Fund Manager's Comment
Data as at 28 November 2008
November saw global equities decline for the sixth month in a row. Most regions’ markets dropped by around 7%, with only Japan holding up better by declining just over 1%. Against this backdrop, sector performance was predictable: telecoms and utilities did best, while autos, tech hardware and diversified financials did worst.
Nonetheless, the month did finish on a markedly more positive note on the back of the introduction of Barack Obama’s new economic team and the announcement that the US Federal Reserve would start buying $600bn worth of mortgage-related securities. The latter alone caused an almost immediate 80bp drop in 30-year mortgage rates, which boosted the prospects for the construction sector among others.
Over the course of the month, we have continued to reduce the cyclical exposure of the Fund – in particular cutting our positions in fertiliser and coal producers due to deteriorating corporate newsflow. The proceeds were invested in large capitalisation telecoms (e.g. Vodafone, Telefonica), financials (e.g. Santander, HSBC, Visa, Ace, Travelers) and construction (e.g. Shaw Group, Fluor Corp). This leaves the Fund with significant overweights in utilities, healthcare, telecoms and insurance and underweights in industrials, banks and tech.
Awards
Global Equity PDFKey Facts
| Fund Size (EUR) | 22.7m |
|---|---|
| Price EUR (A Acc Shares) | 62.93 |
| Minimum Lump Sum Investment | € 1,000 |
| Launch | 11 December 2006 |
| Launch Price (EUR) | 100 |
| Initial Charge | 5.0% |
| Annual Management Charge | 1.5% |
| Unit Type | Accumulation |
| Currency Type | EUR |
| Valuation | Daily, 12pm UK/1pm Lux |
| ISIN (A EUR Acc) | LU0268338505 |
|---|---|
| Sedol (A EUR Acc) | B1J99P2 |
| Bloomberg (A EUR Acc) | ARTGLOE LX |
| ISIN (Instl EUR Acc) | LU0268338091 |
| Sedol (Instl EUR Acc) | B1J99L8 |
| Bloomberg (Instl EUR Acc) | ARTGLOI LX |
Data as at 28 November 2008.
Performance
| Since Launch* | 1 Year | 6 Months | 3 Months | |
|---|---|---|---|---|
| Global Equity A Acc € | -37.1 | -45.7 | -41.5 | -35.1 |
| MSCI World (NR) € | -34.1 | -34.4 | -27.6 | -22.5 |
| Excess Return | -3.0 | -11.3 | -13.9 | -12.6 |
| Sector Average | -35.9 | -37.0 | -30.8 | -25.0 |
| Position in Sector | 277 | 554 | 630 | 655 |
| Funds in Sector | 516 | 630 | 702 | 728 |
| Quartile | 3 | 4 | 4 | 4 |
Source: Lipper Limited, NAV to NAV in Euro's with net income reinvested to 28 November 2008. *Data from 11 December 2006. The Artemis Global Equity Fund does not belong to an IMA sector. For comparative purposes 'sector average' is made up of Equity Global funds domiciled in Luxembourg and Dublin. Please remember that past performance is not a guide to the future.
Value of €1,000 invested at Launch to 28 November 2008
Source: Lipper Limited, NAV to NAV in Euro's with net income reinvested to 28 November 2008. Data from 11 December 2006.
Asset Allocation*
*Without cash. Source: Internal
Top Ten Holdings*
| RWE | 3.5% |
|---|---|
| Pfizer | 2.0% |
| KDDI | 1.9% |
| E.ON | 1.9% |
| Novartis | 1.8% |
| NTT Docomo | 1.7% |
| France Telecom | 1.7% |
| BP | 1.6% |
| AstraZeneca | 1.4% |
| McDonald's | 1.4% |
* Without cash.
Source: Internal.
Market Sector Split*
| Utilities | 15.0% |
|---|---|
| Pharmaceuticals & Biotechnology | 13.3% |
| Telecommunication Services | 12.0% |
| Energy | 10.9% |
| Insurance | 8.6% |
| Food Beverage & Tobacco | 5.5% |
| Capital Goods | 5.3% |
| Software & Services | 4.7% |
| Healthcare Equipment & Services | 4.5% |
| Other | 20.2% |
* Without cash.
Source: Internal.
Risk Warning
Artemis International SICAV is organised under the laws of the Grand Duchy of Luxembourg as a société d'investissement à capital variable (a "SICAV"). The Fund is an investment company which offers investors a choice between several classes of shares (each a "Class") in a number of sub-funds (each a "Sub-Fund"). Each Sub-Fund qualifies as a UCITS. This document is not an invitation to subscribe for shares in the Fund and is provided for information purposes only. Subscriptions for shares in the Fund can only be made on the basis of the current prospectus and simplified prospectus, copies of which can be obtained free of charge from Artemis Investment Management Ltd Cassini House, 57 St James’s Street, London SW1A 1LD. Shares in the Fund are not available for sale, nor should this document be considered available for distribution, in any jurisdiction in which the sale would be unlawful. Currently the Fund is registered for sale in France, Luxembourg, Sweden, Switzerland, the Netherlands and United Kingdom.
Past performance is not a guide to the future. The value of an investment, and any income from it, can fall as well as rise as a result of market and currency fluctuations and you may not get back the amount originally invested. A significant proportion of the Fund may be invested in emerging markets. Investments in emerging markets can involve greater risk than is customarily associated with more mature markets meaning above average price movements both positive and negative can be expected. Issued by Artemis Investment Management Ltd which is authorised and regulated by the Financial Services Authority, 25 The North Colonnade, Canary Wharf, London E14 5HS.
