-1.68 /
-0.96%
175.09
NAV on 2019/11/11
| NAV on 2019/11/08 |
176.77 |
| 52 week high on 2019/04/23 |
188 |
| 52 week low on 2018/12/10 |
162.78 |
| Total Expense Ratio on 2019/06/30 |
1.18 |
| Total Expense Ratio (performance fee) on 2019/06/30 |
0 |
| Basic Materials |
125.60 |
15.91% |
| Consumer Services |
74.12 |
9.39% |
| Derivatives |
2.30 |
0.29% |
| Financials |
284.74 |
36.07% |
| Industrials |
29.66 |
3.76% |
| Liquid Assets |
21.68 |
2.75% |
| Technology |
95.00 |
12.03% |
| Telecommunications |
26.10 |
3.31% |
| Offshore |
130.24 |
16.50% |
Management company:
Anchor Capital (Pty) Ltd. |
Formation date:
2013/04/02 |
ISIN code:
ZAE000175626 |
Short name:
U-ANCHREQ |
Risk:
Unknown |
Sector:
South African--Equity--General |
Benchmark:
FTSE JSE Capped SWIX All Share index |
Anchor Capital Investment Team
Anchor BCI Equity comment - Sep 19
2019/10/14 00:00:00
The Anchor BCI Equity Fund gained 1.0% in September vs the Capped Swix benchmark, which ended the month only 0.7% higher. YTD, the benchmark Capped Swix is up 1.4%, while the fund has gained 3.8%.
The domestic market started the month on a strong footing, with the Capped SWIX Index up over 6% by mid-month and the rand strengthening 4% against the US dollar over the same period, as receding global recession fears and increasing optimism for a resolution to trade wars buoyed global sentiment . However, geopolitical risk conspired to reverse those gains by month-end, with the Capped SWIX Index closing September only 0.7% higher and the rand only 0.3% stronger.
During the month, the fund sold out of long-time, core holding CFR Richemont (CFR), which the team believes wasn’t fully pricing in the negative impact of the ongoing Hong Kong protests on tourist numbers to the region. The Hong Kong market accounts for approximately 12% of CFR’s revenue, and continued growth in Asia was one of the chief reasons for our exposure to CFR. The protests will ultimately come to an end and we’ll assess the impact on the thesis as new data are presented, but for now we have adopted a cautious stance although we remain constructive on the longer-term prospects of the business, especially in light of the YNAP integration.
The portfolio is constructed from bottom-up, fundamental research with an investment philosophy that favours quality stocks with superior returns on capital, cash flows and pricing power. While acceptable valuation is an important component of the stock selection process, the fund's style is not 'value' - investments will be made in premium-rated stocks where the growth outlook and quality profile warrants it. The fund will also own shares that are often not well researched, yet offer exceptional valuation-driven opportunities. The quality of companies included is judged by rates of earnings growth, return on capital employed, cash conversion and stability of margins. The portfolio may from time to time invest in listed and unlisted financial instruments. The manager may include the following unlisted financial instruments: forward currency, interest rate and exchange rate swap transactions for efficient portfolio management purposes. The portfolio's equity exposure will always exceed 80% of the portfolio's net asset value.
