Robeco Global DM Conservative Equities AUD Hedged aims to deliver equity returns at a substantial lower downside risk than that of the MSCI World Index net dividends reinvested, in AUD Hedged (‘Reference Index’). The portfolio aims to achieve the highest long-term Sharpe ratio (the average return earned in excess of the risk-free rate per unit of volatility or total risk), delivering returns equal to or greater than its Reference Index over a full market cycle.
The Robeco Emerging Conservative Equities Fund (AUD) – Class A (the ‘Fund’) returned 6.13% (net) for the quarter, outperforming the MSCI Emerging Markets NR Index (AUD unhedged) return of 5.31% by 0.82%. The strategy also outperformed the Minimum Volatility Index.
Generic low-risk strategies lagged in the market upswing due to their defensive positioning. However, the Fund managed to outperform due to its preference for defensive stocks with attractive valuations and income levels. This was particularly driven by the portfolio’s preference for high income (high dividend) low-risk stocks, while the contribution from momentum was less pronounced.
What is Robeco Global DM Conservative Eqs AUD H Robeco Global DM Conservative Eqs AUD H is an Managed Funds investment product that is benchmarked against Developed -World Index and sits inside the Foreign Equity - Currency Hedged Index. Think of a benchmark as a standard where investment performance can be measured. Typically, market indices like the ASX200 and market-segment stock indexes are used for this purpose. The Robeco Global DM Conservative Eqs AUD H has Assets Under Management of 0.00 M with a management fee of 0.65%, a performance fee of 0 and a buy/sell spread fee of 0.22%.
How has the investment product performed recently?
The recent investment performance of the investment product shows that the Robeco Global DM Conservative Eqs AUD H has returned 1.14% in the last month. The previous three years have returned 3.93% annualised and 13.37% each year since inception, which is when the Robeco Global DM Conservative Eqs AUD H first started.
How is risk measured in this investment product?
There are many ways that the risk of an investment product can be measured, and each measurement provides a different insight into the risk present. They can be used on their own or together to perform a risk assessment before investing, but when comparing investments, it is common to compare like for like risk measurements to determine which investment holds the most risk. Since Robeco Global DM Conservative Eqs AUD H first started, the Sharpe ratio is 0.41 with an annualised volatility of 13.37%. The maximum drawdown of the investment product in the last 12 months is -9.4% and -22.26% since inception. The maximum drawdown is defined as the high-to-low decline of an investment during a particular time period.
What is the relative performance of the investment product?
Relative performance is what an asset achieves over a period of time compared to similar investments or its peers. Relative return is a measure of the asset's performance compared to the return to the other investment. The Robeco Global DM Conservative Eqs AUD H has a 12-month excess return when compared to the Foreign Equity - Currency Hedged Index of 18.83% and 1.63% since inception.
Does the investment product produce Alpha over its Peers?
Alpha is an investing term used to measure an investment's outperformance relative to a market benchmark or peer investment. Alpha describes the excess return generated when compared to peer investment. Robeco Global DM Conservative Eqs AUD H has produced Alpha over the Foreign Equity - Currency Hedged Index of 0.88% in the last 12 months and 0.23% since inception.
What are similar investment products?
For a full list of investment products in the Foreign Equity - Currency Hedged Index category, you can click here for the Peer Investment Report.
What level of diversification will Robeco Global DM Conservative Eqs AUD H provide?
Robeco Global DM Conservative Eqs AUD H has a correlation coefficient of 0.9 and a beta of 0.56 when compared to the Foreign Equity - Currency Hedged Index. Correlation measures how similarly two investments move in relation to one another. This establishes a 'correlation coefficient', which has a value between -1.0 and +1.0. A 100% correlation between two investments means that the correlation coefficient is +1. Beta in investments measures how much the price moves relative to the broader market over a period of time. If the investment moves more than the broader market, it has a beta above 1.0. If it moves less than the broader market, then the beta is less than 1.0. Investments with a high beta tend to carry more risk but have the potential to deliver higher returns.
