All investments involve risk. The value of your investment and the income from it will fluctuate and a loss of capital may occur.
Half of the world’s fastest-growing companies, the world’s fastest-growing urban population, two of the three largest equity markets in the world – all of them are in Asia.2 In this highly diverse region, alpha opportunities cut across countries, sectors, and market capitalizations. That’s why we cast a wider net and apply our time-tested research process with an aim to uncover only the most compelling investments in the entire market for our clients.
Large cap core, with greater exposure to small and mid cap companies than peers4
Sound core allocation in a broader Asia portfolio, blending with complementary satellite exposures
Historically higher upside capture and steady relative downside protection vs peers and index5
1IMF World Economic Outlook, October 2020
2Population data: see “The Future of Asian and Pacific Cities”, United Nations Economic and Social Commission for Asia Pacific 2019; Companies data: see “Asia Is Home to 50% of the World’s Fastest-Growing Companies,” Nikkei Asia Review, 9 May 2019. https://asia.nikkei.com/Business/Companies/Asia-is-home-to-50-of-world-s-fastest-growing-companies; Equity market data: World Federation of Exchanges, as of November 2020.
3Morningstar, as of quarter ending 31 December 2020. The Fund delivered returns higher than peers and benchmark in one-, three-, five- and 10-year periods. First quartile ranking in one- and three-year periods. Fund performance is reflective of Share Class Y USD. Performance is net of fund total expense ratio. Peer performance refers to the average of all the funds in Morningstar’s Asia ex Japan Equity category. The Index refers to the MSCI AC Asia Ex Japan NR USD. Past performance does not guarantee future results. Portfolio manager Caroline Loke started managing the Fund in 1 June 2018.Third-party rankings from rating publications are no guarantee of future investment success. Working with a highly rated advisor does not ensure that a client or prospective client will experience a higher level of performance or results.Alpha measures the excess return generated by the fund compared to the return of its benchmark. An alpha of 1.0 indicates that the fund has outperformed its benchmark by 1%.
4Size exposure data from Morningstar, as of 31 October 2020. Fund exposure is reflective of Share Class Y USD. Peer exposure refers to the average of all the funds in Morningstar’s Asia ex Japan Equity category. The Index refers to the MSCI AC Asia Ex Japan NR USD. The Fund’s active share is 85% as of 31 December 2020. Active share measures the difference between the portfolio’s holdings and its benchmark index. A portfolio that the replicates the index will have an active share of 0%, while a portfolio that invests wholly in stocks outside the index will have an active share of 100%.
5Morningstar, as of 31 December 2020. Upside and downside capture figures cited reflect performance over three, five, and 10-year periods. Upside Capture Ratio measures a manager's performance in up-markets relative to the index. A value over 100 indicates that a fund has outperformed the benchmark during periods of positive returns for the benchmark. Downside Capture Ratio measures the manager's performance in down-markets relative to the index. A value of less than 100 indicates that a fund has lost less than its benchmark when the benchmark has been in the red. Fund performance is reflective of Share Class Y USD. Peer performance refers to the average of all the funds in Morningstar’s Asia ex Japan Equity category. The Index refers to the MSCI AC Asia Ex Japan NR USD. Past performance does not guarantee future results.
The Sub-Fund is actively managed, seeking to deliver excess returns over the Sub-Fund’s benchmark. The holdings may or may not be components of the benchmark and the Investment Manager has broad discretion to deviate from the benchmark securities, weightings and risk characteristics. The degree to which the Sub-Fund resembles the composition and risk characteristics of the benchmark is not a specifically targeted outcome and could vary over time, and the Sub-Fund’s performance may be meaningfully different from the Sub-Fund’s benchmark.
Potential Investors should consider the following key risks before investing in the Sub-Fund:
Equity Risk: The value of shares and securities related to shares may fall due to issuer related issues, financial market dynamics and world events including economic and political changes.
Market Volatility Risk: All types of investments and all markets are subject to market volatility based on prevailing economic conditions. Price trends are determined mainly by financial market trends and by the economic development of the issuers, who are themselves affected by the overall situation of the global economy and by the economic and political conditions prevailing in each country. As securities may fluctuate in price, the value of your investment may go up and down.
Investment Loss Risk: Investments may decline in value and investors should be prepared to sustain a total loss of their investment.
FDI Risk: The prices of FDI can be highly volatile. In addition, the use of FDI also involves certain special risks depending on the type of FDI, including but not limited to correlation risk, counterparty credit risk, legal risk, settlement risk, margin risk, as well as other possible risks that may arise.
Country Selection Risk: A portfolio’s performance is often derived from its allocations to certain countries. These allocations may present greater opportunities and potential for capital appreciation, but may subject the fund to higher risks of loss.
Emerging Market Risk: Emerging markets are typically smaller, less transparent and subject to evolving, less stable political and regulatory regimes.
The risk factors described above should not be considered an exhaustive list of risks, which potential investors should consider before investing in the Sub-Fund. For more details on the fund’s potential risks please read the Prospectus and Key Investor Information Document at pinebridge.com/funds