Foord Global Equity Fund (Luxembourg)
For long-term investors in global equity securities
The fund aims to achieve optimum risk-adjusted returns by investing in a diversified portfolio of global equities and related securities. It seeks to outperform the MSCI All Country World Net Total Return Index after fees, without assuming greater risk.
- With a moderate to high risk profile
- Seeking long-term capital growth
- And able to withstand investment volatility in the short to medium term.
Belgium, France, Japan, Luxembourg, South Africa, Switzerland, United Kingdom.
|Year||Fund Return %||Benchmark Return %|
|2013 (from 02/Apr)||14.1||15.8|
|2022 (to 31/May)||-9.9||-12.8|
MSCI All Country World Total Return Index.
Longer than five years.
2 April 2013
|Initial subscription amount||
US$10,000 or equivalent
|Subsequent subscription amount||
US$ 1,000 or equivalent
Complies with UCITS regulations. In addition, the Fund cannot enter into total return swaps, securities lending transactions, repurchase transactions or reverse repurchase transactions or any other securities financing transactions. Only listed derivatives can be used for efficient portfolio management.
A roll-up fund with income being reinvested in the portfolio.
Zero income yield as it does not distribute its income.
Investing in quality global equities that presents compelling long-term value. Global equity exposure typically between 90% and 100%, with balance invested in cash and money market instruments.
The fund is actively managed and not constrained by the benchmark in its portfolio positioning.
The fund is priced in US dollars. Among others, investment value is subject to foreign exchange risk, market risk and interest rate risk, and credit risk of the issuers.
|Risk of loss||
Moderate to high in periods shorter than five years. Subject to market volatility, lower in longer term.
|Security description||Asset class||Country of Listing||Portfolio weight %|
|Tencent Holdings Ltd||Equity||HK||4.0|
|JD.Com Inc - ADR||Equity||US||3.7|
|Alibaba Group Holding Ltd||Equity||HK||3.4|
Monthly Commentary – May 2022
- Global developed market equities (+0.1%) were volatile, with broad-based selling culminating midmonth in markets’ worst one-day return in nearly two years — followed by a final week rally, driven (ironically) by hopes for more dovish US Federal Reserve policy on prospects of slowing growth
- UK (+1.7%) and European (+0.7%) bourses led developed markets — with a quarter of its market in energy and mining stocks and a further third in defensive sectors (including healthcare and consumer staples), UK equities have bested nearly all developed markets this year
- Emerging markets (+0.4%) rose modestly, led by commodity-driven and export-oriented Brazilian equities (+8.2%), which remains one of the best performing markets this year — Indian equities (-5.8%) fell as higher commodity prices weigh on growth expectations
- The energy (+12.0%) and financial (+2.0%) sectors were the best performing sectors — the energy sector rose on the back of continued oil price rises (+12.4%) while financials remain buoyed by the endowment effect of rising interest rates
- Concerns that persistently high inflation has begun to weigh on consumer balance sheets led to the underperformance of consumer sectors — the consumer discretionary (-2.9%) and consumer staples (-3.2%) sectors weighed on index returns
- Oil (+12.4%) has now posted double-digit price increases in four of the last six months — largely on supply uncertainty due to prospects of further Russian sanctions
- Precious metals including gold (-3.5%) and silver (-7.1%) declined, giving up much of their 1Q22 gains — the real rates now available for select fixed-interest instruments increase the opportunity cost of holding the metals
- The fund outperformed the index — driven by communication services, consumer staples and industrials holdings
Management Fee (Percentage of the applicable Net Asset Value per share)
Class R: 0.85% + 15% of outperformance over the benchmark
The annual fee comprises a fixed standard fee plus a performance fee, subject to an overall minimum
The annual fee may be adjusted up daily (subject to fulfilling the performance conditions) by the performance fee, calculated as the difference between the portfolio performance and the benchmark return for the same period multiplied by the performance fee sharing rate
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