Key information
The investment focus of DJE - Mittelstand & Innovation is on high-growth and innovative companies from Germany, Austria and Switzerland. The active mix of structural, cyclical and potential growth stocks leads to a structured and balanced growth approach. With 50 - 80 individual stocks, the fund offers a concentrated investment strategy based on high-quality stock selection with a focus on the fundamental data of the companies. The DJE - Mittelstand & Innovation is an equity fund managed by a medium-sized company that invests in medium-sized companies (hidden champions) and offers an innovative capital investment in addition to an attractive risk/reward profile.
Responsible manager since 01/01/2019
Responsible manager since 01/10/2022 as co-manager
Key information
| ISIN: | LU1227570055 |
| WKN: | A14SK0 |
| Category: | Equity Funds (Small/Mid Cap) - DE, AT, CH |
| VG/KVG: | DJE Investment S.A. |
| Fund Manager: | DJE Kapital AG |
| Risk Category: | 6 |
| 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: | 03/08/2015 |
| Fund currency: | EUR |
| Fund Size (01/12/2022): | 116,80 Mio EUR |
| TER p.a. (30/12/2021): | 2,00 % |
| Reference Index: | 30% MDAX Performance Index, 30% SDAX Performance Index, 30% SMIM Preis Index, 10% AUSTRIAN TRADED ATX Index |
Fees
| Initial Charge: | 5,000 % |
| Management Fee p.a.: | 1,650 % |
| Custodian Fee p.a.: | 0,090 % |
|
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 (01/12/2022)
| Morningstar*: |
|
|
Awards: Refinitiv Lipper Fund Award 2021 1st place in Germany, Austria and Switzerland in the category "Equity Europe Small & Mid Cap" over 5 years €uro-ECO-Rating 2021 Grade A |
ESG Data
| MSCI ESG RATING (AAA-CCC): | AA |
| ESG-Qualityrating (0-10): | 8,444 |
| Environment Rating (0-10): | 5,862 |
| Social Rating (0-10): | 5,055 |
| Governance-Rating(0-10): | 6,306 |
| ESG rating in comparison group (0% lowest, 100% highest value): | 51,350 % |
| Peergroup: |
Equity Europe Sm&Mid Cap
(222 Fonds) |
| Coverage rate ESG rating: | 79,179 % |
| Weighted average CO₂ intensity (tons of CO₂ per 1 million US dollars in sales): | 73,819 |
Report date: 30/11/2022
Perfomance Chart
Performance in Percent vs. Reference Index
Risk metrics |
|
|---|---|
| Standard Deviation (2 years): | 18,21 % |
| Tracking Error (2 years): | 10,36 % |
| Value at Risk (99% / 20 days): | -12,06 % |
| Maximum Drawdown (1 year): | -40,80 % |
| Sharpe Ratio (2 years): | -0,43 |
| Correlation (2 years): | 0,70 |
| Beta (2 years): | 0,85 |
| Treynor Ratio (2 years): | -9,17 |
Top Country Allocation (30/11/2022) |
|
|---|---|
| Germany | 62,63 % |
| Switzerland | 18,04 % |
| Austria | 8,55 % |
| Sweden | 3,01 % |
| Netherlands | 1,74 % |
Asset Allocation (30/11/2022) |
|
|---|---|
| Stocks | 96,75 % |
| Cash | 3,25 % |
Investment approach
The investment focus of the equity fund investing in the regions Germany, Austria and Switzerland is on high-growth and innovative companies (hidden champions). In terms of market capitalisation, the fund focuses on small and mid cap companies. An active bottom-up approach is pursued, which mainly focuses on the fundamental data of the companies. The fund gives preference to equities with high earnings growth, whereby sustained growth and stability of corporate earnings are key investment criteria. A balanced risk/reward profile with low maximum drawdown and low volatility is aimed for.
Chances
- With over 1,500 companies, the German-speaking region is the core region of the "hidden champions" (unknown companies with a leading market position).
- The Mittelstand is the innovation, technology and economic engine of the D-A-CH region.
- Small and medium-sized companies usually have a higher growth potential than large corporations.
- The D-A-CH region is characterised by a stable domestic economy, high legal security and export strength, spread across many sectors.
Risks
- In addition to market price risks (equity, interest rate and currency risks), there are country and creditworthiness risks, e.g. a recession of the European economies.
- Share prices can fluctuate relatively strongly due to market, currency and individual value factors.
- Small and medium-sized companies are traded less on the stock exchanges than large corporations. Their share prices can therefore fluctuate more than those of large companies.
Monthly Commentary
In October the European stock market recovered and partially recouped losses from previous months. This was mainly triggered by hopes of market participants for a less aggressive monetary policy. The European Central Bank had raised its key interest rates in three steps to 2.0% in recent months. The hope was strengthened by ECB President Christine Lagarde, who did not want to commit herself at the ECB press conference as to whether the rate hikes would continue at this pace. She gave a gloomy economic outlook for the euro area, saying that further increases in interest rates could weigh even more heavily on the eurozone economy. Towards the end of the month, however, hopes were dashed as inflation in the euro area reached 10.7% year-on-year, the highest level since the creation of the euro. In this market environment the price of the DJE - Mittelstand & Innovation rose 6.48%. Its benchmark index, 30% MDAX Performance Index, 30% SDAX Performance Index, 30% SMIM Price Index, 10% AUSTRIAN TRADED ATX Index, gained 5.24%. In October the fund benefited primarily from the very good results of the sectors industry and technology. In addition positive impulses also came from the financial services sector. At the individual stock level the strongest performance contributions came mainly from the two German companies Sixt (mobility; car rental, car sharing and driving service brokerage) and Verbio Vereinigte Bioenergie (production and distribution of biofuels), as well as the French automotive supplier Faurecia. On the other hand the sectors utilities, real estate and retail impacted the performance of the fund price in the month under review. Particularly disappointing in October at the individual stock level were the Austrian electricity supplier Verbund, the Swiss pharmaceutical company Siegfried Holding and the German solid house provider Helma Eigenheimbau (construction services and project development). During the month the fund management increased the sectors basic materials, chemicals and healthcare. On the other hand, it reduced titles of the sectors real estate and utilities. Regionally the fund increased German stocks in particular. The equity allocation rose to 96.09% at the end of the month (93.68% previous month).