Monthly Updates January 2018 AWS
Monthly Updates January 2018
Performance*
1 Month
YTD
12 Month
3 Year p.a.
5 Year p.a.
Since Launch**
GAMAX Asia Pacific
-0.66%
15.73%
15.73%
12.34%
9.88%
5.58%
Benchmark***
0.31%
15.66%
15.66%
11.25%
10.82%
4.56%
Net Excess Return
-0.97%
+0.07%
+0.07%
+1.09%
-0.94%
+1.02%
*Performance Figures Net of Fees to 28.12.17, Class A. All figures have been rounded to two decimal places. **Since DJE managed the Fund (Oct 2007) ***Benchmark is MSCI Asia Pacific Net Return Index (€). Source: GAMAX Management AG.
Market Overview and Performance Analysis
Most Asian stock markets moved upwards in local currencies in December. The highest gains in local currencies were allotted to the stock exchanges of Australia (+4.02%) and Thailand (+3.32%). Mainland listed Chinese equities were down 0.30% in local currency but up 0.10% when measure by euro, due to the appreciation of the yuan versus the single currency. Hong Kong listed Chinese equities posted higher gains and were up by 2.54% in local currencies and 1.40% in euro terms. Economic news out of China was still mostly positive, but the recent rise in Chinese interest rates remains a concern among investors. China and Japan are the most important investment regions for the Asia Pacific Fund. In December the Japanese market underperformed most other markets of the Asian Pacific region. The Nikkei 225 Index was up 0.18% in local currencies but down 0.98% in Euro. The GAMAX Asia Pacific fund dropped 0.66%, net of fees, in December and therefore underperformed the benchmark index which was up 0.31% in the reporting period. The key reasons for the underperformance in December were the underweight in Australian equities relative to the benchmark index, and the above average performance of the energy and finance sectors. Both sectors were underweight in December. However over 2017 the fund gained 15.73% net of fees and therefore slightly outperformed the benchmark index which was up by 15.66%. The biggest positive contributor to the fund’s performance in December was the Chinese healthcare stock Sino Biopharmaceutical (+34.82%) followed by Japanese basic resources stock Sumitomo Metal Mining (+18.90%). Japanese mining and construction equipment producer Komatsu and Macao gaming operator Galaxy Entertainment (+10.19%) also helped in December. On the other hand the stock price corrections of some higher weighted Chinese stocks like Zhejiang Expressway (-7.34%) or Kingboard Chemical (-3.43%) detracted from performance in the reporting period.
Dr. Jan Ehrhardt Leading Fund Manager
Stefan Breintner Deputy Fund Manager
Fund Objectives The GAMAX Asia Pacific Fund predominantly invests in equities in the Asia-Pacific region. By doing this, the Fund aims to benefit from the economic prospects of the region, including Emerging Asian economies such as China. The Fund is benchmarked against the MSCI AC Asia Pacific Index net return in euro.
Country allocation as a percentage of the Fund
Taiwan 3.84%
Cash 7.22%
Other Countries 9.94%
China 16.40%
Japan 24.64%
Hong Kong 37.96%
Portfolio Activity
At the end of the month the total investment quota was about 93%, 7% was held in cash. We increased, amongst others, the position in Hong Kong Listed real estate operator Hang Lung. In order to reduce the fund’s underweight in the financials and telecoms sectors, stocks of Japanese SMFG and KDDI were added as new positions to the portfolio. Both companies have good market positions and offer attractive valuations. On the other hand the fund management reduced the overweight in the technology sector by taking profits from stocks of Tokyo Electron and Rohm. We furthermore realized profits by selling parts of our positions in the Japanese industrial company Disco.
Asset Allocation Breakdown Funds Bonds 0.00% 0.06%
Cash 7.22%
Portfolio Strategy and Outlook
The outlook for Asia still remains attractive. Economic growth in the region continues to pick up, while inflation remains low, giving central banks no reason for substantial rate hikes. At the same time corporate earnings in the region show a strong pick up following years of rather weak earnings growth. Valuations are still attractive and global fund managers are not overweight in the Asian Pacific region.
