22%. We maintained a low portfolio duration at 2.4 years vs. the long term average of 3.9. The main hedges of the fund are the 35% exposure to the US 10y treasury future and the 3.6% exposure to gold.
Following the April 28 review, we maintained our scenarios:
Scenario 1, weight 20%: The uncertainty tied to the Russia-Ukraine conflict dissipates, ample liquidity and lack of alternatives cause equity markets to recover. Commodity prices will fall back and inflation is likely to peak in March in the world. This is positive for equities and high yield debt, and negative for government bonds and the USD.
Scenario 2, weight 50%: Tug of war between positive geopolitical news and deteriorating economic conditions translates into a period of market consolidation. On the positive side, geopolitical tensions are abating. However, the impact of economic sanctions, rising commodity prices, additional supply-chain bottlenecks and a potential China’s economic slowdown is yet to be seen in economic numbers. Equity markets consolidate with strong sector rotations. This is negative for government bonds and neutral for high yield bonds.
Scenario 3, weight 30%. Significant world economic slowdown or even recession translates into difficult equity markets. A large number of unfavorable factors are affecting the economic recovery. High commodity prices and economic sanctions will have a significant impact on world economies. Rising inflation will affect consumption and force central banks to raise interest rates. This scenario is negative for equities and high yield bonds and positive for government bonds.
Past performance is not a reliable indicator of future results and can be misleading. As the subfund is denominated in a currency that may differ than an investor’s base currency, changes in the rate of exchange may have an adverse effect on prices and incomes. Performance is shown net of fees and expenses for the relevant share class over the reference period. All performance figures reflect the reinvestment of dividends and do not take into account the commissions and costs incurred on the issue and redemption of shares, if any. Individual costs are not taken into account and would have a negative impact on the performance. With an investment amount of EUR 1,000 over an investment period of five years, the investment result in the first year would be reduced by the front-end load of up to EUR 50 (5%) as well as by additional individual custody charges. In subsequent years, the investment result would also be reduced by the individual custody account costs incurred. The reference benchmark of this class is used for performance comparison purposes only (dividend reinvested). No benchmark is directly identical to a subfund, thus the performance of a benchmark is not a reliable indicator of future performance of the subfund it is compared to. There can be no assurance that a return will be achieved or that a substantial loss of capital will not be incurred. All figures in base currency in %, calculated by the total return / BVI method.Show moreShow less