DJE - Gold & Ressourcen I (EUR)

DJE - Gold & Ressourcen I (EUR) Header Image
Minimum investment: 75,000 EUR
ISIN:
LU0159550820
As at:
04/06/2020
Bid:
158.42 EUR
Offer:
158.42 EUR

Monthly Commentary

In April, the price of the DJE - Gold & Resources rose 31.86%. Its benchmark index (60% Philadelphia Stock Exchange Gold and Silver Index, 20% Reuters/Jeffries CRB Index, 20% MSCI World Materials Sector Index (EUR)) increased 27.70%. Gold mining stocks performed positively in April. The XAU Gold Mining Index rose 44.01% in US dollar terms and 44.45% in euro terms due to the appreciation of the US dollar against the euro in April. As a result gold mine stocks outperformed the gold price itself. The gold price rose 6.93% in US dollar terms and was quoted at USD 1,686.50 per ounce. Calculated in euros the profit of the gold price was higher at 7.68% and EUR 1,539.58 per ounce due to the appreciation of the US dollar. Gold continued its positive trend in April. Gold investments benefited from the increased uncertainty caused by the Corona crisis. According to data from the World Gold Council (WGC), demand for coins, bars and jewelry fell sharply in the first quarter due to the Corona restrictions, especially in Asia. In contrast, gold index funds (ETFs) demanded significantly more gold than in the last 4 years. With 3,185 tons at the end of the first quarter of 2020 the total holdings of gold ETFs reached a historic high. Overall, global demand for gold has therefore risen slightly, while mine operators have experienced production losses as a result of the pandemic and supply has declined. The recent price decline of up to USD 50 at the end of April is likely to be due to expectations of an early return to normal economic activity as more and more countries around the world relax restrictions. In addition, there are hopes of progress in the development of a vaccine or drug against Covid-19, but rapid economic normalization seems illusory as the catastrophic economic figures of recent weeks have shown. The lockdown in many countries around the world brought their economies to their knees and caused lasting damage. The arguments in favor of gold as an alternative currency continue to be the further drop in global interest rates, the sharp rise in public debt, investor uncertainty, the investment crisis and a fall in the value of the most important currencies supported by the central banks. The highest value contributions in April came from positions in the mining companies Newmont Mining (USA), B2Gold (Canada), Agnico Eagle Mines (Canada) and Gold Fields (South Africa) as well as the precious metals trading company Wheaton Precious Metals (Canada). On the other hand, the position of the French producer of industrial gases, Air Liquide, had a negative impact. At the end of April the weighting of gold mining stocks was approximately 74%, compared to 62% previous month. The focus remains on solidly financed producers that generate positive free cash flows even at lower gold prices and also have some growth prospects. Broader commodity/chemical stocks generally underperformed gold mining stocks in April: MSCI World Materials +14.10% and CRB Commodity Index -3.47% - both in euro terms. The fund is currently not invested in bonds. At the end of the month, Australian, Canadian and US dollar denominated stocks were partially hedged.

Legal Information / Disclaimer:

Figures subject to revision by the auditors on the reporting dates. The published information does not constitute investment advice or a recommendation, but only provides a brief summary of the key features of the fund. The current sales documents (Key Investor Information Document, prospectus, annual report and – if the annual report is older than eight months – the semi-annual report) for the respective investment funds form the sole basis for the purchase of securities. The sales documents are available at no charge at the respective fund company, the distribution company or at www.dje.de. All data and estimates are indicative and may change at any time. This information is based on our assessment of current legal and tax regulations. The data were carefully compiled, but no guarantee can be given for the accuracy of such information. All data are subject to change. The performance is calculated using the BVI (Bundesverband Investment und Asset Management e.V.) method, i.e. without taking into account the subscription fee. Individual expenses such as fees, commissions and other charges are not taken into account in the data and would have a detrimental effect on the performance if they were. The subscription fees payable reduce the invested capital as well as the performance depicted. Data on past performance are not a reliable indicator of future performance. The tax treatment depends on the individual circumstances of the investor and may be subject to change. Please see the prospectus for more detailed tax information. In connection with brokering fund units, the Dr. Jens Ehrhardt Group and its distribution partners may receive reimbursements from costs charged to the funds by the investment companies in accordance with the respective prospectuses. The units of this fund that are issued may only be sold or offered for sale in jurisdictions in which such offer or sale is permitted. Therefore the units of this fund may not be offered for sale or sold in the USA, or offered for sale or sold to or for the account of US citizens or US persons resident in the USA. This document and the information it contains may not be distributed in the USA. The distribution and publication of this document and the offer or sale of units may also be subject to restrictions in other jurisdictions.

*) © 2016 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.