Epoch Gbl Eq Shldr Yld Fd Hgd (GSF0001AU) Report & Performance

What is the Epoch Gbl Eq Shldr Yld Fd Hgd fund?

The Epoch Global Equity Shareholder Yield Funds pursue attractive total returns with above-average levels of income by investing in a diversified portfolio of global companies with strong and growing free cash flow.

  • A diversified portfolio of 90-120 global companies with attractive income and capital growth potential
  • Risk management is integrated throughout the investment process and seeks to achieve the least possible volatility for the return characteristics sought
  • Complements other global equity strategies that primarily focus on traditional valuation methods and capital appreciation
  • Suitable for investors seeking income; generally provides a tax-effective income (yield + low turnover)
  • Highly regarded by research houses

Growth of $1000 Investment Over Time

Performance Report

Peer Comparison Report

Peer Comparison Report

Latest News & Updates For Epoch Gbl Eq Shldr Yld Fd Hgd

Epoch Gbl Eq Shldr Yld Fd Hgd Fund Commentary September 30, 2023

For the quarter, the Fund posted a return of negative 3.30% and the broad market returned negative 2.87% as measured by the MSCI World ExAustralia Index, hedged into $A. Uncertainty was evident through much of the quarter, with markets swinging up and down throughout but ultimately declining for the period.

Absolute return was mixed across sectors, with the largest detractions coming from utilities and communication services. Electric utilities were primarily responsible for the drag on return from the utilities sector, which saw valuations broadly pressured due mainly to rising interest rates. Rising yields tend to negatively affect utilities due to a view that they act as “bond proxies”, however, in contrast to bonds utility companies also have growth, often at or above mid-single digits, which offsets the rate impact. The drag on return from communication services came primarily from poorly performing diversified telecommunications names.

The largest positive contribution to relative return came from information technology. Stock selection within technology hardware storage and peripherals names was the primary driver of performance, as within the segment the fund had exposure to the top performing name in the benchmark and was underexposed to the second worst performer. Underweight allocation to the sector aided performance as well, with information technology having the second worst return in the index for the quarter. On the negative side, stock selection within some diversified telecommunications holdings that lagged for the quarter detracted the most from relative performance.

Among the largest individual contributors to return were TotalEnergies and AbbVie. TotalEnergies is a global energy company that explores and produces oil and gas, refines petroleum products, manufactures petrochemicals, and operates gas stations. It is also growing its presence in generating electricity from renewable sources. Shares outperformed along with its integrated peers due to rising oil prices, as OPEC+ decided to extend the production cut to maintain a tight market. Management remains focused on driving cash flow growth from liquified natural gas (LNG) and integrated power which includes renewables. TotalEnergies’ global scale, strong balance sheet, integrated business model, capital flexibility, and cost discipline allow the company to pay a sustainable dividend through commodity price cycles and reward shareholders with buybacks using excess free cash flow.

READ HISTORICAL PERFORMANCE COMMENTARIES

Product Snapshot

  • Product Overview
  • Performance Review
  • Peer Comparison
  • Product Details

Product Overview

Fund Name APIR Code
? A Product Code is unique a identifier code issued by a group or governing body, to reference products in a large group. For an example, APIR codes are commonly used for Funds and Ticker codes are commonly used for Securities such as ETFs and Stocks.
Structure
?
Asset Class
? An Asset Class breakdown provides the percentages of core asset classes found within a mutual fund, exchange-traded fund, or another portfolio. Asset classes (in microeconomics and beyond) generally refer to broad categories such as equities, fixed income, and commodities.
Asset Category
? An Asset Category is a grouping of investments that exhibit similar characteristics and are subject to the same laws and regulations. Asset categories (or a sub-asset class) are made up of instruments which often behave similarly to one another in the marketplace, looking down to the Asset Category level is important if looking to build a diversified portfolio.
Peer Benchmark Name
? A Peer Index (benchmark) refers to a peer group of investment managers who have the same investment style or category. It is used to compare the performance of one manager to their peer group, which makes it simpler for investors to choose between the vast number of investment managers.
Broad Market Index
? A Market Index (benchmark) refers to a hypothetical portfolio of investments that represents a segment, asset or category of an investable market. Market Indices are used to benchmark managers performance, to assist their style reliability and ability to provide excess returns.
FUM
? Funds/Assets under management (AUM) is the total market value of the investments that a person or entity manages on behalf of clients. Assets under management definitions and formulas vary by company.
Management Fee
? A management fee is a charge levied by an investment manager for managing an investment fund. The management fee is intended to compensate the managers for their time and expertise for selecting finanical products and managing the portfolio.
Performance Fee
? A performance fee is a payment made to an investment manager for generating positive returns. This is as opposed to a management fee, which is charged without regard to returns. A performance fee can be calculated many ways. Most common is as a percentage of investment profits, often both realized and unrealized. It is largely a feature of the hedge fund industry, where performance fees have made many hedge fund managers among the wealthiest people in the world.
Spread
? A spread can have several meanings in finance. Basically, however, they all refer to the difference between two prices, rates or yields. In one of the most common definitions, the spread is the gap between the bid and the ask prices of a security or asset, like a stock, bond or commodity. This is known as a bid-ask spread.
Epoch Gbl Eq Shldr Yld Fd HgdGSF0001AUManaged FundsForeign EquityCurrency HedgedForeign Equity - Currency Hedged IndexDeveloped -World Index280.77 M1.3%0.00%0.4%

