Danske Invest Latin America Fund D Emerging market equity funds
Da nske Invest Lat in Amer ica Fund D Emerg ing market equit y funds
Risk class
Investment policy
Performance 31-05-2011
Fund Low risk
High risk
Fund facts Value 31-05-2011 (EUR) 2.5919 ISIN FI0008807755 Distribution of income Yes Benchmark index MSCI Latin America TR -index Web site www.danskeinvest.fi Launch 25-10-2004 Total assets , million (EUR) 117.53 Base currency EUR Minimum subscription 500 EUR
Subscription fee Redemption fee TER 2010 Management fee
1,00 % / 8 EUR 2,00 % / 8 EUR 2,80 % 2.80 %
Danske Invest Latin America is intended for investors who are looking for an investment solution on the Latin American emerging equity markets that is profitable, professionally managed and well-diversified. The fund is well-suited, for long-term investment, to experienced investors who can accept even substantial changes in the value of the fund from time to time. Due to its higher risk level than that of a normal mutual fund, the fund is recommended only as a small part of a diversified investment portfolio. The recommended investment horizon in the fund is more than five years. The assets of Danske Invest Latin America are invested in a diversified manner mainly in publicly traded equities whose issuer is a company listed in Latin America, or a company that is highly dependent on the Latin American economy. The general performance of the Latin American emerging equity markets is reflected in the value of the fund.
Benchmark index Unofficial MSCI Latin America Index
Portfolio manager Gartmore Investment Limited
Major investments 31-05-2011 Issuer
Key f igures - 1 y 31-05-2011 Volatility (%) Sharpe Tracking error IR Alpha Beta Duration
17.497 0.421 4.665 0.116 1.644 0.931 -
Petroleo Brasileiro S.A. (ADR) (ord.) Vale SA Pref A (ADR) America Movil SAB de C.V. L Banco Bradesco SA ADR Itau Unibanco Holding SA - Adr Bradespar Pref. BRF Brasil Foods SA Companhia de Bebidas das Americas (AmBev) ADR Cia Brasileira de Distribuicao Cl. A pref(ADR) Grupo Mexico S.A.B. de C.V Other
%
8.54 % 7.31 % 6.67 % 6.01 % 5.84 % 3.75 % 3.29 % 2.94 % 2.91 % 2.51 % 50.23 %
Performance 31-05-2011 YTD 1 month 3 month 6 month 12 month 36 month Fund -10.29 0.32 -3.23 -6.84 6.59 -1.47 Benchmark index -8.49 0.12 -2.97 -5.30 4.22 2.31
Start 20.40 22.23
This Fund Review is not an invitation to subscribe or redeem Fund units. Even though the aim has been to give reliable information, Sampo Bank and Sampo Fund Management Ltd guarantees neither the completeness nor correctness of the information contained in this Fund review nor shall be held liable for any errors or omissions in the information contained therein. Past mutual fund performance is no guarantee of future returns. The return and interest expectations used in the review are not intended to be perceived as promises of future returns or interest. Investment always involves fluctuation in value the value of an investment may either rise or fall and customers are therefore at risk of losing assets invested in a mutual fund. There is no guarantee of actual returns or that the performance of the investment will be in accordance with the expected returns or always positive. Before making an investment decision, customers should always familiarise themselves with the characteristics, expenses and risks of the mutual funds which are outlined in the simplified prospectuses, fund regulations and price list of mutual funds, for example. Funds simplified prospectus and regulations can be found from www.danskeinvest.fi
Da nske Invest Lat in Amer ica Fund D Emerg ing market equit y funds
Sector allocation/asset allocation nFinancials 22.09% nMaterials 19.60% nConsumer staples 13.28% nEnergy 12.26% nIndustrials 9.21% nTelecommunication services 7.73%
nConsumer discretionary 5.83%
nOther 10.00%
Country allocation nBrazil 66.58% nMexico 23.10% nChile 5.18% nFinland 1.34% nPeru 1.08% nColombia 1.07% nUnited Kingdom 1.03% nOther 0.63%
Currency nUSD 44.57% nBRL 28.55% nMXN 20.85% nCLP 3.09% nPEN 1.09% nGBP 1.09% nCAD 0.64% nOther 0.12%
