Factsheet: May 2021
Strategy
The Fund's objective is to achieve optimal long-term capital growth through active management of a portfolio of large-capitalisation stocks based primarily in North America.
The investment strategy is based on fundamental analysis. The stock selection process is based in particular on the activities of the companies, their governance, financial structure and development perspectives. The fund aims above all to identify companies with dominant positions, with a significant reinvestment capacity and low levels of gearing.
The recommended investment period is 5 years. The reference currency is the US Dollar.
Markets
Renewed household confidence and excess savings accumulated during lockdown are causing a strong increase in demand. At the same time, persistent pressure on production lines, linked to the aftermath of the health crisis, had an impact on consumer and raw material prices.
However, inflation fears have stabilized thanks to positive announcements from governments and central bankers, who are still willing to support economic recovery. Despite these positive indicators, technology stocks are taking a breather after a very strong beginning of the year.
In this context, the Dow Jones Industrials gained +1.19% while the S&P lost -0.25%, and the NASDAQ 100 lost -2.24%. On a sectoral basis, steel had an excellent month (+24%), while automobile manufacturers are stagnating (-7%).
The Fund
The fund gained +0.46% for the month, in line with the markets and slightly outperforming the S&P 500.
CME Group (+8%), Facebook (+7%) and Waters Corp (+7%) were the top three performers of the month, while Verisk Analytics (-7%), Becton Dickinson (-6%) and Paypal (-4%) were the lowest performers.
Despite uneven performances, which are sometimes enhanced by profit takings, the stocks in our portfolio continue to show financial results in line with our expectations while maintaining low debts, strong resilience, and real growth potentials of at least 10- 15% per annum.
Despite uneven performances, which are sometimes enhanced by profit takings, the stocks in our portfolio continue to show financial results in line with our expectations while maintaining low debts, strong resilience, and real growth potentials of at least 10- 15% per annum.
Price considerations do not therefore motivate our sell decisions and we remain convinced of the quality and long term development potential of the stocks in our portfolio some of which could additionally benefit from a catch-up effect.
For more information, please email us: contact@fisconsult-sinews.com
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