Diversified Portfolio - International Equities - 29 February
InvestSMART International Equities Portfolio February Report
The volatility surrounding international equity markets continued in the month of February, with global equity markets down 1.7% for the month. Emerging markets were down 1.1% for the month, performing better than their developed counterparts. Regionally, US equities returned -1.2%, performing better than Europe and Japan which returned -2.7% and -3.7% respectively over the month.
The InvestSMART International Equities Portfolio returned 0.4% for the month outperforming the MSCI World ex Australia NR AUD Index. The exposure to US equities via the iShares Core S&P 500 ETF and iShares Core S&P Midcap ETF were the best performing holdings for the month, returning 1.8% and 4.2% respectively. The Vanguard All-World ex US Shares Index ETF and iShares Europe ETF returned -1.3%and -2.6% respectively. The MSCI Emerging Markets ETF was slightly down for the month returning -0.1%.
No changes were made to the portfolios during the month of February. The portfolio is positioned with an underweight to US equities and holds an exposure to emerging markets (which is absent from the benchmark). Therefore, the portfolio is expected to perform well in an environment where non-US equites perform better than US equities.
Growth of $10,000
PEFORMANCE SUMMARY TO 29 FEBRUARY 2016
Source: Praemium, RBA. Returns are before expenses and fees. Returns are shown as annualised if the period is over 1 year. * Since Inception (SI) date is 24 October 2014.
The objective of this model portfolio is to provide investors with a high level of exposure to the international equities share markets. The portfolio is invested across a range of ASX-listed ETFs aimed at achieving a diversified portfolio. The portfolio is expected to display high levels of volatility and will have a high level of currency risk.
|PERFORMANCE TO 31 JANUARY 2016||1 MONTH||3 MONTH||6 MONTH||1 YEAR||SI* (P.A.)|
|InvestSMART International Equities Portfolio||0.42%||-8.10%||-6.18%||-5.95%||9.12%|
|MSCI World ex Australia NR AUD Index||-1.70%||-7.04%||-5.90%||-2.08%||12.94%|
|Excess to Benchmark||2.12%||-1.07%||-0.28%||-3.87%||-3.82%|
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