For further information please contact: Sarah Thanisch | Gamax Management AG | +352 269 764 82 | [email protected] www.gamaxfunds.com
Stocks 92.72%
Monthly Updates January 2018
INTENDED RECIPIENTS OF PUBLICATION OR MEDIA
TOP 10 HOLDINGS* Name
Weight in%
Country
KINGBOARD LAMINATES HLDGS LTD
5.62%
HK
CHAMPION REAL ESTATE INV TRUST
4.62%
HK
HOPEWELL HOLDINGS LTD
3.89%
HK
TAIWAN SEMICOND.MANUFACT
3.84%
TW
DMG MORISEIKI J
3.69%
JP
ANTA SPORTS PRODUCTS LTD
3.50%
CN
WEST JAPAN RAILWAY CO
3.35%
JP
PANASONIC CORP
3.34%
JP
KOMATSU LTD
3.12%
JP
DBS GROUP HOLDINGS LTD
2.96%
SG
TOP 10 CONTRIBUTORS (STOCKS) TO MONTHLY PERFORMANCES IN %** SINO BIOPHARMACEUTICAL
34.82%
HK
SUMITOMO METAL MINING CO LTD
18.90%
JP
DAITO TRUST CONSTRUCT CO LTD
12.07%
JP
KOMATSU LTD
10.88%
JP
JD.COM INC-ADR
10.60%
CN
LINK NET TBK PT
10.22%
ID
GALAXY ENTERTAINMENT GROUP
10.19%
HK
TECHNOPRO HOLDINGS INC
9.09%
JP
ASICS CORP
8.59%
JP
TRAVELSKY TECHNOLOGY LTD
8.31%
CN
TOP 10 DETRACTORS (STOCKS) TO MONTHLY PERFORMANCES IN %** ZHEJIANG EXPRESSWAY CO
-7.34%
CN
SOFTBANK
-6.16%
JP
SYDNEY AIRPORT
-4.99%
AU
SAMSUNG SDI CO LTD
-4.44%
KR
KINGBOARD LAMINATES HOLDING
-4.40%
HK
HON KWOK LAND INVESTMENT
-4.28%
HK
CHOW TAI FOOK JEWELLERY GROU
-3.53%
HK
KINGBOARD CHEMICAL HOLDINGS
-3.43%
HK
VITASOY INTL HOLDINGS LTD
-2.68%
HK
ALIBABA GROUP HOLDING
-2.63%
CN
SMALL-/MID-/LARGECAPS IN %** Smallcap
4.78%
Midcap
35.54%
Largecap
52.32%
*Source: Mediolanum Asset Management Limited. **Source: DJE Kapital Management AG.
The information contained on this publication or media does not constitute an offer for products or services and should not be construed as an offer to sell or a solicitation of an offer to buy to any persons who are prohibited from receiving such information under the laws applicable to their place of citizenship, domicile or rWWesidence. Save as otherwise disclosed, none of the information, whether in part or full, is permitted to be copied, reproduced or redistributed in any form nor should it be regarded as an offer or a solicitation of an offer for investment in countries outside of Austria, Germany, Italy, Luxembourg, Spain and Switzerland. The content of this publication or media was issued by or on behalf of GAMAX Management AG (’GMAG) for the sole attention of investors who or which are domiciled in jurisdictions where such distribution or availability would not be contrary to local laws or regulations.
