Al Yusr Global Equity Fund
Al Yusr Global Equity Fund Fact Sheet
Investment Policy
As of 30 Sep 2015
Fund Performance
The fund mainly invests in Shariah-compliant Exchange Traded Funds (ETFs) where its performance is compared to the global markets performance, in addition to investments in Shariah-compliant short-term money market instruments. The fund seeks to achieve long-term capital appreciation by investing in one or more Exchange Traded Fund that significantly corresponds to the performance of the fund’s relevant Index. However, the fund might occasionally divert from following its Index, although it attempts to track it through the distribution of assets to companies constituting the index, but they often do not include all companies, some small companies are excluded.
YTD 1 Year 3 Years 5 Years Since Inception 29 Dec 2010 CAGR (3 Years)
Fund -12.13% -11.66% 7.66% N/A 9.29% 2.49%
Benchmark* -11.53% -10.85% 13.43% N/A 20.60% 4.29%
Alpha -0.60% -0.81% -5.77% N/A -11.31% -1.80% *Source: MSCI
Sector Allocation Cash
Fund Manager Comments
Energy
The Fund declined by -12.13% by end of Q1 2015 compared to a decrease of -11.53% in the benchmark. US Investors contended with uncertain global growth, oil prices sharp decline and the timing of the Federal Reserve’s impending interest rate hike. Meanwhile, the euro-zone economy continues to struggle. We believe that weak oil prices could drive the growth in global economies in the long term, having this asset class within the portfolio could still yield diversification benefits.
Health care Industrials Information Technology Consumer Discretionary Materials Consumer Staples Telecommunications
Fund Characteristics
Utilities
Date of Inception Unit Price at Inception Fund’s Base Currency Subscription Fee Annual Management Fee Redemption Fee
29-Dec-2010 USD 100 US Dollar 1% 1.25% 0.50 % In case of redemption within 1 month of subscription Minimum Initial Subscription USD 3,000 Min Required for Additional Subscription or Redemption USD 500 Price Announcement Day Every Business Day Cut-off Time for Subscription & Redemption 12 Noon Every Day Redemption Payment Period from Announcement Day 3 Business Days Benchmark MSCI World Islamic Index
Financials
Geographical Allocation Cash United States United Kingdom Japan France Germany Switzerland Canada Australia
Key Benefits • Way to exploit the potential of blue-chip stocks in global markets • Offers the investor broad diversification within global Shariah-compliant markets • Taps into the expertise of proven investment specialists Investor Profile • Seeking capital appreciation through global Shariah-compliant investments • High risk tolerance: willing to tolerate price fluctuation • Long term investment strategy
Portfolio Statistics (3 Years) Sharpe Ratio Volatility (Sigma) Treynor Ratio Tracking Error Correlation Beta Information Ratio
Fund 0.04 11.15% 0.01 0.83% 99.73% 0.98 -2.16
Benchmark 0.20 11.29%
Fund Performance vs. Benchmark * Portfolio Statistics (1 year) 115
Sharpe Ratio Volatility (Sigma) Treynor Ratio Tracking Error Correlation Beta Information Ratio
110 105 100 95 90
Fund -1.03 13.22% -0.14 1.16% 99.63% 0.96 -0.70
Benchmark -0.96 13.38%
Major Market Indices
85
Yusr Global Equity Fund
Benchmark
TASI S&P 500 Dow Jones NASDAQ FTSE 100 Nikkei 225 MSCI World
Slide 1
YTD -18.77% -2.26% -3.13% 4.17% -9.34% 10.20% -4.20%
Al Yusr Global Equity Fund Fact Sheet
Disclaimer Saudi Hollandi Capital is an authorized person under CMA license number 07077-37. This material is for information purpose only and is not to offer or solicitation to buy or sell any security, enter into any transaction or to participate in any trading activity. This brief statement cannot disclose all the risks and other significant aspects of the markets. Mentioned Figures refer to the past. Past performance is not a reliable indicator of the future results. It should not be assumed that the methods, techniques, or indicators presented herein will be profitable or that they will not result in losses. Investing in SHC funds is not the same as placing deposit with a bank, SHC has no obligation to redeem units at the subscription value of as the underlying net asset value can go down as well as up. SHC funds may invest in equities and therefore be subject to high fluctuations in value. Each fund's performance can deviate substantially from that of its benchmark. Focusing intentionally on individual sectors may entail additional risks. Investors may get back less than he or she originally invested. Fees mentioned in the T&C will be applied. Changes in currency rates may have an adverse effect on the value, price or income of this security. To ensure proper understanding of the fund and its suitability for you according to your risk tolerance, we recommend that you seek a specialized investment advisor. More information about the fund and the risk associated with investing in them are available in the terms and conditions applicable to that fund and should be read carefully before investing. These terms and conditions can be obtained from any of SHC’s branches or SHC’s website. At any time SHC or its affiliates may have a position in the underlying securities or provide significant advice or securities business services to the issuer of those securities.
