Equities Asia (excluding Japan)
Whilst Asian equities managed to carry-over some momentum into the second quarter, the pace decelerated. We did not make any changes to the tactical weighting, however, we did make changes to the selection. We relinquished the units of the Performa Asia Equity Fund, the proceeds of which are being invested in the Swiss Rock Emerging Equity Fund.
This Swiss managed fund also invests with a focus on Asian emerging countries, but also considers promising companies in other emerging markets. In this fund, we expect a closer dialogue with the fund managers and obviously, a better performance too. With respect to the weighting of Asian stocks, we are about neutral weight.
The Japan equity fund held by us is changing its name. Originally branded as a Julius Bär fund, it will in future be called ‘GAM Japan Equity Fund’. This is because the fund manager, GAM, who has held signatory authority for the JB Fund for a long time, has now decided to present all their funds in a uniform branding. The change of name does not have an impact on either the fund manager or the investment style. Our positions in the fund remained unchanged throughout the quarter.
No changes here. The fund employed by us represents a neutral weighting and achieves its purpose, thanks to low volatility growth.
Again, no changes to our Gold position. After some ups and downs, the precious metal is quoted about the same as the levels of the end of March.
Summary of our current Asset Allocation:
*For a Swiss Franc referenced portfolio.
Price/Book and Dividend Yield of major equity markets: