We’ve finished 2017 with 10.37% yield (the price of the fund unit rose 10.37% in RUR). For comparison, the base deposits profitability in Russia in the end of the year was 7.794% (in RUR).
At the end of the year the Fund portfolio was mixed by assets of different risk classes and contained:
- 44% of equities,
- 41% of fixed income securities,
- and 15% of foreign currencies (EUR, USD).
Equities of the portfolio is well balanced by different industries.
In the 2018 I expect the yield of the Fund will be around 15-20%.
Flat portfolio performance is continued as local currency market and stockmarket were traded mostly in flat direction in April-June. From the beginning of the year price unit of the fund rose by 2.5%. The benchmark, Sberbank-Balanced Fund, rose 7.44% at the same period.
Worse-than-benchmark performance is due to the large share of forex assets in the portfolio, so RUR revaluation in June also had some negative effect.
Fund unit price rose just 1.31% in the first quarter of 2016 (for example, Micex index rose 6.23% at the same period). Weak growth is due to the Russian Ruble revaluation in late February and March, so it had negative influence on the forex assets of the Fund.
Year 2015 was negative for the Russian economy, however the fund performed much better due to good risk management and successful investments. Best stocks in the portfolio were Acron, Uralkali, Yandex, Megafon, Polymetal, E.ON Russia, e.t.c. Also there were some profitable investments in fixed income, exept bonds of Transaero and SU-155 (both companies defaulted). Currency risk hedge helped to avoid negative effects of the Russian Ruble devaluation. Hedge transactions were mainly concentrated in EURRUR and USDRUR futures, also in foreign currency bank deposits.
Fund’s unit price (RUR) rose more than 36% year to date. This is more than the MICEX index (26%) and very close to the Fund’s benchmark Sberbank – Balanced Fund (37%).
Indicators, % (Dec 30, 2014 — Dec 29, 2015)
||Sberbank – Balanced Fund (benchmark, RUR)
||TNO Capital (unit price, RUR)
||MICEX index (RUR)
||RTS index (USD)
||Inflation rate, %
From july till september (3Q2015) the Fund’s unit added 5.3%. From the beginning of the year the Fund’s unit rose by 32.4% (for comparison MICEX index rose 17.6% for the same period). Better than stock market index performance is due to large share of bonds in portfolio (more than 50% of assets).
Performance TNO Capital vs MICEX index (Dec 30, 2014 = 0%), 9m2015
Bond portfolio indicators at September, 2015:
— Weighted average yield 11.19%
— Duration 18.3 months
(1 year=365 days; discount rate=11%)
— Wide portfolio diversification — not more than 6% for each issuer
Performance TNO Capital vs MICEX index (Dec 30, 2014 = 0%), IH2015
Unit TNOC: 25.7% YTD
MICEX index: 18.5% YTD
Benchmark (Сбербанк – Фонд Сбалансированный): 24.39% YTD
(Dec 30, 2014 — Jun 30, 2015)
In the first 3 month of 2015 the value of the Fund’s unit rose by 19.7%. MICEX index, for comparison, added 16.4% at the same period. Stable growth of the Fund’s unit, which you could see in the picture below, is explained by a large share of fixed income in assets. It has defended portfolio in the period of stock market slump in March 2015.
Performance TNO Capital vs MICEX index (Dec 30, 2014 = 0%), IQ2015
In the near future I will add a new benchmark to compare with my portfolio. It will be the fund with mixed strategy (fixed income & equity), that will be more appropriate than previously used Сбербанк – Фонд активного управления .
TNO Capital portfolio structure at the end of IQ2015
Несмотря на высокую волатильность рынков, фонду удалось закрыть год «в плюсе» — стоимость пая выросла на 13,6%, тогда как индекс ММВБ за аналогичный период снизился на 7,1% (30.12.2013 принято за 0%).
Доказавшая свою успешность в 2014 году, инвестиционная стратегия фонда будет сохранена и останется умеренно-агрессивной, с распределением активов в акции и облигации примерно в равных долях. Операции хедж-портфеля будут направлены на страховку от валютных рисков.
Динамика фонда в сравнении с индексом ММВБ с 01.01.2014 по 29.08.2014, (начало года принято за 100%).
Динамика фонда в сравнении с индексом ММВБ с 01.01.2014 по 25.04.2014, (начало года принято за 100%).
- Unit: +1% YTD
- MICEX: -11% YTD