Performance Review

Fund Name Last Month
? Returns after fees in the most recent (last) month).
3 Months Return
? Returns after fees in the most recent 3 months.
1 Year Return
? Trailing 12 month returns.
3 Years Average Return
? Average Annual returns from the last 3 years.
Since Inc. Average Return
? Average (annualised) returns since inception
1 Year Std. Dev. (Annual)
? The standard deviation (or annual volatility) of the last 12 months.
3 Years Std. Dev. (Annual)
? The average standard deviation (or annual volatility) from the last 3 years.
Since Inc. Std. Dev. (Annual)
? The average standard deviation (or annual volatility) since the fund inception.
1 Year Max Drawdown
? The maximum drawdown in the last 12 months - a drawdown is a peak-to-trough decline during a specific period for an investment, trading account, or fund.
3 Year Max Drawdown
? The maximum drawdown in the last 36 months - a drawdown is a peak-to-trough decline during a specific period for an investment, trading account, or fund.
Since Inc. Max Drawdown
? The maximum drawdown since inception - a drawdown is a peak-to-trough decline during a specific period for an investment, trading account, or fund.
Epoch Gbl Eq Shldr Yld Fd Hgd3.28%4.48%15.87%5.8%7.21%10.75%13.15%12.43%-8.18%-14.78%-34.57%

Peer Comparison

Fund Name Peer Index Name
? A group of individuals who share similar characteristics and interests are called peer groups. Peer group analysis is an essential part of assessing a price for a particular stock in investment research. The emphasis here is on making a comparison, meaning that the peer group constituents should be more or less identical to the company being examined, especially in terms of their main business and market capitalization areas.
12 Months Excess Return
? Excess returns are an important metric that helps an investor to gauge performance in comparison to other investment alternatives. In general, all investors hope for positive excess return because it provides an investor with more money than they could have achieved by investing elsewhere.
Excess Return Annualised Since Inception
? Excess returns are an important metric that helps an investor to gauge performance in comparison to other investment alternatives. In general, all investors hope for positive excess return because it provides an investor with more money than they could have achieved by investing elsewhere.
12 Months Alpha
? Alpha is used in finance as a measure of performance, indicating when a strategy, trader, or portfolio manager has managed to beat the market return over 12 months. Alpha, often considered the active return on an investment, gauges the performance of an investment against a market index or benchmark that is considered to represent the market’s movement as a whole.
Alpha Annualised Since Inception
? Alpha is used in finance as a measure of performance, indicating when a strategy, trader, or portfolio manager has managed to beat the market annualized since inception. Alpha, often considered the active return on an investment, gauges the performance of an investment against a market index or benchmark that is considered to represent the market’s movement as a whole.
12 Months Beta
? Rolling 12Month Beta is a measure of the volatility—or systematic risk—of a security or portfolio compared to the market as a whole. Beta is used in the capital asset pricing model (CAPM), which describes the relationship between systematic risk and expected return for assets (usually stocks).
Beta Annualised Since Inception
? Beta is a measure of the volatility—or systematic risk—of a security or portfolio compared to the market as a whole. Beta is used in the capital asset pricing model (CAPM), which describes the relationship between systematic risk and expected return for assets (usually stocks).
12 Months Tracking Error
? 12Month Tracking error is the difference in actual performance between a position (usually an entire portfolio) and its corresponding benchmark over the last 12 months. The tracking error can be viewed as an indicator of how actively a fund is managed and its corresponding risk level. Evaluating a past tracking error of a portfolio manager may provide insight into the level of benchmark risk control the manager may demonstrate in the future.
Tracking Error Since Inception
? Since Inception tracking error is the difference in actual performance between a position (usually an entire portfolio) and its corresponding benchmark since inception. The tracking error can be viewed as an indicator of how actively a fund is managed and its corresponding risk level. Evaluating a past tracking error of a portfolio manager may provide insight into the level of benchmark risk control the manager may demonstrate in the future.
12 Months Correlation
? Correlation, in the finance and investment industries, is a statistic that measures the degree to which two securities move in relation to each other. Correlations are used in advanced portfolio management, computed as the correlation coefficient, which has a value that must fall between -1.0 and +1.0.
Correlation Since Inception
? Correlation, in the finance and investment industries, is a statistic that measures the degree to which two securities move in relation to each other. Correlations are used in advanced portfolio management, computed as the correlation coefficient, which has a value that must fall between -1.0 and +1.0.
Epoch Gbl Eq Shldr Yld Fd HgdForeign Equity - Currency Hedged Index-3.59%-1.42%NA%NA%NA%0.912.51%5.87%0.980.92

