Change Share Class

LuxTopic - Systematic Return B

LuxTopic - Systematic Return B Header Image
Minimum investment: 1,000,000 EUR
ISIN:
LU1181280105
As at:
16/01/2020
Bid:
757.72 EUR
Offer:
757.72 EUR

Monthly Commentary

In December the international stock markets gained with few exceptions (Australia, Thailand). The German stock index DAX rose moderately 0.10% while the broad European index Stoxx Europe 600 increased 2.06%. In the USA the S&P 500 Index rose 0.91% and the Hang-Seng Index (Hong Kong) climbed 5.49%. The global MSCI World Index rose 0.94% - all index data in euro terms. Anyway the bond markets were under pressure reflected by the yields on high-quality 10-year government bonds. Their yield rose from -0.36% to -0.19% in Germany and from 1.81% to 1.92% in the USA. A key factor of the rising equity markets was the "Phase One" trade agreement that the USA and China agreed on and which is due to be signed in mid-January. In the agreement the US refrained from the introduction of various announced import duties and China announced that it would import significantly more agricultural goods from the US. The US, Canada and Mexico also signed a trade agreement to replace NAFTA. Therefore China's purchasing managers' indices for industry and services rose and industrial production increased 6.2% year-on-year, compared to only 4.7% previous month. In December 266,000 new jobs were created in the USA, as many as last recorded in February 2019 and the unemployment rate fell from 3.6% to 3.5%. Consumer spending and retail sales also rose in both countries. In Europe the markets initially also reacted positively to the British House of Commons elections which the Conservatives under Prime Minister Boris Johnson won clearly. This result emphasized that Great Britain will certainly leave the EU. However, after the election victory Johnson announced that the trade agreement between the EU and Great Britain would have to be agreed upon by the end of 2020 which again raised fears of a hard Brexit among some market participants. In Germany the ifo business climate index improved again rising from 95.1 to 96.3 points. However, various German and European economic data continued to disappoint. For example, the purchasing managers' indices for industry in Germany and the euro zone declined - with values well below the threshold of 50 (43.4 and 45.9 respectively), both point to a shrinking economy. In Germany, new orders and industrial production also fell noticeably year-on-year, by -5.5% and -5.3% respectively. Following the temporary end of the US-Chinese trade conflict France and the EU returned to the focus of US trade policy. France announced the introduction of a digital tax, which would primarily affect the major US online retailers and providers of social media platforms and search services. Therefore the USA threatened to impose import duties of 100% on French goods worth USD 2.4 billion. In addition US Trade Commissioner Lighthizer spoke of a very unbalanced relationship in trade relations between the USA and the EU. China, however, threatened Germany with punitive measures if Germany were to comply with the USA's request and fail to involve the largest Chinese mobile phone technology group in the construction of the German 5G network.

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.