Portfolio manager review Latin American equities fell in euro terms over the month as flat underlying index performance failed to keep pace with a strong rise in the euro exchange rate. The MSCI Latin America index fell 3.86% in euro terms in April, underperforming the broader MSCI Emerging Market index which fell 1.36% over the same period. Peru led the markets lower for a second month as investors continued to worry over the election. Amongst larger markets Brazil underperformed, falling 4.97%, as oil and gas stocks underperformed sharply. Mexico outperformed the region, falling 2.66% as inflation continues to moderate. The Chilean market bucked the trend, rising 4.60%, partially reversing several months of underperformance. Overweight positions in Brazilian retailers such as Pao do Acucar and Marisa Lojas, along with the Funds underweight position in Petrobras were the largest positive contributors to fund performance. Brazilian retailers continue to report strong sales and earnings figures as consumer activity remains robust. The fund was negatively impacted by its exposure to Peruvian zinc miner Atacocha, Peruvian engineering firm Grana Y Montero, and Brazilian oil and gas company OGX. Peruvian shares have witnessed significant drops on pre-election jitters. The Funds underweight stance in the oil & gas sector and overweight in consumer
related stocks in the region added value during the month. Country selection was largely neutral during the month with the funds small underweight in Chile detracting marginally from performance. The fund made only modest changes during the month but added to Gran Tierra Energy, an oil and gas company focusing on Colombia and Peru. We believe the companys strategy to focus on oil production volumes in those countries will bear fruit, and stands in stark contrast to pure exploration players we also like their recent acquisition of shallow water assets in Brazil. The Funds largest sector overweight is industrials, a sector encompassing our transport, infrastructure, and capital goods investments; all of which are attractive given the high levels of economic growth and trade activity in the region. Our largest sector underweight is energy, where Brazilian giant Petrobras continues to mark time until the benefits of its massive drilling investment program become more visible. The outlook for Latin America remains attractive in 2011 as economic growth expectations and corporate earnings expectations remain upbeat. The year to date has been off to a slow start for the region, in contrast to developed markets; Latin America with its higher rate of economic growth is presently confronting a modest degree of
Return
Holding type nStock market 98.66% nOther 1.34%
Return and dividends for individual years
2006
2007
2008
2009
2010
Fund Benchmark index
31.42 28.86
29.23 34.95
-49.92 -48.57
92.63 97.68
26.31 23.58
This Fund Review is not an invitation to subscribe or redeem Fund units. Even though the aim has been to give reliable information, Sampo Bank and Sampo Fund Management Ltd guarantees neither the completeness nor correctness of the information contained in this Fund review nor shall be held liable for any errors or omissions in the information contained therein. Past mutual fund performance is no guarantee of future returns. The return and interest expectations used in the review are not intended to be perceived as promises of future returns or interest. Investment always involves fluctuation in value the value of an investment may either rise or fall and customers are therefore at risk of losing assets invested in a mutual fund. There is no guarantee of actual returns or that the performance of the investment will be in accordance with the expected returns or always positive. Before making an investment decision, customers should always familiarise themselves with the characteristics, expenses and risks of the mutual funds which are outlined in the simplified prospectuses, fund regulations and price list of mutual funds, for example. Funds
Risk class
Investment policy
Performance 31-05-2011
Fund Low risk
High risk
Fund facts Value 31-05-2011 (EUR) 2.5919 ISIN FI0008807755 Distribution of income Yes Benchmark index MSCI Latin America TR -index Web site www.danskeinvest.fi Launch 25-10-2004 Total assets , million (EUR) 117.53 Base currency EUR Minimum subscription 500 EUR
Subscription fee Redemption fee TER 2010 Management fee
1,00 % / 8 EUR 2,00 % / 8 EUR 2,80 % 2.80 %
Danske Invest Latin America is intended for investors who are looking for an investment solution on the Latin American emerging equity markets that is profitable, professionally managed and well-diversified. The fund is well-suited, for long-term investment, to experienced investors who can accept even substantial changes in the value of the fund from time to time. Due to its higher risk level than that of a normal mutual fund, the fund is recommended only as a small part of a diversified investment portfolio. The recommended investment horizon in the fund is more than five years. The assets of Danske Invest Latin America are invested in a diversified manner mainly in publicly traded equities whose issuer is a company listed in Latin America, or a company that is highly dependent on the Latin American economy. The general performance of the Latin American emerging equity markets is reflected in the value of the fund.
