UBS International Share Fund (SBC0822AU) Report & Performance

What is the UBS International Share Fund fund?

UBS International Share Fund aims to outperform (after management costs) the MSCI World Equity Accumulation Index ex Australia net total return index over rolling five year periods. The Fund seeks to invest across a wide number of countries and currencies in order to deliver a diversified investment strategy aimed at achieving the investment objective of the Fund. Currency allocation is actively managed and is a separate, although related decision to that of country allocation. Currency exposure to each country may be fully hedged, partially hedged to $A, or may exceed the Fund’s securities exposure to that country.

Growth of $1000 Investment Over Time

Performance Report

Peer Comparison Report

Peer Comparison Report

Latest News & Updates For UBS International Share Fund

UBS International Share Fund Fund Commentary September 30, 2023

In September, the International Share Fund outperformed the benchmark.

This is led primarily by positive stock selection in Information Technology and Financials. On the other hand, stock selection in Industrials and Energy detracted. As it relates to country attribution, Japan and Netherlands were the top contributors to performance, on the other hand Australia and United Kingdom detracted the most.

Largest stock contributors

• Not owning Apple contributed to relative performance as the share price continued to trend downward after reports that China, which accounts for almost 20% of the company’s revenue, banned government workers from using iPhones.

• OCI shares rallied as nitrogen fertilizer prices increased 25% due to low inventories, notably in China, and emergence of new demand in major markets like India.

• Not owning NVIDIA also contributed positively amid the technology sector performing poorly due to the expectation that the Fed will keep interest rates higher for longer persisted.

• UnitedHealth Group shares rebounded in September, moving higher alongside other managed care providers that are expected to be safe havens in a higher-for-longer inflationary environment. Investors have also become increasingly comfortable that managed care companies can effectively reprice moving into 2024.

• HSBC Holdings shares bounced back following the negative reaction to second quarter results announced last month.

Largest stock detractors

• Ocado Group detracted as shares were weighed by the company’s latest trading update where revenue growth and average selling price for the period were slightly softer than expected.

• Philips shares dropped after a settlement agreement was reached to resolve one category of legal claims against them following their voluntary recall of sleep and respiratory care devices. This follows 5 months of strong performance.

• Dollar Tree share price weakness continued as investor confidence was undermined by elevated costs and disappointing margins in their quarterly results recently, despite performing on track with the initial stages of their turnaround plan.

• Despite witnessing strong momentum for much of this year with demand across majority of its products, MSA Safety shares pulled back this month given its sensitivities to a high interest rate environment.

• Ashtead Group shares sold off as the company noted a softer outlook on revenue growth in the UK market, though maintained confidence in their momentum in North American end markets.

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.
UBS International Share FundSBC0822AUManaged FundsForeign EquityLarge Blend - FundamentalForeign Equity - Large Fundamental IndexDeveloped -World Index109.34 M1%00.5%

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.
UBS International Share Fund-1.1%-0.28%11.08%6.31%5.61%10.15%11.47%12.4%-4.71%-15.13%-39.18%

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.
UBS International Share FundForeign Equity - Large Fundamental Index-5.59%0.02%NA%NA%NA%13.92%4.13%0.930.94

Product Details

Fund Name Verifed by SMSF Mates Manager Address Phone Website Email
UBS International Share FundYes-https://www.ubs.com/au/en/asset-management.html-

Product Due Diligence

What is UBS International Share Fund

UBS International Share Fund is an Managed Funds investment product that is benchmarked against Developed -World Index and sits inside the Foreign Equity - Large Fundamental 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 UBS International Share Fund has Assets Under Management of 109.34 M with a management fee of 1%, a performance fee of 0 and a buy/sell spread fee of 0.5%.

How has the investment product performed recently?

