June, 2023
The Fund produced a negative absolute return in May, though outperformed the benchmark (before fees). In regard to our underlying managers, both Boston Partners and C Worldwide outperformed their respective benchmarks, though were negative in absolute terms as markets fell significantly.
Stock selection drove the outperformance, though asset allocation also assisted. The portfolio's developed-market holdings, which make up around 90% of the portfolio, outperformed its emergingmarket holdings in both absolute and relative terms. On a regional basis, stock selection in the US was again the main driver of outperformance, while selection in Japan was the main detractor. On an industry sector basis, selection within health care was a major contributor, as many stocks within the sector outperformed amid further flight to defensives over the period. Being underweight (i.e., not owning) energy stocks again detracted, as the sector, while quite volatile over the period, continued to gain on the back high inflation levels and supply shortages driving energy prices up.
Of stocks held in the portfolio, top contributors included overweight holdings in Cigna, McKesson and Novo Nordisk. Shares in US based insurer, Cigna, rose (+20%) as the business confirmed rising earnings, with analysts expecting further growth ahead. Shares in US based pharmaceutical The Fund produced a negative absolute return in May, though outperformed the benchmark (before fees). In regard to our underlying managers, both Boston Partners and C Worldwide outperformed their respective benchmarks, though were negative in absolute terms as markets fell significantly.
Stock selection drove the outperformance, though asset allocation also assisted. The portfolio's developed-market holdings, which make up around 90% of the portfolio, outperformed its emergingmarket holdings in both absolute and relative terms. On a regional basis, stock selection in the US was again the main driver of outperformance, while selection in Japan was the main detractor. On an industry sector basis, selection within health care was a major contributor, as many stocks within the sector outperformed amid further flight to defensives over the period. Being underweight (i.e., not owning) energy stocks again detracted, as the sector, while quite volatile over the period, continued to gain on the back high inflation levels and supply shortages driving energy prices up.
Of stocks held in the portfolio, top contributors included overweight holdings in Cigna, McKesson and Novo Nordisk. Shares in US based insurer, Cigna, rose (+20%) as the business confirmed distributor, McKesson, rose (+16%) amid a rising preference for defensive sectors over the period, as did shares in Danish pharmaceutical giant Novo Nordisk (+8%).
Top detractors included overweight holdings in ASML, Siemens and HCA Healthcare. Shares in Dutch semiconductor manufacturer ASML steadily fell through the period (-23%) amid a worsening global backdrop of ongoing supply issues and an increased likelihood of recession. Siemens shares fell (-21%), with the German engineering and manufacturing company ending the quarter by announcing a 2.8 billion euro write-down related to a fall in the value of Siemens Energy. HCA Healthcare shares fell significantly during the period (-27%), after the health facility operator announced first quarter results and forward guidance that disappointed the market.
File: https://commentary.quantreports.net/wp-content/uploads/2020/10/ffs-wsis_a-7.pdfJune, 2022
The Fund produced a negative absolute return in May, though outperformed the benchmark (before fees). In regard to our underlying managers, both Boston Partners and C Worldwide outperformed their respective benchmarks, though were negative in absolute terms as markets fell significantly.
Stock selection drove the outperformance, though asset allocation also assisted. The portfolio's developed-market holdings, which make up around 90% of the portfolio, outperformed its emergingmarket holdings in both absolute and relative terms. On a regional basis, stock selection in the US was again the main driver of outperformance, while selection in Japan was the main detractor. On an industry sector basis, selection within health care was a major contributor, as many stocks within the sector outperformed amid further flight to defensives over the period. Being underweight (i.e., not owning) energy stocks again detracted, as the sector, while quite volatile over the period, continued to gain on the back high inflation levels and supply shortages driving energy prices up.