IMPORTANT INFORMATION: The GAMAX FCP (fonds commun de placement); or “GAMAX Funds” is a Luxembourg domiciled open-ended UCITS umbrella FCP authorized by the Commission de Surveillance du Sector Financier (CSSF). As an umbrella fund, GAMAX Funds is composed of three sub-funds: GAMAX Funds - Asia Pacific; GAMAX Funds – Maxi-Bond and GAMAX Funds – Junior (hereinafter “GAMAX Funds”). The Fund Manager is GAMAX Management AG (‘GMAG’) which is authorised by the CSSF in Luxembourg as a UCITS Management Company pursuant to the Law of 17 December 2010 relating to undertakings for collective investment. Its registered address is at 11/13, Boulevard de la Foire, L-1528 Luxembourg. GMAG has appointed Mediolanum Asset Management Ltd. (“MAML”) as Investment Manager of the Fund. MAML is authorised by the Central Bank of Ireland as an Investment Firm under the European Communities (Markets in Financial Instruments) Regulations 2007. DJE Kapital AG (DJE) has been appointed as the portfolio manager of the GAMAX Junior and GAMAX Asia-Pacific funds. DJE is authorised as an investment firm by BaFin in Germany. The entities, products or services referred to in any publication or media hosted on this website are not endorsed by the CSSF or other relevant EU competent authority. This update should be read in conjunction with the Prospectus and the relevant key investor information document of GAMAX Funds, together with the most recent annual report (or semi-annual report if published thereafter) and raise any questions you have on this documentation with your independent professional adviser (including in respect of investment suitability, accounting and tax issues). The Prospectus, KIIDs and additional fund documents are available for download in several languages in our website: www.gamaxfunds.com Future returns depend upon future economic conditions. Past performance may not be a reliable guide to future performance. Neither past experience nor the current situation are necessarily accurate guides to the future. Any performance data that may be made available in publications or media hosted on this website shall be net of fees, excluding subscription fees and sales commissions. The value of your investment may increase or decrease. The income you receive from your investment may increase or decrease and you may get back less than you invest. The investment may be affected by changes in currency exchange rates and / or market conditions; your investment return may increase or decrease as a result of currency fluctuations or market conditions. At any one time the net asset value of the Fund may have a high volatility due to its portfolio composition or the portfolio management techniques that may be used. Please refer to the past performance information and the risk and reward profile of the KIID, together with the Prospectus for further information. There can be no guarantee that specific securities or the securities of specific issuers that may be identified in this publication will be held by any of the Gamax funds at any given time.
For further information please contact: Sarah Thanisch | Gamax Management AG | +352 269 764 82 | [email protected] www.gamaxfunds.com
Performance*
1 Month
YTD
12 Month
3 Year p.a.
5 Year p.a.
Since Launch**
GAMAX Asia Pacific
-0.66%
15.73%
15.73%
12.34%
9.88%
5.58%
Benchmark***
0.31%
15.66%
15.66%
11.25%
10.82%
4.56%
Net Excess Return
-0.97%
+0.07%
+0.07%
+1.09%
-0.94%
+1.02%
*Performance Figures Net of Fees to 28.12.17, Class A. All figures have been rounded to two decimal places. **Since DJE managed the Fund (Oct 2007) ***Benchmark is MSCI Asia Pacific Net Return Index (€). Source: GAMAX Management AG.
Market Overview and Performance Analysis
Most Asian stock markets moved upwards in local currencies in December. The highest gains in local currencies were allotted to the stock exchanges of Australia (+4.02%) and Thailand (+3.32%). Mainland listed Chinese equities were down 0.30% in local currency but up 0.10% when measure by euro, due to the appreciation of the yuan versus the single currency. Hong Kong listed Chinese equities posted higher gains and were up by 2.54% in local currencies and 1.40% in euro terms. Economic news out of China was still mostly positive, but the recent rise in Chinese interest rates remains a concern among investors. China and Japan are the most important investment regions for the Asia Pacific Fund. In December the Japanese market underperformed most other markets of the Asian Pacific region. The Nikkei 225 Index was up 0.18% in local currencies but down 0.98% in Euro. The GAMAX Asia Pacific fund dropped 0.66%, net of fees, in December and therefore underperformed the benchmark index which was up 0.31% in the reporting period. The key reasons for the underperformance in December were the underweight in Australian equities relative to the benchmark index, and the above average performance of the energy and finance sectors. Both sectors were underweight in December. However over 2017 the fund gained 15.73% net of fees and therefore slightly outperformed the benchmark index which was up by 15.66%. The biggest positive contributor to the fund’s performance in December was the Chinese healthcare stock Sino Biopharmaceutical (+34.82%) followed by Japanese basic resources stock Sumitomo Metal Mining (+18.90%). Japanese mining and construction equipment producer Komatsu and Macao gaming operator Galaxy Entertainment (+10.19%) also helped in December. On the other hand the stock price corrections of some higher weighted Chinese stocks like Zhejiang Expressway (-7.34%) or Kingboard Chemical (-3.43%) detracted from performance in the reporting period.
