DJE - Concept PA (EUR) Header Image
As at:
102.94 EUR
108.09 EUR

Monthly Commentary

In February, general nervousness about the global spread of the novel corona virus triggered an abrupt market correction. Among other things, investors expected problems for international transport routes, production cuts in just-in-time logistics of the industry and losses for export-oriented sectors. The central bank in China reacted by lowering the one-year key interest rate and the US Federal Reserve signaled its readiness to act in an emergency. Market participants then priced in up to three interest rate cuts for 2020. However, high-quality government bonds experienced a rally. The yield on 10-year German Bunds fell from -0.43% to -0.60% and the yield on their US counterparts fell 32 basis points to 1.19%. Gold briefly reached a level of USD 1,700/troz but then closed the month unchanged from previous month at USD 1,587. In this market environment the DJE - Concept dropped -3.97% and the benchmark index (75% MSCI World, 25% REX 1 year Performance Index) fell -3.97%. In February all sectors of the global stock market showed a negative performance: the biggest price losses were recorded in the sectors oil & gas, basic materials and travel & leisure. Anyway the sectors telecommunications, healthcare and retail, among others, proved to be more robust, i.e. with smaller price declines compared to the index. Positive impulses for the fund's performance came primarily from positions of the utility sector (overweight in the fund). Viewing individual stocks the internet company and the energy utility E.ON delivered particularly pleasing individual contributions. In addition the gold ETF held in the fund also generated positive impulses. On the other hand, investments in the sectors cyclical consumer goods and industry affected the fund's overall performance. Titles individual stocks like the tourism group TUI, the airline Deutsche Lufthansa and the New York financial services provider American Express performed disappointing. During the month the fund management reduced its investments in the sectors technology, financial services, credit institutions and industry. Positions of sectors the utilities and basic materials were slightly expanded. Because of these adjustments the equity allocation fell from 81.65% previous month to 61.49%. There were no currency hedges 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.

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