DNCA Invest
Velador

Absolute Return Fund

Portfolio managers comments
February 2017


February was marked by a slight rally on the equity markets, with the EUROSTOXX 50 up 2.75% over the month. This rally was largely a result of broadly positive corporate earnings reports, marked by slightly more optimistic 2017 prospects than expected a few months ago. While the world economy seems to be doing better, forthcoming political events, especially in France, are a source of concern and investors are impatiently awaiting the results. The results of these elections will no doubt be key in dictating future world economic and financial markets trends.

VELADOR gained 145bp in February...

Mathieu Picard - Cyril Freu - Boris Bourdet - Pierre PincemailleText completed on March 01, 2017

At 2017-03-23

NAV

106.42€

Risk indicator

Year-to-date performance

+2.99%

Annualized performance since inception

+3.42%
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Performance 

2016

+2.3%

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Volatility over 1 year

-

Recommended minimum investment horizon

5 Years

Net assets
(At 2017-02-28)

377M€

Inception date

2015-05-18
Past performance is not an indicator of future performance
Management fees are included in performance. The performances are calculated net of any fees by DNCA FINANCE.
This is not a capital guarantee fund

Fund Managers

Cyril freu img8192

Cyril Freu

Cyril Freu is a qualified member of the French financial analysts’ association (SFAF) and also holds a postgraduate degree in Finance from Sciences-Po Paris and a master’s degree from Paris IX Dauphine University.

In 1998, he began his career as a sell-side financial analyst, firstly at CPR Finance then at IXIS Securities. In 2005, he was elected best financial analyst across all sectors (Agefi Extel Focus France survey). In 2006, he moved to the proprietary management team at IXIS CIB, which became Natixis, managing a diversified portfolio covering fundamental valuation strategies. Cyril joined DNCA Finance in 2009 to set up and manage the Absolute return fund range.

He became Deputy CIO of DNCA Finance in 2014.

Mpi

Mathieu Picard

Mathieu Picard holds a postgraduate degree in Finance from Sciences-Po Paris and a master’s degree from Paris IX Dauphine University.

In 2002, he became a sell-side financial analyst at IXIS Securities. In June 2006, he moved to the proprietary management team as a financial analyst at IXIS CIB, which became NATIXIS.

He joined the DNCA Finance Absolute return team in September 2009.

Bbo

Boris Bourdet

Boris Bourdet is a CFA charterholder and is a graduate of ESC Rouen and Sciences-Po Aix.

In 2003, he began his career as a financial auditor at Ernst & Young, before becoming a sell-side financial analyst in 2005 at IXIS Securities, which became Natixis. He was elected best sector analyst in 2007 and 2008 in the Agefi Extel Focus France survey.

He joined the DNCA Finance team in June 2011.

Pierre pincemaille 1 img17290

Pierre Pincemaille

DNCA bolsters its Absolute return fund range by hiring a new fund manager.

Pierre Pincemaille holds a postgraduate degree in Economics and a Master in Finance from Paris II Panthéon Assas University. Pierre started his career in 1998 at Indosuez Private Banking as a European equities portfolio manager, with a particular focus on energy and chemicals stocks. He joined IXIS Asset Management in 2002 and took on responsibility for European equities funds managed on behalf of CNP, and also became a member of the investment committee. Pierre moved to BNP Paribas Asset Management in 2007 to take charge of the "Best Select" funds on Europe and the Eurozone in a team of nine staff (€11bn in UCITS and institutional mandates) and was also head of financial analysis for the energy sector.

Pierre Pincemaille joined DNCA in June 2016 as a European equities portfolio manager and will be in charge of the energy sector within the Absolute Return fund range.

Performances

Fund evolution
Annualised performances

Inception date : 2015-05-18

PerfAt 2017-03-23
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YTD

DNCA Invest Velador+2.99%
Composite Index Velador (2)+1.24%
Simulator
(1) The inception date of the Fund is 2015-05-18
(2) 25% EuroStoxx 50 NR + 75% Eonia

Briefly

The Sub-Fund's strategy qualifies as absolute return and relies on fundamental financial analysis performed by the Investment Manager. It invests in European issuers (EEA plus Switzerland). The global risk associated with investments of the Sub-Fund (Longs and Futures) cannot exceed 200% of the net assets of the Sub-Fund. With a net exposure limited to 0/+ 50% of the assets under management, it is not significantly dependent on the equity market trends. The major part of the performance depends on the Investment Managers' capacity in identifying equities that have the characteristics to outperform their market indexes or their sector indexes.

What objective?

The Sub-Fund seeks to achieve a positive performance higher than the following composite Index: 25% EUROSTOXX 50 NR + 75% EONIA. This performances objective is sought by associating it to a lower annual volatility than 8%.

What breakdown?

The Sub-Fund may at any time be invested in:
- Equities issued in Europe (EEA plus Switzerland) or equivalent financial instruments (such as ETF, futures, CFD and/or DPS, etc.): from 75% to 100% of its net assets,
- Equities issued outside of EEA plus Switzerland: up to 10% of its net assets,
- Equities with total capitalisation below 150 million Euros up to 5% of its net assets,
- Euro zone Ordinary Bonds, convertible bonds or equivalent, money-market instruments or deposits: from 0% to 25% of its net assets,
- other financial instruments up to 10% of its net assets.

For what type of investor?

All investors, in particular investors looking for a European share market exposure.

Which characteristics?

Pricing : Daily
Fund Legal Type : SICAV mutual fund governed by Luxembourg law
Country Of Domicile : LU
Min Subscription Amount :
Min Subscription Shares :
Subscription Fees : 3% max
Performance fee : 20% of the positive performance net of any fees above Composite Index Velador

What taxation?

This fund is eligible for French PEA personal equity plans. Please consult your usual financial advisor for further information.

Highlights

Legal information

The above information is not a confirmation of any transaction and does not comprise investment advice. Past performances are not a reliable indicator of future performances. Management fees are included in performances. Access to products and services presented may be restricted regarding certain persons or countries. Tax treatment depends on the individual situation of each investor. For full information regarding strategies and fees, please refer to the prospectus, KIID documents and other regulatory information available on this website or free of charge on demand from the investment management company’s registered offices.