The recent investment performance of the investment product shows that the UBS International Share Fund has returned -1.1% in the last month. The previous three years have returned 6.31% annualised and 12.4% each year since inception, which is when the UBS International Share Fund 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 UBS International Share Fund first started, the Sharpe ratio is NA with an annualised volatility of 12.4%. The maximum drawdown of the investment product in the last 12 months is -4.71% and -39.18% 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 UBS International Share Fund has a 12-month excess return when compared to the Foreign Equity - Large Fundamental Index of -5.59% and 0.02% 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. UBS International Share Fund has produced Alpha over the Foreign Equity - Large Fundamental 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 - Large Fundamental Index category, you can click here for the Peer Investment Report.

What level of diversification will UBS International Share Fund provide?

UBS International Share Fund has a correlation coefficient of 0.94 and a beta of 1 when compared to the Foreign Equity - Large Fundamental 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 UBS International Share Fund and its peer investments, you can click here for the Peer Investment Report.

How do I compare the UBS International Share Fund with the Developed -World Index?

For a full quantitative report on UBS International Share Fund compared to the Developed -World Index, you can click here.

Can I sort and compare the UBS International Share Fund to do my own analysis?

To sort and compare the UBS International Share Fund financial metrics, please refer to the table above.

Has the UBS International Share Fund 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 UBS International Share Fund?

If you or your self managed super fund would like to invest in the UBS International Share Fund please contact via phone or via email .

How do I get in contact with the UBS International Share Fund?

If you would like to get in contact with the UBS International Share Fund manager, please call .

Comments from SMSF Mates

SMSF Mate does not receive commissions or kickbacks from the UBS International Share Fund. 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

In August, the International Share Fund underperformed the benchmark.

Stock selection in Information Technology and Communication Services detracted the most, while stock selection in Industrials and Consumer Discretionary contributed positively. As it relates to country attribution, the United Kingdom and United States detracted while our positioning in the Netherlands and Australia added value.

Largest stock contributors

• Philips shares rose during the month following the announcement of investment company Exor had taken a 15% stake in the company.

• APA shares rose following their post 2Q23 update, highlighting a positive outlook on oil growth into next year and encouraging progress on the Suriname project.

• Ingersoll Rand posted another quarter of strong results, with organic revenue growth at 12% yearon-year and almost 200bps of margin expansion.

• TJX Cos also outperformed the broader market as the company announced substantial upside to sales and gross margins, driven by higher customer traffic and basket size, in addition to lower freight costs. Overall, the market reacted positively as TJX continues to execute well amid a challenging macro environment, and the increase in EPS guidance reflects a favorable backdrop for off-price buying.

• Bunge shares gained after the company increased their full-year adjusted EPS outlook and reported strong figures across their Refined and Specialty Oils business, as well as their Agribusiness, in their second quarter results.in the Netherlands and Australia added value.

Largest stock detractors

• Dollar Tree detracted as investor confidence was undermined by elevated costs and disappointing margins in their quarterly results, despite performing on track with the initial stages of their turnaround plan.

• IAC shares sold off after Q2 results showed revenues and adjusted EBITDA well below consensus estimates for their Angi segment.

• Five9 shares fell following the company’s Q2 earnings which indicated pressure in their Consumer business.

• Not owning NVIDIA continued to detract from relative performance this month.

• Not owning Eli Lilly & Co was a detractor as shares rallied on the back of positive results from a competitor’s phase 3 trial, demonstrating effectiveness of obesity drugs in reducing major adverse cardiovascular events.

Performance Commentary - July 31, 2023

In July, the International Share Fund outperformed the benchmark.

This is led primarily by positive stock selection in Communication Services, followed by Industrials. Meanwhile, stock selection in Information Technology and Consumer Discretionary detracted slightly. As it relates to country attribution, United States and United Kingdom were the top contributors to performance, though exposure to Finland and Hong Kong detracted the most.

Largest stock contributors • Ocado Group shares traded up on Q2 results, and in parallel the company demonstrated optimism around their new business that plans to sell automated solutions outside of groceries.

