DJE - Euro Renten XP (EUR)

DJE - Euro Renten XP (EUR) Header Image
Minimum investment: 3,000,000 EUR
ISIN:
LU0211481055
As at:
16/09/2019
Bid:
1011.85 EUR
Offer:
1011.85 EUR

Monthly Commentary

In August the trade conflict between the US and China flared up again with the imposition of new tariffs and the extension of existing tariffs (USA) as well as the imposition of an import ban on agricultural products, a significant devaluation of the Yuan and the introduction of new tariffs (China). In an economic situation that was already weakening these steps ensured that the equity markets continued to come under pressure and that government bonds were able to continue their price gains. In Europe the probably unregulated exit of Great Britain from the EU on 31 October also contributed to this. The yield on 10-year German government bonds fell from -0.44% to -0.70% in August reaching an all-time low of -0.73% in the meantime. The yield of its Italian counterparts fell 55 basis points to 0.99%. Although the ECB did not lower interest rates the market expects further expansionary monetary policy measures. High-quality European corporate bonds performed well despite the fall in European equities in August with yields narrowing from 0.33% to 0.23%. Yields on high-yield European bonds also fell by twelve basis points to 3.47% at the end of the month. In this market environment the DJE - Euro Renten rose 1.34%. The fund was able to benefit from the sharp decline in yields on government bonds due to the further weakening of the economy. In particular the sharp narrowing of yields on Italian government bonds which recorded strong price gains after the formation of the new government made a pleasing contribution to the fund's performance. Over the course of the month the fund management slightly increased the proportion of public sector bonds and slightly expanded corporate bonds from the utility sector. Regionally the German and Italian proportion rose slightly. The bond ratio rose from 94.05% to 96.99%. Therefore the modified duration fell slightly from 4.93% to 4.87%.

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.