Dr. Jan Ehrhardt Leading Fund Manager
Stefan Breintner Deputy Fund Manager
Fund Objectives The GAMAX Asia Pacific Fund predominantly invests in equities in the Asia-Pacific region. By doing this, the Fund aims to benefit from the economic prospects of the region, including Emerging Asian economies such as China. The Fund is benchmarked against the MSCI AC Asia Pacific Index net return in euro.
Country allocation as a percentage of the Fund
Taiwan 3.84%
Cash 7.22%
Other Countries 9.94%
China 16.40%
Japan 24.64%
Hong Kong 37.96%
Portfolio Activity
At the end of the month the total investment quota was about 93%, 7% was held in cash. We increased, amongst others, the position in Hong Kong Listed real estate operator Hang Lung. In order to reduce the fund’s underweight in the financials and telecoms sectors, stocks of Japanese SMFG and KDDI were added as new positions to the portfolio. Both companies have good market positions and offer attractive valuations. On the other hand the fund management reduced the overweight in the technology sector by taking profits from stocks of Tokyo Electron and Rohm. We furthermore realized profits by selling parts of our positions in the Japanese industrial company Disco.
Asset Allocation Breakdown Funds Bonds 0.00% 0.06%
Cash 7.22%
Portfolio Strategy and Outlook
The outlook for Asia still remains attractive. Economic growth in the region continues to pick up, while inflation remains low, giving central banks no reason for substantial rate hikes. At the same time corporate earnings in the region show a strong pick up following years of rather weak earnings growth. Valuations are still attractive and global fund managers are not overweight in the Asian Pacific region.
For further information please contact: Sarah Thanisch | Gamax Management AG | +352 269 764 82 | [email protected] www.gamaxfunds.com
Stocks 92.72%
Monthly Updates January 2018
INTENDED RECIPIENTS OF PUBLICATION OR MEDIA
TOP 10 HOLDINGS* Name
Weight in%
Country
KINGBOARD LAMINATES HLDGS LTD
5.62%
HK
CHAMPION REAL ESTATE INV TRUST
4.62%
HK
HOPEWELL HOLDINGS LTD
3.89%
HK
TAIWAN SEMICOND.MANUFACT
3.84%
TW
DMG MORISEIKI J
3.69%
JP
ANTA SPORTS PRODUCTS LTD
3.50%
CN
WEST JAPAN RAILWAY CO
3.35%
JP
PANASONIC CORP
3.34%
JP
KOMATSU LTD
3.12%
JP
DBS GROUP HOLDINGS LTD
2.96%
SG
TOP 10 CONTRIBUTORS (STOCKS) TO MONTHLY PERFORMANCES IN %** SINO BIOPHARMACEUTICAL
34.82%
HK
SUMITOMO METAL MINING CO LTD
18.90%
JP
DAITO TRUST CONSTRUCT CO LTD
12.07%
JP
KOMATSU LTD
10.88%
JP
JD.COM INC-ADR
10.60%
CN
LINK NET TBK PT
10.22%
ID
GALAXY ENTERTAINMENT GROUP
10.19%
HK
TECHNOPRO HOLDINGS INC
9.09%
JP
ASICS CORP
8.59%
JP
TRAVELSKY TECHNOLOGY LTD
8.31%
CN
TOP 10 DETRACTORS (STOCKS) TO MONTHLY PERFORMANCES IN %** ZHEJIANG EXPRESSWAY CO
-7.34%
CN
SOFTBANK
-6.16%
JP
SYDNEY AIRPORT
-4.99%
AU
SAMSUNG SDI CO LTD
-4.44%
KR
KINGBOARD LAMINATES HOLDING
-4.40%
HK
HON KWOK LAND INVESTMENT
-4.28%
HK
CHOW TAI FOOK JEWELLERY GROU
-3.53%
HK
KINGBOARD CHEMICAL HOLDINGS
-3.43%
HK
VITASOY INTL HOLDINGS LTD
-2.68%
HK
ALIBABA GROUP HOLDING
-2.63%
CN
SMALL-/MID-/LARGECAPS IN %** Smallcap
4.78%
Midcap
35.54%
Largecap
52.32%
*Source: Mediolanum Asset Management Limited. **Source: DJE Kapital Management AG.