Product Details

Fund Name Verifed by SMSF Mates Manager Address Phone Website Email
Epoch Gbl Eq Shldr Yld Fd HgdYes-https://www.mlc.com.au/-

Product Due Diligence

What is Epoch Gbl Eq Shldr Yld Fd Hgd

Epoch Gbl Eq Shldr Yld Fd Hgd is an Managed Funds investment product that is benchmarked against Developed -World Index and sits inside the Foreign Equity - Currency Hedged Index. Think of a benchmark as a standard where investment performance can be measured. Typically, market indices like the ASX200 and market-segment stock indexes are used for this purpose. The Epoch Gbl Eq Shldr Yld Fd Hgd has Assets Under Management of 280.77 M with a management fee of 1.3%, a performance fee of 0.00% and a buy/sell spread fee of 0.4%.

How has the investment product performed recently?

The recent investment performance of the investment product shows that the Epoch Gbl Eq Shldr Yld Fd Hgd has returned 3.28% in the last month. The previous three years have returned 5.8% annualised and 12.43% each year since inception, which is when the Epoch Gbl Eq Shldr Yld Fd Hgd first started.

How is risk measured in this investment product?

There are many ways that the risk of an investment product can be measured, and each measurement provides a different insight into the risk present. They can be used on their own or together to perform a risk assessment before investing, but when comparing investments, it is common to compare like for like risk measurements to determine which investment holds the most risk. Since Epoch Gbl Eq Shldr Yld Fd Hgd first started, the Sharpe ratio is NA with an annualised volatility of 12.43%. The maximum drawdown of the investment product in the last 12 months is -8.18% and -34.57% since inception. The maximum drawdown is defined as the high-to-low decline of an investment during a particular time period.

What is the relative performance of the investment product?

Relative performance is what an asset achieves over a period of time compared to similar investments or its peers. Relative return is a measure of the asset's performance compared to the return to the other investment. The Epoch Gbl Eq Shldr Yld Fd Hgd has a 12-month excess return when compared to the Foreign Equity - Currency Hedged Index of -3.59% and -1.42% since inception.

Does the investment product produce Alpha over its Peers?

Alpha is an investing term used to measure an investment's outperformance relative to a market benchmark or peer investment. Alpha describes the excess return generated when compared to peer investment. Epoch Gbl Eq Shldr Yld Fd Hgd has produced Alpha over the Foreign Equity - Currency Hedged Index of NA% in the last 12 months and NA% since inception.

What are similar investment products?

For a full list of investment products in the Foreign Equity - Currency Hedged Index category, you can click here for the Peer Investment Report.

What level of diversification will Epoch Gbl Eq Shldr Yld Fd Hgd provide?

Epoch Gbl Eq Shldr Yld Fd Hgd has a correlation coefficient of 0.92 and a beta of 0.91 when compared to the Foreign Equity - Currency Hedged Index. Correlation measures how similarly two investments move in relation to one another. This establishes a 'correlation coefficient', which has a value between -1.0 and +1.0. A 100% correlation between two investments means that the correlation coefficient is +1. Beta in investments measures how much the price moves relative to the broader market over a period of time. If the investment moves more than the broader market, it has a beta above 1.0. If it moves less than the broader market, then the beta is less than 1.0. Investments with a high beta tend to carry more risk but have the potential to deliver higher returns.

How do I compare the investment product with its peers?