Benchmark index Unofficial MSCI Latin America Index
Portfolio manager Gartmore Investment Limited
Major investments 31-05-2011 Issuer
Key f igures - 1 y 31-05-2011 Volatility (%) Sharpe Tracking error IR Alpha Beta Duration
17.497 0.421 4.665 0.116 1.644 0.931 -
Petroleo Brasileiro S.A. (ADR) (ord.) Vale SA Pref A (ADR) America Movil SAB de C.V. L Banco Bradesco SA ADR Itau Unibanco Holding SA - Adr Bradespar Pref. BRF Brasil Foods SA Companhia de Bebidas das Americas (AmBev) ADR Cia Brasileira de Distribuicao Cl. A pref(ADR) Grupo Mexico S.A.B. de C.V Other
%
8.54 % 7.31 % 6.67 % 6.01 % 5.84 % 3.75 % 3.29 % 2.94 % 2.91 % 2.51 % 50.23 %
Performance 31-05-2011 YTD 1 month 3 month 6 month 12 month 36 month Fund -10.29 0.32 -3.23 -6.84 6.59 -1.47 Benchmark index -8.49 0.12 -2.97 -5.30 4.22 2.31
Start 20.40 22.23
This Fund Review is not an invitation to subscribe or redeem Fund units. Even though the aim has been to give reliable information, Sampo Bank and Sampo Fund Management Ltd guarantees neither the completeness nor correctness of the information contained in this Fund review nor shall be held liable for any errors or omissions in the information contained therein. Past mutual fund performance is no guarantee of future returns. The return and interest expectations used in the review are not intended to be perceived as promises of future returns or interest. Investment always involves fluctuation in value the value of an investment may either rise or fall and customers are therefore at risk of losing assets invested in a mutual fund. There is no guarantee of actual returns or that the performance of the investment will be in accordance with the expected returns or always positive. Before making an investment decision, customers should always familiarise themselves with the characteristics, expenses and risks of the mutual funds which are outlined in the simplified prospectuses, fund regulations and price list of mutual funds, for example. Funds simplified prospectus and regulations can be found from www.danskeinvest.fi
Da nske Invest Lat in Amer ica Fund D Emerg ing market equit y funds
Sector allocation/asset allocation nFinancials 22.09% nMaterials 19.60% nConsumer staples 13.28% nEnergy 12.26% nIndustrials 9.21% nTelecommunication services 7.73%
nConsumer discretionary 5.83%
nOther 10.00%
Country allocation nBrazil 66.58% nMexico 23.10% nChile 5.18% nFinland 1.34% nPeru 1.08% nColombia 1.07% nUnited Kingdom 1.03% nOther 0.63%
Currency nUSD 44.57% nBRL 28.55% nMXN 20.85% nCLP 3.09% nPEN 1.09% nGBP 1.09% nCAD 0.64% nOther 0.12%
Portfolio manager review Latin American equities fell in euro terms over the month as flat underlying index performance failed to keep pace with a strong rise in the euro exchange rate. The MSCI Latin America index fell 3.86% in euro terms in April, underperforming the broader MSCI Emerging Market index which fell 1.36% over the same period. Peru led the markets lower for a second month as investors continued to worry over the election. Amongst larger markets Brazil underperformed, falling 4.97%, as oil and gas stocks underperformed sharply. Mexico outperformed the region, falling 2.66% as inflation continues to moderate. The Chilean market bucked the trend, rising 4.60%, partially reversing several months of underperformance. Overweight positions in Brazilian retailers such as Pao do Acucar and Marisa Lojas, along with the Funds underweight position in Petrobras were the largest positive contributors to fund performance. Brazilian retailers continue to report strong sales and earnings figures as consumer activity remains robust. The fund was negatively impacted by its exposure to Peruvian zinc miner Atacocha, Peruvian engineering firm Grana Y Montero, and Brazilian oil and gas company OGX. Peruvian shares have witnessed significant drops on pre-election jitters. The Funds underweight stance in the oil & gas sector and overweight in consumer
related stocks in the region added value during the month. Country selection was largely neutral during the month with the funds small underweight in Chile detracting marginally from performance. The fund made only modest changes during the month but added to Gran Tierra Energy, an oil and gas company focusing on Colombia and Peru. We believe the companys strategy to focus on oil production volumes in those countries will bear fruit, and stands in stark contrast to pure exploration players we also like their recent acquisition of shallow water assets in Brazil. The Funds largest sector overweight is industrials, a sector encompassing our transport, infrastructure, and capital goods investments; all of which are attractive given the high levels of economic growth and trade activity in the region. Our largest sector underweight is energy, where Brazilian giant Petrobras continues to mark time until the benefits of its massive drilling investment program become more visible. The outlook for Latin America remains attractive in 2011 as economic growth expectations and corporate earnings expectations remain upbeat. The year to date has been off to a slow start for the region, in contrast to developed markets; Latin America with its higher rate of economic growth is presently confronting a modest degree of
Return
Holding type nStock market 98.66% nOther 1.34%
Return and dividends for individual years
2006
2007
2008
2009
2010
Fund Benchmark index
31.42 28.86
29.23 34.95
-49.92 -48.57
92.63 97.68
26.31 23.58
This Fund Review is not an invitation to subscribe or redeem Fund units. Even though the aim has been to give reliable information, Sampo Bank and Sampo Fund Management Ltd guarantees neither the completeness nor correctness of the information contained in this Fund review nor shall be held liable for any errors or omissions in the information contained therein. Past mutual fund performance is no guarantee of future returns. The return and interest expectations used in the review are not intended to be perceived as promises of future returns or interest. Investment always involves fluctuation in value the value of an investment may either rise or fall and customers are therefore at risk of losing assets invested in a mutual fund. There is no guarantee of actual returns or that the performance of the investment will be in accordance with the expected returns or always positive. Before making an investment decision, customers should always familiarise themselves with the characteristics, expenses and risks of the mutual funds which are outlined in the simplified prospectuses, fund regulations and price list of mutual funds, for example. Funds
