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: 27.09.2022)
NAV: EUR 159.46 (23.09.2022)
Rolling performance (23.09.2022)
|23.09.2021 - 23.09.2022||-14.74%||-0.49%|
|23.09.2020 - 23.09.2021||6.35%||-0.56%|
|23.09.2019 - 23.09.2020||-1.72%||-0.41%|
|21.09.2018 - 23.09.2019||4.88%||-0.38%|
Annualized performance (23.09.2022)
|Since Inception p.a.||1.97%||0.00%|
Cumulative performance (23.09.2022)
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||10.00% (with High Water Mark)|
|Total expense ratio (TER)||1.30% (31.08.2022)|
|Legal form||SICAV Luxembourg jurisdiction|
|SFDR category||Article 8|
Key data (31.08.2022, base currency EUR)
|No. of positions||103|
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 -2.0% in August with a volatility of 8.8%. During the month, the MSCI World Equity Index lost 4.3%, the JP Morgan Global Government Bond Index declined -2.8% and commodities fell 2.7%, all figures in euro hedged terms.
August started well but the confirmation of the Fed's hawkish stance at Jackson Hole caused both risk-on and risk-off assets to correct rapidly. The main fund performance contributors were non-government bonds (-0.06%), equities (-0.13%), foreign exchange (-0.28%) and government bonds (-1.51%). Both non-government bonds and equities outperformed, supported by the emerging market bond and the biotechnology positions, respectively. The government bond strategy was impacted by the 54 bps widening of the US 10 year treasury yield from 2.65% to 3.19%. The forex strategy reflects the 100% EUR hedged neutral portfolio and was affected by the 1.66% rise of the USD vs the EUR.
During the month, we slightly raised the long term government bond and equity exposures from 44% to 46% and from 31% to 32%, respectively. We took some profits on the non government bond positions following the July/mid-August rally to maintain the allocation at 24%. The total portfolio duration remained at 3.7 years vs the long term average of 3.8. The main hedges of the fund are the 46% US 10y treasury position and the 4% gold exposure.
We amended the scenarios on August 18 as follows:
Scenario 1, weight 30%: Inflation peaks and interest rate expectations stabilize. Inflation will likely peak when the main commodity prices, such as oil, copper and wheat, fall back to more sustainable levels. Also, the supply chain disruptions caused by the Chinese COVID-19 lockdowns and the war in Ukraine are gradually being resolved. The Fed can be more dovish. This is positive for equities and high yield bonds, slightly negative for government bonds.
Scenario 2, weight 40%: Economic growth remains positive but corporate profitability deteriorates as operating margins fall. Inflation is likely to peak due to falling commodity prices, but at the same time becomes more entrenched at around 5%. Even though the world economy will not enter into a recession yet, equity markets consolidate. This is neutral to slightly positive for government and high yield bonds.
Scenario 3, weight 30%: The likelihood of a recession is increasing. Corporate operating margins fall. Energy supply disruptions in Europe are very likely this winter due to the shift away from Russian oil and gas. Inflation remains elevated and central banks cannot ease monetary policy aggressively. This scenario is negative for equities and high yield bonds. Government bonds remain in a negative trend, but can offer a good hedge in case of a market correction.
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