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: 09.12.2022)
NAV: EUR 167.48 (08.12.2022)
Rolling performance (08.12.2022)
|08.12.2021 - 08.12.2022||-7.12%||-0.15%|
|08.12.2020 - 08.12.2021||-2.73%||-0.56%|
|06.12.2019 - 08.12.2020||2.10%||-0.43%|
|07.12.2018 - 06.12.2019||7.49%||-0.39%|
Annualized performance (08.12.2022)
|Since Inception p.a.||2.33%||0.02%|
Cumulative performance (08.12.2022)
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 around 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. The Fund takes ESG factors into consideration while implementing the aforementioned investment objectives.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)||1.89% (30.11.2022)|
|Legal form||Luxembourg UCITS V SICAV|
|SFDR category||Article 8|
Key data (30.11.2022, base currency EUR)
|No. of positions||104|
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% and 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 4.0% in November with a volatility of 9.7%. During the month, the MSCI World Equity Index gained 6.8%, the JP Morgan Global Government Bond Index increased 0.3% and commodities lost 1.7%, all figures in euro hedged terms.
The main performance contributors were: non-government bonds 1.19%, government bonds 1.02%, equities 1.00% and foreign exchange 0.64%. Both risk-on and risk-off strategies contributed positively as financial markets went on anticipating more dovish central banks. Within non-government bonds, emerging markets outperformed. Government bonds gained thanks to the -44 bps yield compression in the US 10-year treasury to 3.61%. The equities strategy was supported by the dividend futures. The forex strategy, where we hold our foreign exchange hedges, benefited from the 5.05% loss of the USD vs EUR.
During November, we took some profits and lowered the equity exposure from 36% to 35% and the long-term government bonds from 46% to 38%. Non-government bonds increased from 25% to 26% mainly due to performance. We maintained the allocation as there is still significant value. The total portfolio duration was 3.2 years vs the long-term average of 3.8. The main hedges of the fund are the 38% US 7-year treasury position and the 4% gold exposure.
We modified our scenarios on November 16th as follows:
Scenario 1, weight 40%: US inflation confirms it has peaked, the Fed raises interest rates until December 2022, then signals a pause. A change in stance by the Fed would cause equity markets to rally. This is positive for equities and non-government bonds, neutral for government bonds, and negative for the USD.
Scenario 2, weight 40%: Inflation peaks but the Fed remains hawkish. We witness an economic recession in Europe and a strong economic slowdown in Asia. US economic growth slows down but remains positive. We think that an economic slowdown is largely, but not entirely discounted by the market correction that has already taken place. It is possible that markets will suffer a further down leg. This is slightly positive for equities and non-government bonds and slightly negative for government bonds.
Scenario 3, weight 20%: Persisting inflation, a steeper recession, global trade disruption due to the Ukraine conflict and US-China trade tensions precipitate a market correction. A global recession with inflation remaining elevated would limit central bank from acting decisively. Under this scenario, we would experience an equity market and a non-government bond correction. Government bonds, the USD and possibly gold would provide some limited shelter.
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