How do I compare the investment product with its peers?
For a full quantitative report on Robeco Global DM Conservative Eqs AUD H and its peer investments, you can click here for the Peer Investment Report.
How do I compare the Robeco Global DM Conservative Eqs AUD H with the Developed -World Index?
For a full quantitative report on Robeco Global DM Conservative Eqs AUD H compared to the Developed -World Index, you can click here.
Can I sort and compare the Robeco Global DM Conservative Eqs AUD H to do my own analysis?
To sort and compare the Robeco Global DM Conservative Eqs AUD H financial metrics, please refer to the table above.
Has the Robeco Global DM Conservative Eqs AUD H been independently verified by SMSF Mate?
This investment product is in the process of being independently verified by SMSF Mate. Once we have verified the investment product, you will be able to find more information here.
How can I invest in Robeco Global DM Conservative Eqs AUD H?
How do I get in contact with the Robeco Global DM Conservative Eqs AUD H?
Comments from SMSF Mates
SMSF Mate does not receive commissions or kickbacks from the Robeco Global DM Conservative Eqs AUD H. All data and commentary for this fund is provided free of charge for our readers general information.
Performance Commentary - July 31, 2022 The fund lagged a bullish equity market due to the bias towards defensive sectors such as health care, telecom and insurance stocks, while having an underweight in tech and platform stocks such as Amazon, Tesla and Apple. Positive contributions mainly came from holding gas station operator Murphy USA and from US industrial W.W. Grainer, as both stocks surged on 2Q earnings and positive forward guidance. From a factor perspective, value and low-risk lagged in the cyclical growth rally.
Performance Commentary - June 30, 2022 The Fund lost less than the index due to our defensive positioning in most sectors. Positive individual stock contributes were numeruous and well-balance. For example,holding abbive, General Milles,Merck And Co Verizon and Autozone helped performance,showing positive.or flat returns in a failing market. From a factor perspective low-risk had a significantly positive impact,while the combined contribution of value and momentum was highly positive as wel.l
Performance Commentary - April 30, 2022 The strategy performed significantly better than the market in last month’s volatile market environment. Positive contributors were numerous, such avoiding the weak performance of Amazon NVIDIA and Tesla, and holding low-risk namers such as Merck & Co Target Murphy USA, P&G, Nestle and Waste Management. Detractors were limited,main drag on performance was the underweight
Performance Commentary - September 30, 2021 The strategy fell in line with the market last month. Main positive contributions came from the Communication Services sector: the fund profited from holding defensive stocks such as KDDI (Japan), while avoiding the weak performance of Facebook and Alphabet. Main detractors were the underweight in the Energy sector, as oil prices rose, and the investment in Australian mining company Fortescue, as iron ore prices collapsed. From a factor perspective, low-risk and momentum contributed negatively, but the value factor had a positive impact on relative performance.
Performance Commentary - May 31, 2021 The strategy outperformed the market last month, as stock selection within most sectors, most notably Consumer Discretionary ( holding Targett while avoiding Amazon and Tesla ) and information Technology ( holding Oracle and Cisco while avoiding Mastercard and Visa ) Defensive value stocks clearly outperformed cyclical growth stocks.
From a factor perspective, value has the largest, and positive, impact while low-risk and momentum were slighthly negative
Performance Commentary - March 31, 2021 The strategy beat the market by a significant margin last month, as the low-risk factor was strong, as was the value factor, which explains why we beat MSCI MinVol as well. Main positive contributors came from holding low-beta technology and consumer stocks such as Oracle, Cisco, Home Depot, Target and AutoZone, which offer decent growth rates but at more attractive valuations than Big Tech and the high-flying internet stocks. As a cyclical recovery seems to be priced in and as the fastest-growing internet and tech stocks are trading at demanding valuations, we think it is time for defensive stocks to take center stage again, especially in more volatile periods.
Product Snapshot
Product Overview
Performance Review
Peer Comparison
Product Details