For a full quantitative report on Epoch Gbl Eq Shldr Yld Fd Hgd and its peer investments, you can click here for the Peer Investment Report.

How do I compare the Epoch Gbl Eq Shldr Yld Fd Hgd with the Developed -World Index?

For a full quantitative report on Epoch Gbl Eq Shldr Yld Fd Hgd compared to the Developed -World Index, you can click here.

Can I sort and compare the Epoch Gbl Eq Shldr Yld Fd Hgd to do my own analysis?

To sort and compare the Epoch Gbl Eq Shldr Yld Fd Hgd financial metrics, please refer to the table above.

Has the Epoch Gbl Eq Shldr Yld Fd Hgd been independently verified by SMSF Mate?

This investment product is in the process of being independently verified by SMSF Mate. Once we have verified the investment product, you will be able to find more information here.

How can I invest in Epoch Gbl Eq Shldr Yld Fd Hgd?

If you or your self managed super fund would like to invest in the Epoch Gbl Eq Shldr Yld Fd Hgd please contact via phone or via email .

How do I get in contact with the Epoch Gbl Eq Shldr Yld Fd Hgd?

If you would like to get in contact with the Epoch Gbl Eq Shldr Yld Fd Hgd manager, please call .

Comments from SMSF Mates

SMSF Mate does not receive commissions or kickbacks from the Epoch Gbl Eq Shldr Yld Fd Hgd. All data and commentary for this fund is provided free of charge for our readers general information.

Historical Performance Commentary

Performance Commentary - August 31, 2023

For the month of August, the Fund posted a return of -2.2% while the broader market returned -1.9% as measured by the MSCI World Ex Australia Index Net dividends in AUD (100% hedged into $A). The Fund was protective on the downside when markets fell but ended slightly behind the benchmark after a few AI related mega-cap stocks in the index took off at month end, riding a rebounding tailwind. Low beta benefitted the Fund during the month, while negative exposure to medium-term momentum detracted.

Absolute return was positive in most sectors, with the largest contributions coming from information technology and health care. Return in information technology came mostly from a communications equipment holding that saw an outsized return for the month. Within health care, pharmaceutical stocks primarily accounted for performance.

On a relative basis, the Fund finished the month slightly behind the broad market benchmark. Sector results were mixed, with the largest contribution coming from information technology and the largest detraction coming from utilities. Stock selection drove return in information technology, primarily due to underexposure to a technology and hardware stock that suffered heavily when markets fell despite rallying at month end. The drag on return from utilities was attributable to an overweight allocation, as the sector was the worst performer in the index.

Performance Commentary - July 31, 2023

Global equity markets were positive in July, with the Fund posting a return of 2.1% and the broader market returning 2.8% as measured by the MSCI World Ex Australia Index in AUD (100% hedged into $A). A lower-than-expected June CPI report drove more traction for a softlanding narrative that has been building all year. The month saw some slowing of the sharp big tech rally that has been fuelling market returns year to date on the back of a few high-profile earnings disappointments and valuation concerns in the cohort. The Fund’s low beta and low volatility exposure remained headwinds to return.

Absolute return was positive in almost all sectors, with financials contributing by far the most to performance. Banks drove performance for the sector, as the dissipation of concerns following the turmoil in the industry earlier this year continued to accelerate, and thus far the regulatory response to the crisis has remained measured. Furthermore, strong 2Q earnings for select holdings showcased resilient profitability and healthier-than-feared credit quality.

Performance Commentary - June 30, 2023

Global equity markets rose during the quarter, though surging indexes painted a misleading picture, as market leadership continued to be astoundingly narrow. A handful of mega-cap tech stocks that have seen multiples blow out on the back of AI mania accounted for the majority of broad market return.

The Fund recorded positive absolute returns in most sectors, with Information Technology by far the biggest contributor, followed by Industrials and Consumer Discretionary. Information Technology was buoyed primarily by technology hardware and storage names and a semiconductor stock that benefitted from the AI hype tailwind. Returns in Industrials came largely from electrical equipment companies and trading companies and distributors. Consumer Discretionary performance was driven by a restaurant name that outperformed on strong earnings.

On a relative basis, the Fund finishing behind the broad MSCI World ex Australia benchmark, though it outperformed the MSCI World High Dividend Index. Communication Services was the largest detractor to relative returns due to stock selection, underperformance came primarily from exposure to a diversified telecommunications name that lagged along with very strong returns in two interactive media and services companies that are outside of our investable universe due to not paying a dividend. Information Technology was the next biggest drag, owing primarily to an underweight allocation, as the sector was the top performer in the index. Underexposure to a technology hardware storage and peripherals name that saw an outsized return for the quarter also detracted meaningfully.

