June 27, 2019

June 27, 2019 | Investments Insightz


A moment with Matthew Drennan

Welcome to the Zurich Investment Insightz newsletter for June 2019.It’s been a little over 12 months since I returned to Zurich Investments and I am pleased to be able to say we are tracking well against our growth strategy. I wanted to update you on some of the recent key achievements and upcoming product initiatives we are currently undertaking.


Welcome to the Zurich Investment Insightz newsletter for June 2019.

It’s been a little over 12 months since I returned to Zurich Investments and I am pleased to be able to say we are tracking well against our growth strategy. I wanted to update you on some of the recent key achievements and upcoming product initiatives we are currently undertaking.

Our AREITs partnership with Renaissance Asset Management continues to go from strength to strength, with the Zurich AREITs Fund retaining its Gold Analyst Rating in the latest Morningstar Global Fund Report, dated 15 June 2019.  Some of the key highlights from the report include:

“Few can match Renaissance’s understanding of property companies, making this fund an outstanding A-REIT option for long-term investors.” And “The pair consistently offers unique insights, and is diligent in gauging management, properties, and industry trends”.

Find out more about how you can recognise value in AREITs here

We are also excited to share the news that our Zurich Investments Global Growth fund offering is expanding. In July 2019 we expect to launch a Separately Managed Account (SMA) in partnership with both American Century and HUB24, made up of 18-22 of the highest conviction ideas from the Zurich Investments Global Growth portfolio. Those of you who have followed our Concentrated Global Growth Fund know its outperformance has been stellar since its launch, returning nearly 4%pa over benchmark*.  The launch of a slightly more concentrated version of this fund as an SMA allows investors to access this manager’s outstanding expertise while gaining the benefits of an SMA structure such as full portfolio transparency, tax optimisation and customised stock exclusions if desired. Speak to your Zurich representative today to find out more and look out for it on Hub24 soon.

Also in this edition we look at how to find opportunities in a slowing growth environment, and hear from our partner Lazard Asset Management on their sustainability framework. Plus we have our regular market update. Highlights include the re-emergence of an interest rate easing bias across many western economies and the realisation from central banks that capacity utilisation is still well below levels likely to generate any inflationary pulse. As a result, the current low interest rate environment is likely to persist for a long while to come, supporting growth assets as long as solid earnings persist.


Happy reading,

Matt

*12.02% (Zurich Investments Concentrated Global Growth Fund) vs 8.05% (MSCI World ex-Australia Accumulation Index in A$ [net dividends reinvested]). Performance reported in A$ since inception (October 2015) to 31st May 2019. Fund performance is stated net of all fees and is based on compound rates of return calculated on exit prices and assume reinvestment of distributions. Past performance is not a reliable indicator of future performance.

Important information: The content of this publication are the opinions of the writer and is intended as general information only which does not take into account the personal investment objectives, financial situation or needs of any person. It is dated June 2019, is given in good faith and is derived from sources believed to be accurate as at this date, which may be subject to change. It should not be considered to be a comprehensive statement on any matter and should not be relied on as such. Zurich Investment Management Limited ABN 56 063 278 400 AFSL 232511 of 5 Blue Street North Sydney NSW 2060, nor any of its related entities, employees or directors (Zurich) give any warranty of reliability or accuracy nor accept any responsibility arising in any way including by reason of negligence for errors and omissions. Zurich recommends investors seek advice from appropriately qualified financial advisers. Zurich and its related entities receive remuneration such as fees, charges and premiums for the financial products which they issue. Details of these payments can be found in the relevant fund Product Disclosure Statement. No part of this document may be reproduced without prior written permission from Zurich.
Past performance is not reliable indicator of future performance. GINN FVHHKJ.00012.ME.036. DFOY-014728-2019

© 2019 Morningstar, Inc. All rights reserved. Neither Morningstar, its affiliates, nor the content providers guarantee the data or content contained herein to be accurate, complete or timely nor will they have any liability for its use or distribution. Any general advice or ‘class service’ have been prepared by Morningstar Australasia Pty Ltd (ABN: 95 090 665 544, AFSL: 240892) and/or Morningstar Research Ltd, subsidiaries of Morningstar, Inc, without reference to your objectives, financial situation or needs. Refer to our Financial Services Guide (FSG) for more information at www.morningstar.com.au/s/fsg.pdf. You should consider the advice in light of these matters and if applicable, the relevant Product Disclosure Statement before making any decision to invest. Our publications, ratings and products should be viewed as an additional investment resource, not as your sole source of information. Past performance does not necessarily indicate a financial product’s future performance. To obtain advice tailored to your situation, contact a professional financial adviser.

June 27, 2019

Recognising value in AREITs

As can happen with any asset class, from time to time sentiment can lead to irrational prices within the AREIT* universe. And this seems to be happening today, with securities in the office and industrial sub-sectors flying high while retail and residential securities have languished. But perhaps some of the headwinds that have been testing the residential names in particular are now starting to dissipate.

June 27, 2019

Looking through a sustainability lens

Sustainability is becoming an increasingly important part of the contemporary investment landscape. Indeed, successful long-term investing depends upon the identification of companies which have sustainable business models and goes hand-in-hand with environmental sustainability.

June 27, 2019

Investing for slowing global growth

With so much noise in the media around slowing global economic growth at the moment, it’s understandable if you’re asking yourself - ‘how and where do I find growth opportunities in global equities that will suit my clients’ portfolios?’

June 27, 2019

Market Update

In this month’s Market Update Charles Stodart, Investment Specialist, looks at the latest events driving investor sentiment across the major asset classes.