OptiMix Global Emerging Markets Shares
1 | 2 | 3 | 4 | 5 | 6 | 7 | |
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Standard Risk Measure |
A Standard Risk Measure score of 7 equates to a Risk Label of 'Very High' and an estimated number of negative annual returns over any 20 year period of 6 or Greater. This is a measure of expected frequency (not magnitude) of capital losses, calculated in accordance with ASFA/FSC guidelines.
The fund aims to achieve returns (before fees, charges and taxes) that exceed the MSCI Emerging Markets (Free) Index ($A unhedged), over periods of five years or more.
The fund invests predominantly in a diversified portfolio of shares in global emerging markets through a mix of managers. The fund is actively managed in accordance with the OptiMix Multi-manager investment process.
The Fund is intended to be suitable for investors seeking a diversified portfolio of Global emerging market shares.
3 months | 6 months | Year to date | 1 year | 3 years pa | 5 years pa | ||
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Fund | 1.88% | 5.50% | 5.50% | 3.56% | -0.82% | -0.32% | |
FE Sector | 1.28% | 5.38% | 5.38% | 4.93% | 1.37% | 0.90% |
31/12/2022 | 31/12/2021 | 31/12/2020 | 31/12/2019 | 31/12/2018 | ||
---|---|---|---|---|---|---|
Fund | -19.26% | 1.75% | -0.56% | 16.11% | -3.43% | |
FE Sector | -15.89% | 2.47% | 2.41% | 16.49% | -4.39% |
Performance is net of management costs and expenses. Performance is based on exit price to exit price for the period and assumes that all distributions are reinvested. Management costs and other expenses are accounted for in the exit price. Past performance is not a reliable indicator of future performance.
The performance data has been sourced by FE fundinfo.
Emerging Markets | 100.00% |
The asset allocations shown may not total 100% due to the effects of rounding
Asia Pacific ex Japan | 63.36% |
North America | 15.72% |
Other | 9.64% |
Global Emerging Markets | 9.28% |
Europe ex UK | 1.11% |
UK | 0.88% |
For the month of December 2022
Global emerging equity markets faced volatility during the quarter with a sharp rally from mid November on the back of some policy changes, particularly to their existing 'zero Covid' restrictions. The Fund underperformed the benchmark over the quarter by 1.9% with William Blair, Intrinsic and TT Intl all detracting from performance. Neuberger performed slightly above benchmark.
Market volatility continued in the fourth quarter of 2022 as investors weighed the impact of inflation and the risk of recession in the world's major economies against hopes that the efforts by central banks to control inflation may be starting to succeed. This provides a stark reminder to investors that events impacting the global economy and financial markets are becoming increasingly difficult to predict. The result will and has been increased volatility and diverging company performance. At such times, the merits of business models that can outperform against difficult backdrops are often underappreciated. Given the volatility within global emerging equity markets the benchmark returned negative 14.33% for the past year. This was predominantly driven by underperforming China (regulations), as well as the Russian invasion of the Ukraine in February 2022.
The Fund underperformed for the year. This was led by Intrinsic (smaller cap orientation), William Blair (less cyclical exposure) and TT international (China exposure).
For the month of December 2022
The exposure to high quality companies with sustainable growth in emerging markets should bode well for the medium to longer term. It is anticipated these stocks will continue to perform during both a highly volatile period driven by COVID related issues, as well through to the longer term.