Key information
The investment focus of the DJE - Dividende & Substanz is on equities with a high dividend payout ratio and solid balance sheets. When selecting shares, the fund management additionally pays attention to an investor-friendly corporate policy with capital returns and share buybacks (total shareholder return). The fund invests globally and free of benchmark constraints. It pursues an active value approach that focuses on companies' value-retention characteristics and fundamentals. In addition, investments can also be made in fixed and variable-interest securities. When selecting individual stocks, the companies are analysed according to quantitative and qualitative criteria. The focus is not only on earnings figures, but also on a comprehensive range of balance sheet ratios, which are of decisive importance for the selection of substantial companies.
Responsible manager since inception
Responsible manager since 01/07/2019 as co-manager
Key information
| ISIN: | LU0828771344 |
| WKN: | A1J4B6 |
| Category: | Global Equity Funds |
| VG/KVG: | DJE Investment S.A. |
| Fund Manager: | DJE Kapital AG |
| Risk Category: | 5 |
| This sub-fund/fund promotes ESG features in accordance with Article 8 of the Disclosure Regulation (EU Nr. 2019/2088). | |
| Type of Share: | distribution |
| Financial Year: | 01.01. - 31.12. |
| Launch Date: | 04/01/2013 |
| Fund currency: | EUR |
| Fund Size (05/08/2022): | 1.443,29 Mio EUR |
| TER p.a. (30/12/2021): | 1,98 % |
| Reference Index: | 100% MSCI World EUR |
Fees
| Initial Charge: | 5,000 % |
| Management Fee p.a.: | 1,670 % |
| Custodian Fee p.a.: | 0,100 % |
|
Performance Fee p.a.: 10% of the [Hurdle: exceeding 6% p.a.] unit value performance, provided the unit value at the end of the settlement period is higher than the highest unit value at the end of the previous settlement periods of the last 5 years [High Water Mark Principle]. The settlement period begins on 1 January and ends on 31 December of a calendar year. Payment is made at the end of the accounting period. For further details, see the sales prospectus. |
Ratings & Awards (05/08/2022)
| Morningstar*: |
|
|
Awards: Scope Award 2022 Best Asset Manager Dividend Equities in Germany, Austria and Switzerland AAA Recognised with the top AAA rating in Citywire's fund manager ratings |
ESG Data
| MSCI ESG RATING (AAA-CCC): | AA |
| ESG-Qualityrating (0-10): | 7,875 |
| Environment Rating (0-10): | 6,124 |
| Social Rating (0-10): | 5,654 |
| Governance-Rating(0-10): | 5,706 |
| ESG rating in comparison group (0% lowest, 100% highest value): | 72,500 % |
| Peergroup: |
Equity Global
(4894 Fonds) |
| Coverage rate ESG rating: | 94,244 % |
| Weighted average CO₂ intensity (tons of CO₂ per 1 million US dollars in sales): | 167,189 |
Report date: 29/07/2022
Perfomance Chart
Performance in Percent vs. Reference Index
Risk metrics |
|
|---|---|
| Standard Deviation (2 years): | 11,56 % |
| Tracking Error (2 years): | 9,79 % |
| Value at Risk (99% / 20 days): | -7,10 % |
| Maximum Drawdown (1 year): | -14,59 % |
| Sharpe Ratio (2 years): | 0,86 |
| Correlation (2 years): | 0,53 |
| Beta (2 years): | 0,59 |
| Treynor Ratio (2 years): | 16,67 |
Top Country Allocation (29/07/2022) |
|
|---|---|
| United States | 22,65 % |
| Germany | 15,11 % |
| Denmark | 6,25 % |
| France | 6,17 % |
| Switzerland | 5,10 % |
Asset Allocation (29/07/2022) |
|
|---|---|
| Stocks | 86,24 % |
| Cash | 13,76 % |
Investment approach
In a world (almost) without interest rates, high-dividend shares represent a source of steady income. Nevertheless, the importance of dividend payments is underestimated. In the long term, dividends provide the highest contribution to the overall performance of an equity investment, because reinvested dividends generate a considerable compound interest effect. Therefore, shares with high yields are preferred in DJE - Dividende & Substanz. However, it is not the highest dividend yield that is decisive here, but above all a sustained and ideally rising dividend payment. A low payout ratio helps here. Empirical analyses have shown that high-dividend stocks can be a more stable form of investment in difficult market phases than low-dividend stocks, since a dividend can act as a buffer to cushion temporary price losses. The calculation is simple and obvious: good substance, excellent balance sheet quality as well as a high dividend yield with an earnings situation that is as secure as possible increase the chance of achieving sustained investment success.
Chances
- Attractive level of global dividend stocks.
- Experienced fund manager with an approach based on fundamental, monetary and market analysis (FMM) that has proven itself since 1974.
- Participation in the growth opportunities of global equity markets independent of benchmark index specifications.
- Dividends offer regular income potential in addition to possible share price gains and can thus mitigate possible price losses.
Risks
- Dividends are a voluntary payment by companies and therefore not guaranteed. They can rise, fall or be cancelled altogether.
- Share prices can fluctuate relatively strongly due to market, currency and individual value factors.
- Previously proven investment approach does not guarantee future investment success.
- Currency risks due to a high foreign share in the portfolio.
Monthly Commentary
In June the stock markets again suffered heavy losses - with the exception of China and Hong Kong. Persistently high inflation put pressure on the stock markets from two sides: As part of its increasingly restrictive monetary policy, the U.S. Federal Reserve raised its key interest rates by 75 basis points to the range of 1.50 to 1.75% in order to curb inflation in the United States. Meanwhile, the ECB has also announced its departure from the zero interest rate policy. Inflation also weighed on consumer sentiment and the mood of purchasing managers. This is also likely to have an impact on the beginning reporting season for the second quarter, where only very cautious profit and sales forecasts are expected. In this market environment the price of the DJE - Dividende & Substanz corrected by -7.13%. Its benchmark index, the MSCI World in euro terms, lost -6.52%. On the international stock markets, all sectors without exception performed negatively in June. The sectors basic materials, energy, chemicals, and financial institutions and media suffered the highest losses. The best performing sectors in relative terms, i.e. with the smallest discounts, were healthcare, personal care & pharmaceuticals, and food & beverages. In the fund, too, no sector was able to close the month on a positive note. Only the defensive sectors of healthcare, food & beverages and household goods were relatively robust. At the individual stock level the strongest value contributors came from U.S. pharmaceutical company Eli Lilly, Chinese online trading platform Alibaba, and Hong Kong property holding company Great Eagle. On the other hand, the fund's performance in June was negatively impacted in particular by the results of the basic materials (strong cyclicality weighs on performance due to recession concerns), real estate (declining property prices and more expensive refinancing weigh on performance) and travel & leisure (staff shortages at airlines and high energy costs weigh on performance) sectors. On the equity side, semiconductor company Infineon (Germany), fertilizer producer Nutrien (Canada) and mining company Anglo American (UK) performed particularly disappointing. During the month the fund management reduced various sectors, including technology, chemicals, healthcare, utilities and basic materials. Regionally positions were reduced mainly in the U.S., Germany and Switzerland. The fund's equity investments were reduced to 87.86% from 96.45% previous month. Liquidity amounted to 12.14% after 3.55%.