The fund aims to achieve long-term capital growth from a diversified portfolio of listed Asian equities, excluding Japan. It seeks to outperform MSCI All Country Asia ex-Japan net total return (USD) Index over full market cycles, without undue risk to the capital.
- With a higher risk profile
- Seeking long-term capital growth
- Able to withstand investment volatility in the short to medium term
Luxembourg, Singapore, South Africa
MSCI All Country Asia Ex-Japan Net Total Return (USD) Index
Longer than five years.
27 July 2021
|Initial investment amount||
US$10,000 or equivalent
|Subsequent subscription amount||
US$1,000 or equivalent
To comply with UCITS regulations. The fund is prohibited to enter into total return swaps, securities lending transactions, repurchase transactions, 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 Asia ex-Japan equities that present long-term investment value. It may include equities listed outside Asia but whose business is predominantly focused on the Asia ex-Japan region.
The fund is actively managed and not constrained by the benchmark in its portfolio positioning and may have a substantial proportion of its portfolio invested in Chinese securities.
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||
High in periods shorter than five years. Subject to market volatility, lower in longer term.
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.
|Year||Fund Return %||All Country Asia ex-Japan %|
|2021 (from 27/Jul)||-7.9||-4.0|
|2022 (to 31/Oct)||-26.6||-32.4|
|Security description||Asset class||Country of Listing||Portfolio weight %|
|Trip.com Group Ltd||Equity||HK||7.7|
|Alibaba Group Holding Ltd||Equity||HK||6.7|
|JD.Com Inc - CL A||Equity||HK||6.6|
Monthly Commentary - October 2022
- Global equities (+6.0%) rose, with US bourses (+7.9%) outperforming despite rising bond yields — the US Dow Jones Industrial Average posted its best October on record as third-quarter US GDP surprised at an annualised rate of 2.6%
- Emerging markets (-3.1%) underperformed, with Asia ex-Japan bourses (-6.1%) led lower by a steep decline in Chinese (-16.8%) equities — President Xi’s consolidation of power at the recent National Party Congress coupled with little guidance on damaging zero-COVID policies triggered the sell-off
- South Korea (+8.3%) rose as foreign inflows into battery stocks and a stronger Korean Won buoyed local markets — while Filipino (+9.1%) equities gained as investors rewarded a stronger domestic currency, robust financial sector earnings and an affirmation of the country’s investment grade “BBB” rating from Fitch
- India (+2.6%) posted gains as the country’s interest rate sensitive sectors were boosted by central bank indications of a slowing rate hike cycle ahead — mirroring the increasing rhetoric of the less hawkish Fed and ECB
- In Asia ex-Japan sectors, information technology (+1.2%) and energy (+1.3%) outperformed — while consumer discretionary (-15.8%) and communication services (-17.4%) posted the largest declines
- The fund (-11.4%) underperformed the MSCI Asia ex-Japan benchmark (-6.1%) on the higher than benchmark allocation to the sectors most affected by the China sell-off — investments in JD.com (-26.9%), Alibaba (-21.2%), Baidu (-34.2%) and Tencent (-22.8%) were the largest detractors
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