DJE - Dividende & Substanz PA (EUR) Header Image
As at:
148.60 EUR
156.03 EUR

Monthly Commentary

In October the international stock markets performed mainly well. The markets were driven above all by expectations of a provisional settlement in the trade conflict between the USA and China although the important issues of subsidies and Chinese state-owned companies were left out. In Europe the British government and the EU surprisingly agreed on a Brexit agreement which also had a positive effect on the mood on the stock markets. Expectations of a further interest rate cut by the US Federal Reserve (Fed) also boosted the equity markets. At the end of October the Fed cut key interest rates by 25 basis points to between 1.50% and 1.75%. Therefore the US dollar depreciated by just under 2% against the euro. On the other hand, the majority of economic indicators in the USA, the euro zone and China declined. In this market environment the value of the DJE - Dividende & Substanz rose 0.38%. Its benchmark index the MSCI World increased 0.12% in euro terms. In October most sectors of the MSCI World performed well but more than a third ended the month down. The highest gains were recorded in the automotive, healthcare, construction & materials and technology sector. On the other hand, the food & beverage, oil & gas, travel & leisure, utilities, media and insurance sectors suffered higher price losses. Positive for the performance of the fund were mainly positions in the strong automotive and construction & materials sector (currently the fund's overweighted investment focus). At the individual security level the strongest value contributions to the overall performance came from the Hong Kong investment company Kingboard Holdings and the US IT group Apple. On the other hand, the overall performance was affected by investments in the weak food & beverage (overweight investment focus of the fund) and oil & gas (currently underweight in the fund) sector. At the level of individual stocks the French food group Danone and the Munich-based payment service provider Wirecard had a particularly negative impact on the overall performance of the fund. During the course of the month the fund management expanded its activities in the construction & materials, automotive, chemical, industrial and insurance sector. In return it reduced its investments in the food & beverages, oil & gas, retail and utilities sectors. Regionally the fund management increased its investments in Europe (including Germany) and the USA. On the other hand, it reduced positions in Switzerland and the UK. Because of these adjustments the fund's equity exposure rose from 94.41% previous month to 98.41%. The cash ratio fell from 5.59% to 1.59%. There was no currency hedging against the euro at the end of the month.

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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 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.