Largest stock contributors

• Lyft shares rose following reports that demand for their services had seen an increase, and that the company were considering strategic options for their bike business in a bid to increase profitability.
• Bunge shares rallied amid rising commodity prices this month as news of additional Ukrainian grain export limitation is pushing wheat prices up. Inclement weather, including flooding in SouthAmerica, may support elevated food prices for some time.
• OCI benefited from recent strength in underlying nitrogen markets and still-strong agriculture fundamentals. The recent surge in gas prices in Europe is expected to benefit fertilizer producers.
• APA shares were boosted along with rebounding commodity prices.

Largest stock detractors

• Not owning NVIDIA continued to weigh on relative performance this month.
• Koninklijke Philips shares fell after a decline in new orders was reported in their quarterly earnings as investors’ fear this might be the first indicator of a trend. Yet, half of this short-term decline is explained by Russia and orders year-on-year are still up 3%.
• FANUC shares sold off after the company reduced operating profit guidance to historic lows of 15.8%, mainly due to lower utilization rate on the back of high inventories. • Spectris shares detracted in anticipation of the half year results, which showed that some of the key investment end-markets, such as life sciences, are experiencing slower growth than expected. However, other businesses are still very strong and Spectris posted another record-high order book.
• Not owning Meta Platforms also detracted from relative performance.

Performance Commentary - June 30, 2023

In June, the International Share Fund underperformed the benchmark. This is driven primarily by positive stock selection in Communication Services and Industrials. Meanwhile, stock selection in Information Technology and Consumer Discretionary detracted the most. Regarding attribution by countries, the Netherlands and UK were the top contributors to performance, while the US and France detracted the most.

Largest stock contributors

• Ocado Group shares traded up on rumors that Amazon and other companies were putting together a £8 per share bid for Ocado.
• MSA Safety shares gained as optimism on the earnings prospects of the company drove estimates and the share price higher. Management are monitoring macroeconomic impacts, but continue to see a strong demand trend and raised full year guidance in Q1 earnings call.
• Ingersoll Rand shares traded well this month as the company is being increasingly recognized in the market as a high quality hydrogen play.
• Five9 shares rose on the back of a broader technology rally, following the recent surge in the value of AI-related companies.

Largest stock detractors

• Not owning Tesla or Apple detracted from relative performance this month.
• Mondelez International shares pulled back slightly after outperfomance year-to-date. MDLZ lagged the broader market amid recent risk-on sentiment.
• Salesforce shares corrected slightly after strong price performance this year.
• Spectris shares fell following the company’s announcement on the acquisition of MicroStrain Sensing Systems Business. Although the target company is reported to have shown strong growth, limited details on the valuation were released causing volatility in the stock price.

Performance Commentary - May 31, 2023

In May, the International Share Fund underperformed the benchmark. Our underweight to Information Technology and our overall positioning in Consumer Staples detracted the most, while stock selection in Communication Services and Industrials contributed positively. From a country perspective, the Netherlands and Ireland weighed on relative performance while the United States and Germany added value.

Largest stock contributors

• Take-Two Interactive contributed to relative performance after shares surged following their Q4 earnings announcement; management expressed confidence in their pipeline, with 12 titles planned for fiscal 2024 and 36 in the following two years.

• Amazon shares gained on the back of better-thanexpected results, and markets responded well to the potential for profit margin improvement from cost reductions within its retail operations, rapid growth in its advertising segment, and strategic investments in artificial intelligence and machine learning capabilities.

Largest stock detractors

• Not owning NVIDIA was the main detractor as the stock price jumped on strong results and significantly higher guidance, where the CEO highlighted a surge in demand for AI processors.

• Not owning Apple also detracted as upside in iPhone demand and improving supply dynamics boosted their quarterly results.

Performance Commentary - April 30, 2023

In March, the International Share Fund outperformed the benchmark. Positive stock selection in Financials and Health Care added the most value, however stock selection in Industrials and Materials was the most negative.