Glossary Net Asset Value (NAV) Value of an investment fund unit corresponding to the market value of the fund’s assets on a set reference date, minus liabilities and divided by the number of units outstanding. Benchmark Index against which an investment fund’s performance is measured. Also called a reference index. Alpha Alpha measures the difference between a portfolio’s actual returns and its benchmark’s return. A positive alpha means the fund has outperformed its benchmark. A negative alpha means that the fund has underperformed the benchmark. CAGR The year-over-year growth rate of an investment over a specified period of time. The compound annual growth rate is calculated by taking the nth root of the total percentage growth rate, where n is the number of years in the period being considered. Sharpe ratio The sharp ratio expresses how much higher (or lower) a return an investor can expect compared to the risk-free rate of interest (e.g. interest rates on savings accounts) per unit of risk (volatility). The risk-free rate of interest varies from currency to currency. Volatility A statistical measure of the dispersion of returns for a given security or market index. Volatility can be measured by using the standard deviation. Commonly, the higher the volatility, the riskier the security. Treynor Ratio A ratio developed by Jack Treynor that measures returns earned in excess of that which could have been earned on a riskless investment per each unit of market risk. The Treynor ratio is calculated as: (Average Return of the Portfolio - Average Return of the Risk-Free Rate) / Beta of the Portfolio Tracking Error A divergence between the price behavior of a position or a portfolio and the price behavior of a benchmark. Correlation A measure of the degree to which the price trends of various investment categories or instruments move in the same direction. The correlation quantifies the strength of the relationship as a figure between -1 and +1. The closer the coefficient is to 1, the stronger the correlation. If the coefficient is -1, the investments and the benchmark move in opposite directions. If the value is 0 , there is no correlation . Beta A measure of risk which indicates the sensitivity of an investment, such as an investment fund, to fluctuations in the market, as represented by the relevant benchmark. For example, a beta of 1.2 tells us that the value of an investment fund can be expected to change by 12% if the market is forecast to move by 10%. The relation is based on historical data and is only an approximation . However, the closer the correlation between the benchmark and the investment fund, the better this approximation. Information ratio Measures a fund manager’s success of active portfolio management. Quotient of the mean relative return and the standard deviation of relative return (tracking error). Information ration is usually annualized.
Slide 2
Investment Policy
As of 30 Sep 2015
Fund Performance
The fund mainly invests in Shariah-compliant Exchange Traded Funds (ETFs) where its performance is compared to the global markets performance, in addition to investments in Shariah-compliant short-term money market instruments. The fund seeks to achieve long-term capital appreciation by investing in one or more Exchange Traded Fund that significantly corresponds to the performance of the fund’s relevant Index. However, the fund might occasionally divert from following its Index, although it attempts to track it through the distribution of assets to companies constituting the index, but they often do not include all companies, some small companies are excluded.
YTD 1 Year 3 Years 5 Years Since Inception 29 Dec 2010 CAGR (3 Years)
Fund -12.13% -11.66% 7.66% N/A 9.29% 2.49%
Benchmark* -11.53% -10.85% 13.43% N/A 20.60% 4.29%
Alpha -0.60% -0.81% -5.77% N/A -11.31% -1.80% *Source: MSCI
Sector Allocation Cash
Fund Manager Comments
Energy
The Fund declined by -12.13% by end of Q1 2015 compared to a decrease of -11.53% in the benchmark. US Investors contended with uncertain global growth, oil prices sharp decline and the timing of the Federal Reserve’s impending interest rate hike. Meanwhile, the euro-zone economy continues to struggle. We believe that weak oil prices could drive the growth in global economies in the long term, having this asset class within the portfolio could still yield diversification benefits.