The information contained on this publication or media does not constitute an offer for products or services and should not be construed as an offer to sell or a solicitation of an offer to buy to any persons who are prohibited from receiving such information under the laws applicable to their place of citizenship, domicile or rWWesidence. Save as otherwise disclosed, none of the information, whether in part or full, is permitted to be copied, reproduced or redistributed in any form nor should it be regarded as an offer or a solicitation of an offer for investment in countries outside of Austria, Germany, Italy, Luxembourg, Spain and Switzerland. The content of this publication or media was issued by or on behalf of GAMAX Management AG (’GMAG) for the sole attention of investors who or which are domiciled in jurisdictions where such distribution or availability would not be contrary to local laws or regulations.
IMPORTANT INFORMATION: The GAMAX FCP (fonds commun de placement); or “GAMAX Funds” is a Luxembourg domiciled open-ended UCITS umbrella FCP authorized by the Commission de Surveillance du Sector Financier (CSSF). As an umbrella fund, GAMAX Funds is composed of three sub-funds: GAMAX Funds - Asia Pacific; GAMAX Funds – Maxi-Bond and GAMAX Funds – Junior (hereinafter “GAMAX Funds”). The Fund Manager is GAMAX Management AG (‘GMAG’) which is authorised by the CSSF in Luxembourg as a UCITS Management Company pursuant to the Law of 17 December 2010 relating to undertakings for collective investment. Its registered address is at 11/13, Boulevard de la Foire, L-1528 Luxembourg. GMAG has appointed Mediolanum Asset Management Ltd. (“MAML”) as Investment Manager of the Fund. MAML is authorised by the Central Bank of Ireland as an Investment Firm under the European Communities (Markets in Financial Instruments) Regulations 2007. DJE Kapital AG (DJE) has been appointed as the portfolio manager of the GAMAX Junior and GAMAX Asia-Pacific funds. DJE is authorised as an investment firm by BaFin in Germany. The entities, products or services referred to in any publication or media hosted on this website are not endorsed by the CSSF or other relevant EU competent authority. This update should be read in conjunction with the Prospectus and the relevant key investor information document of GAMAX Funds, together with the most recent annual report (or semi-annual report if published thereafter) and raise any questions you have on this documentation with your independent professional adviser (including in respect of investment suitability, accounting and tax issues). The Prospectus, KIIDs and additional fund documents are available for download in several languages in our website: www.gamaxfunds.com Future returns depend upon future economic conditions. Past performance may not be a reliable guide to future performance. Neither past experience nor the current situation are necessarily accurate guides to the future. Any performance data that may be made available in publications or media hosted on this website shall be net of fees, excluding subscription fees and sales commissions. The value of your investment may increase or decrease. The income you receive from your investment may increase or decrease and you may get back less than you invest. The investment may be affected by changes in currency exchange rates and / or market conditions; your investment return may increase or decrease as a result of currency fluctuations or market conditions. At any one time the net asset value of the Fund may have a high volatility due to its portfolio composition or the portfolio management techniques that may be used. Please refer to the past performance information and the risk and reward profile of the KIID, together with the Prospectus for further information. There can be no guarantee that specific securities or the securities of specific issuers that may be identified in this publication will be held by any of the Gamax funds at any given time.
For further information please contact: Sarah Thanisch | Gamax Management AG | +352 269 764 82 | [email protected] www.gamaxfunds.com