Performance Commentary - May 31, 2023

Turmoil spilled into May, as First Republic became the 3rd U.S. bank failure this year. Despite uncertainty around a U.S. debt ceiling resolution and continued warnings of a looming recession, mega-cap tech stocks aggressively decoupled from the broader market, posting outsized returns driven by AI mania. The Fund’s high dividend yield and low beta were headwinds to Index relative returns during the month.

Absolute returns were negative for the month with the largest detractions coming from Financials and Materials, while holdings in Information Technology and Consumer Discretionary were positive contributors. Financials continue to face headwinds following banking failures, and banks and insurance companies primarily accounted for performance in the sector. The negative return in Materials was largely driven by a chemicals company that came under pressure due to weaker than expected earnings and guidance.

Performance Commentary - April 30, 2023

Global equity markets were positive in April, as sentiment appeared to remain driven by investors betting on the timing of an end to interest rate hikes and the likelihood of a recession in the near term. The banking turmoil seen in March looked to be easing through most of the month but crept back into headlines near month end.

Absolute returns were positive in all sectors except for Information Technology, with the largest contributions coming from Health Care and Financials. Within Health Care, pharmaceuticals were the primary driver of return, while Insurance stocks were the main driver of return within Financials.

On a relative return basis, the Fund finished roughly in-line with the broad MSCI World ex Australia benchmark and ahead of the MSCI World High Dividend Yield Index. Consumer Discretionary was the largest contributor to relative return owing mostly to stock selection, with the most impact coming from having no position in an automobile stock that was pressured heavily during the month. The biggest detractor to relative return was stock selection within Information Technology, as exposure to a few underperforming semiconductor stocks was a drag on performance.

Performance Commentary - March 31, 2023

Despite shifting sentiment, equity markets finished strong in the first quarter of 2023. A steep, growth-led rally kicked the year off on the back of disinflation and a perceived rising likelihood of an economic soft landing. Hotter-than-expected January PPI numbers and a reassessment upwards of peak-rate expectations cooled sentiment in February, reversing the bull run. The end of the quarter was defined by the collapse of Silicon Valley Bank, Signature Bank, and Credit Suisse and subsequent intense scrutiny of industry peers. While the crisis drove significant outflows from financials, it also accelerated a rally in mega-cap tech stocks that buoyed markets into quarter end, with investor positioning signalling broad expectations for a dovish pivot by central banks in response to systemic risk in the banking system. broad expectations for a dovish pivot by central banks in response to systemic risk in the banking system.

All sectors except for Financials contributed to the Fund’s positive absolute return in Q1, with the largest contributions coming from Information Technology and Industrials. Semiconductors drove return within IT, as investors looked through current industry inventory digestion to a potential rebound in the second half of the year. Performance in Industrials was fuelled by air freight and logistics companies.

Performance Commentary - February 28, 2023

Stocks fell in February, giving back some of January’s gains. The weakest results came from the Energy, Healthcare, and Consumer Staples sectors while the Materials, Financials, and Communications Services sectors provided modest gains. In January, U.S. inflation slowed for the seventh consecutive month, but not by enough to meet expectations. Despite the continued reduction in inflation, the Federal Reserve has indicated that a policy pivot is unlikely to occur in 2023. Japan continued to see rising wages and inflation grew to 4.3% in January. Inflation continued to ease in the euro zone, PMI indicators rose, and consumer confidence increased. The European Commission published its Winter 2023 Economic Forecast indicated that the EU economy is likely to avoid a recession.

Absolute returns were positive in all sectors except for Consumer Discretionary, with the largest contributions coming from Information Technology and Financials. Semiconductors drove performance in Information Technology, owing largely to one holding in particular that rose on a strong earnings report. Banks and insurers accounted for return within Financials, with contributions spread broadly across holdings. On a relative performance basis, the Fund finished slightly ahead of both the broad market MSCI World ex Australia benchmark as well as the MSCI World High Dividend Index. Health Care was the largest contributor to relative return on the back of stock selection. The contribution came primarily from exposure to a biotech stock that was one of the top performers in the index for the month. Energy was the next biggest aid to relative performance due to stock selection within oil, gas and consumable fuel names. A majority of industry companies in the index struggled during the month, and the portfolio’s exposure to a handful of out-of-benchmark holdings that held up well aided relative return.

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