Health care Industrials Information Technology Consumer Discretionary Materials Consumer Staples Telecommunications
Fund Characteristics
Utilities
Date of Inception Unit Price at Inception Fund’s Base Currency Subscription Fee Annual Management Fee Redemption Fee
29-Dec-2010 USD 100 US Dollar 1% 1.25% 0.50 % In case of redemption within 1 month of subscription Minimum Initial Subscription USD 3,000 Min Required for Additional Subscription or Redemption USD 500 Price Announcement Day Every Business Day Cut-off Time for Subscription & Redemption 12 Noon Every Day Redemption Payment Period from Announcement Day 3 Business Days Benchmark MSCI World Islamic Index
Financials
Geographical Allocation Cash United States United Kingdom Japan France Germany Switzerland Canada Australia
Key Benefits • Way to exploit the potential of blue-chip stocks in global markets • Offers the investor broad diversification within global Shariah-compliant markets • Taps into the expertise of proven investment specialists Investor Profile • Seeking capital appreciation through global Shariah-compliant investments • High risk tolerance: willing to tolerate price fluctuation • Long term investment strategy
Portfolio Statistics (3 Years) Sharpe Ratio Volatility (Sigma) Treynor Ratio Tracking Error Correlation Beta Information Ratio
Fund 0.04 11.15% 0.01 0.83% 99.73% 0.98 -2.16
Benchmark 0.20 11.29%
Fund Performance vs. Benchmark * Portfolio Statistics (1 year) 115
Sharpe Ratio Volatility (Sigma) Treynor Ratio Tracking Error Correlation Beta Information Ratio
110 105 100 95 90
Fund -1.03 13.22% -0.14 1.16% 99.63% 0.96 -0.70
Benchmark -0.96 13.38%
Major Market Indices
85
Yusr Global Equity Fund
Benchmark
TASI S&P 500 Dow Jones NASDAQ FTSE 100 Nikkei 225 MSCI World
Slide 1
YTD -18.77% -2.26% -3.13% 4.17% -9.34% 10.20% -4.20%
Al Yusr Global Equity Fund Fact Sheet
Disclaimer Saudi Hollandi Capital is an authorized person under CMA license number 07077-37. This material is for information purpose only and is not to offer or solicitation to buy or sell any security, enter into any transaction or to participate in any trading activity. This brief statement cannot disclose all the risks and other significant aspects of the markets. Mentioned Figures refer to the past. Past performance is not a reliable indicator of the future results. It should not be assumed that the methods, techniques, or indicators presented herein will be profitable or that they will not result in losses. Investing in SHC funds is not the same as placing deposit with a bank, SHC has no obligation to redeem units at the subscription value of as the underlying net asset value can go down as well as up. SHC funds may invest in equities and therefore be subject to high fluctuations in value. Each fund's performance can deviate substantially from that of its benchmark. Focusing intentionally on individual sectors may entail additional risks. Investors may get back less than he or she originally invested. Fees mentioned in the T&C will be applied. Changes in currency rates may have an adverse effect on the value, price or income of this security. To ensure proper understanding of the fund and its suitability for you according to your risk tolerance, we recommend that you seek a specialized investment advisor. More information about the fund and the risk associated with investing in them are available in the terms and conditions applicable to that fund and should be read carefully before investing. These terms and conditions can be obtained from any of SHC’s branches or SHC’s website. At any time SHC or its affiliates may have a position in the underlying securities or provide significant advice or securities business services to the issuer of those securities.
Glossary Net Asset Value (NAV) Value of an investment fund unit corresponding to the market value of the fund’s assets on a set reference date, minus liabilities and divided by the number of units outstanding. Benchmark Index against which an investment fund’s performance is measured. Also called a reference index. Alpha Alpha measures the difference between a portfolio’s actual returns and its benchmark’s return. A positive alpha means the fund has outperformed its benchmark. A negative alpha means that the fund has underperformed the benchmark. CAGR The year-over-year growth rate of an investment over a specified period of time. The compound annual growth rate is calculated by taking the nth root of the total percentage growth rate, where n is the number of years in the period being considered. Sharpe ratio The sharp ratio expresses how much higher (or lower) a return an investor can expect compared to the risk-free rate of interest (e.g. interest rates on savings accounts) per unit of risk (volatility). The risk-free rate of interest varies from currency to currency. Volatility A statistical measure of the dispersion of returns for a given security or market index. Volatility can be measured by using the standard deviation. Commonly, the higher the volatility, the riskier the security. Treynor Ratio A ratio developed by Jack Treynor that measures returns earned in excess of that which could have been earned on a riskless investment per each unit of market risk. The Treynor ratio is calculated as: (Average Return of the Portfolio - Average Return of the Risk-Free Rate) / Beta of the Portfolio Tracking Error A divergence between the price behavior of a position or a portfolio and the price behavior of a benchmark. Correlation A measure of the degree to which the price trends of various investment categories or instruments move in the same direction. The correlation quantifies the strength of the relationship as a figure between -1 and +1. The closer the coefficient is to 1, the stronger the correlation. If the coefficient is -1, the investments and the benchmark move in opposite directions. If the value is 0 , there is no correlation . Beta A measure of risk which indicates the sensitivity of an investment, such as an investment fund, to fluctuations in the market, as represented by the relevant benchmark. For example, a beta of 1.2 tells us that the value of an investment fund can be expected to change by 12% if the market is forecast to move by 10%. The relation is based on historical data and is only an approximation . However, the closer the correlation between the benchmark and the investment fund, the better this approximation. Information ratio Measures a fund manager’s success of active portfolio management. Quotient of the mean relative return and the standard deviation of relative return (tracking error). Information ration is usually annualized.
Slide 2