In general, the best performing sectors were Financials (0.46% total effect), Health Care (0.22%) and Consumer Staples (0.22%). However Industrials (-0.45%), Materials (-0.16%) and Utilities (-0.04% total effect) were key detractors.

In terms of attribution by countries, United States and United Kingdom were the top contributors to performance, while Ireland and Japan detracted the most.

Performance Commentary - March 31, 2023

In March, the International Share Fund underperformed the benchmark.

Our overall positioning in Financials was the main detractor, followed by stock selection in Industrials. Meanwhile, our overweight to Communication Services and our underweight to Real Estate contributed positively to relative performance. From a country perspective, the United States and France detracted the most, while our exposure to Switzerland and the Netherlands had a modest positive effect.

Largest stock contributors

• Salesforce shares rallied after delivering topline growth ($8,384m, +14% year-on-year) and operating margins (29.2%, +14% y-o-y) well ahead of consensus. Aditionally, an announcement made by top investor, Elliott Management, stated that Salesforce was making substantial progress towards regaining investor trust and that the company’s commitment to responsible capital-return priorities is consistent with their recommendations.

• Koninklijke Philips jumped after they announced that litigation around their DreamStation 1 CPAP machine would likely reach an agreement in 2023 with the possibility of settlement, improving overall cash flow

Largest stock detractors

• SVB Financial Group was the main detractor as shares sharply sold off following an announcement to raise equity capital while also realizing a significant loss in their bond portfolio. This combined with a rapid deposit run led the bank to be closed by regulators.

• Wells Fargo sold off in line with the banking sector volatility that was driven by the collapse of Silicon Valley Bank and Signature Bank.

Performance Commentary - February 28, 2023

In February, the International Share Fund underperformed the benchmark.

Stock selection in Energy and Consumer Discretionary detracted the most, while stock selection in Health Care and Materials contributed positively. As it relates to country attribution, the US and Switzerland detracted, while on the other hand the UK and Ireland added value.

Largest stock contributors

• Spectris shares rose after reporting a 16% year-overyear increase in profit, strong full year sales growth and a record order book that has left investors feeling more confident about the 2023 outlook.

Not owning Alphabet contributed positively to relative performance this month.

Largest stock detractors

• Not owning Apple detracted from relative performance after reported earnings were much better than investors had feared.

• Not owning NVIDIA detracted from relative performance due to a strong quarterly earnings report and positive industry outlook from a competitor.

Kind words from Aussies managing
their own self funded futures

  • SMSF Mate is a unique website because it has ideas about how to approach SMSFs, insurance and other financial topics that come straight from first hand experience. It's much more useful than what you find on all the other financial websites that just offer generic info that you could easily get on the ATO's website. It's also nice to know there's no financial incentive behind the information, it's legitimately there to help people understand self-managed super funds and how to get the most out of them, not to get an affiliate commission from a broker or other financial services provider. The investment product information is also incredibly useful, I've never seen this kind of functionality on any other website that let's you look at such a wide range of products, sort by what info is most interesting or important to you, and subscribe to updates for different funds and financial products all in one place. Definitely worth checking out if you own or are considering an SMSF!

    David G, Self-Employed, SMSF Owner
  • SMSF Mate provides a unique insight into superannuation and financial topics in a way that is easier to understand than conventional websites. The colloquial nature of the site makes it easy to understand and they often speak about complicated topics in lamens terms so I can wrap my head around them. The investment product information is a great way to research funds that I am interested in investing in with my SMSF and there is a lot of helpful information on the site for better structuring my investment portfolio. In comparison to other websites which offer similar information, SMSF Mate excels as the information is free to access whereas many other sites charge a subscription fee for the same thing. Overall, I think SMSF Mate is a great resource for SMSF trustees and is worth looking at for a variety of super-related topics. Thanks.

    Tim B, Business Owner, SMSF Trustee