Of stocks held in the portfolio, top contributors included overweight holdings in Cigna, McKesson and Novo Nordisk. Shares in US based insurer, Cigna, rose (+20%) as the business confirmed rising earnings, with analysts expecting further growth ahead. Shares in US based pharmaceutical The Fund produced a negative absolute return in May, though outperformed the benchmark (before fees). In regard to our underlying managers, both Boston Partners and C Worldwide outperformed their respective benchmarks, though were negative in absolute terms as markets fell significantly. Stock selection drove the outperformance, though asset allocation also assisted. The portfolio's developed-market holdings, which make up around 90% of the portfolio, outperformed its emergingmarket holdings in both absolute and relative terms. On a regional basis, stock selection in the US was again the main driver of outperformance, while selection in Japan was the main detractor. On an industry sector basis, selection within health care was a major contributor, as many stocks within the sector outperformed amid further flight to defensives over the period. Being underweight (i.e., not owning) energy stocks again detracted, as the sector, while quite volatile over the period, continued to gain on the back high inflation levels and supply shortages driving energy prices up. Of stocks held in the portfolio, top contributors included overweight holdings in Cigna, McKesson and Novo Nordisk. Shares in US based insurer, Cigna, rose (+20%) as the business confirmed distributor, McKesson, rose (+16%) amid a rising preference for defensive sectors over the period, as did shares in Danish pharmaceutical giant Novo Nordisk (+8%).
Top detractors included overweight holdings in ASML, Siemens and HCA Healthcare. Shares in Dutch semiconductor manufacturer ASML steadily fell through the period (-23%) amid a worsening global backdrop of ongoing supply issues and an increased likelihood of recession. Siemens shares fell (-21%), with the German engineering and manufacturing company ending the quarter by announcing a 2.8 billion euro write-down related to a fall in the value of Siemens Energy. HCA Healthcare shares fell significantly during the period (-27%), after the health facility operator announced first quarter results and forward guidance that disappointed the market.
File: https://commentary.quantreports.net/wp-content/uploads/2020/10/ffs-wsis_a-6.pdfMarch, 2022
The Fund produced a negative absolute return for the quarter and underperformed the benchmark (before fees). Boston Partners and C Worldwide both produced negative absolute returns and underperformed their respective benchmarks. Stock selection and asset allocation were both negative for the quarter. The portfolio's developed- market holdings, which make up around 89% of the portfolio, underperformed its emerging-market holdings. On a regional basis, stock selection in the UK and Japan detracted, though selection in France and China was strong. On an industry sector basis, selection within healthcare was a significant positive contributor, while being underweight (i.e., not owning) energy sector stocks continued to detract, as the sector continued to gain on the back of continued high inflation levels, strong commodity prices and the war in Ukraine.
File: https://commentary.quantreports.net/wp-content/uploads/2020/10/ffs-wsis_a-5.pdfDecember, 2021
The Fund produced a strong absolute return, though slightly underperformed the benchmark (before fees) over the quarter. In regard to our two underlying managers, C Worldwide Ethical outperformed the benchmark, while Boston Partners underperformed, though both were solid in absolute returns.
Overall, the portfolio's asset allocation was positive, though stock selection was negative. Developedmarket holdings, which make up around 90% of the portfolio, produced considerably stronger returns than our emerging-market holdings as emerging markets struggled more with inflation, commodity price volatility, and Chinese growth concerns. On a regional basis, the portfolio's US holdings were the main detractor from the relative return, due to both selection and allocation. On an industry sector basis meanwhile, selection within information technology was the major detractor.
At a stock level, relative performance continued to be negatively impacted by the portfolio not owning some of the major US technology stocks which surged over the period, such as Apple, Tesla and Nvidia Corporation, an area where our managers don't see much value. Apple (+25%) rose as the market welcomed speculation that the company was planning to release the next generation iPhone SE in the March 2022 quarter
File: https://commentary.quantreports.net/wp-content/uploads/2020/10/ffs-wsis_a-4.pdfJune, 2021
The Ethical Leaders International Shares Fund slightly produced a strong absolute return despite slightly underperforming the benchmark over the June quarter. Sector allocation was the main contributor to the relative return, however, it was offset by stock selection, which contributed positively within industrials; with overweights to Owens Corning, Brenntag and Siemens adding the most value.
Conversely, stock selection in the information technology sector was the major detractor from relative performance, including underweights to Apple, PayPal and Shopify. Stock selection in health care and financials further detracted from performance. At the manager level, C Worldwide outperformed the Fund benchmark, whilst Lazard, Boston Partners and the Ethical Leaders Emerging Markets Fund underperformed. The overweight to emerging markets was a detractor, as emerging markets underperformed developed markets over the quarter.
File: https://commentary.quantreports.net/wp-content/uploads/2020/10/ffs-wsis_a-3.pdfMarch, 2021
The Ethical Leaders International Shares Fund produced a positive return and outperformed the benchmark over the period. Stock selection was the main contributor to performance, however, it was offset by the sector allocation decisions.
Stock selection was particularly strong within the information technology sector, including through an underweight to Apple along with overweights to Applied Materials, Concentrix and Synnex.
Stock selection in consumer discretionary and industrials further contributed to performance. Conversely, an underweight to the energy sector was the major detractor from relative performance, particularly as we don't own ExxonMobil and Chevron. At an underlying manager level, Boston Partners and Lazard outperformed the Fund benchmark, whilst the Ethical Leaders Emerging Markets Fund and C Worldwide underperformed. An overweight to emerging markets was a detractor, as emerging markets underperformed developed markets over the month
File: https://commentary.quantreports.net/wp-content/uploads/2020/10/ffs-wsis_a-2.pdfDecember, 2020
The Ethical Leaders International Shares Fund produced a positive return and outperformed the benchmark over the December quarter. Stock selection contributed to performance, as did the sector allocation effect. Stock selection was particularly strong within information technology, including through overweights to Samsung Electronics, TSMC and Applied Materials.
Stock selection in consumer discretionary and health care further contributed to performance. Conversely, stock selection in the consumer staples sector was the major detractor from relative performance, including through overweights to Kimberly-Clark and Procter & Gamble. At the underlying manager level, Boston Partners and the Ethical Leaders Emerging Markets Fund outperformed the Fund benchmark, whilst Lazard and C Worldwide underperformed.
The overweight to emerging markets was a contributor, as emerging markets outperformed developed markets over the quarter.
File: https://commentary.quantreports.net/wp-content/uploads/2020/10/ffs-wsis_a-1.pdfSeptember, 2020
The Ethical Leaders International Shares Fund produced another positive return, though underperformed the benchmark over the September quarter. Stock selection detracted from performance, while the sector allocation effect was neutral. Underweight exposure to the energy and utilities sectors contributed positively, as did stock selection within financials. Conversely, stock selection in the consumer discretionary sector was the major detractor from relative performance, including underweights to Tesla, Apple and Alibaba. The underweight to Tesla and Apple accounted for almost half of the underperformance for the quarter. Stock selection in communication services and industrials further detracted from performance. At the manager level, allocations to the Ethical Leaders Emerging Markets Fund and C Worldwide outperformed the Fund benchmark, whilst Boston Partners and Lazard underperformed. The overweight to emerging markets was a contributor, as emerging markets outperformed developed markets over the quarter.
File:June, 2020
The Ethical Leaders International Shares Fund slightly produced a strong absolute return despite slightly underperforming the benchmark over the June quarter. Sector allocation was the main contributor to the relative return, however, it was offset by stock selection, which contributed positively within industrials; with overweights to Owens Corning, Brenntag and Siemens adding the most value. Conversely, stock selection in the information technology sector was the major detractor from relative performance, including underweights to Apple, PayPal and Shopify. Stock selection in health care and financials further detracted from performance. At the manager level, C Worldwide outperformed the Fund benchmark, whilst Lazard, Boston Partners and the Ethical Leaders Emerging Markets Fund underperformed. The overweight to emerging markets was a detractor, as emerging markets underperformed developed markets over the quarter.
File: https://commentary.quantreports.net/wp-content/uploads/2020/10/ffs-wsis_a.pdfticker: AMP0455AU
commentary_block: Array
factsheet_url:
“Fund Performance”
release_schedule: Quarterly
manager_contact_details: Array
fund_features:
AMP Capital Ethical Leaders International Share Fund invests globally via a multi-manager structure.
- The Fund invest in companies that are making a positive contribution in areas such as human rights, animal welfare, gender diversity, environment, climate change and governance.
- Our ethical fund actively avoids investing your money in industries that negatively impact our world such as fossil fuels, tobacco, nuclear power, armaments, gambling, alcohol and pornography.
asset_class: Foreign Equity
asset_category: Large Blend - Responsible Investment
peer_benchmark: Foreign Equity - Large Responsible Index
broad_market_index: Developed -World Index
structure: Managed Fund