ESPA STOCK RUSSIA. Mutual fund pursuant to the InvFG

Transcription

1 Mutual fund pursuant to the InvFG Semi-Annual Report 2016

2 Semi-Annual Report 2016 Contents General Information about the Investment Firm... 2 Development of the Fund... 3 Asset Allocation... 4 Fund Portfolio as of 30 November The Austrian Investment Fund Act (Investmentfondsgesetz [InvFG]) 2011 has been in effect since 1 September Some of the provisions and legal references in the semi-annual report still refer to the InvFG 1993.

3 General Information about the Investment Firm The company ERSTE-SPARINVEST Kapitalanlagegesellschaft m. b. H. Am Belvedere 1, A-1100 Vienna Telephone: , Fax: Nominal capital EUR 4.50 million Shareholders Erste Asset Management GmbH (81.48%) DekaBank Deutsche Girozentrale (2.87%) Die Kärntner Trust-Vermögensverwaltungsgesellschaft m.b.h. & Co KG (2.87 %) NÖ-Sparkassen Beteiligungsgesellschaft m. b. H. (1.31%) Salzburger Sparkasse Bank Aktiengesellschaft (2.87%) Sieben Tiroler Sparkassen Beteiligungsgesellschaft m. b. H. (2.87%) Steiermärkische Bank und Sparkassen Aktiengesellschaft (5.73%) Supervisory Board Managing directors Wolfgang TRAINDL, Mag. (Chairman) Gerhard FABISCH, Mag. Dr. (Deputy Chairman, First Deputy)(until 9 June 2016) Gabriele SEMMELROCK-WERZER (Deputy Chair, First Deputy from 9 June 2016) Franz-Nikolaus HÖRMANN, Mag. (Deputy Chairman, Second Deputy) Matthias BAUER (from 13 October 2016) Klaus BRUGGER, DDr. (until 30 October 2016) Josef PRESCHITZ (from 13 October 2016) Franz PRUCKNER, Dr. MBA Rupert RIEDER, Mag. Thomas SCHAUFLER, Mag. (FH) Gabriele SEMMELROCK-WERZER Reinhard WALTL, Mag. Appointed by the Works Council: Regina HABERHAUER, Mag. (FH) Dieter KERSCHBAUM, Mag. Gerhard RAMBERGER, Mag. Herbert STEINDORFER Heinz BEDNAR, Mag. Markus Kaller, Mag. Günther MANDL Christian SCHÖN Prokuristen (proxies) Magdalena ARNEZEDER, Mag. (from 1 July 2016) Achim ARNHOF, Mag. Karl BRANDSTÖTTER, Mag. Winfried BUCHBAUER, Mag. Karl FREUDENSCHUSS Dietmar JAROSCH, Dr. Manfred LENTNER Gerold PERMOSER, Mag. Jürgen SINGER, Mag. State commissioners Auditor Custodian bank Erwin GRUBER Michael MANHARD, HR Dr. ERNST & YOUNG WIRTSCHAFTSPRÜFUNGSGESELLSCHAFT MBH Erste Group Bank AG 2

4 Semi-Annual Report 2016 Dear Shareholder, We are pleased to present you the following semi-annual report for the ESPA STOCK RUSSIA mutual fund pursuant to the InvFG for the period from 1 June 2016 to 30 November Development of the Fund ESPA STOCK RUSSIA achieved a performance of plus 17.63% in euro terms during the reporting period. During the reporting period, the global equity markets were driven strongly by the monetary policies of the central banks (FED, ECB, BoJ), by the uncertainty about the development of China s economy, by Great Britain s exit from the EU, and by the presidential elections in the USA. The political situation in the Middle East, Turkey, and Ukraine also impacted the entire region. As the macroeconomic situation stabilised, Russia was one of the best exchanges among the emerging markets with a plus of around 17.71% (as measured by the MSCI Russia 10/40 NetDiv in euros). The market risk, i.e. volatility, was at a low for the year at the end of the period and the rating agency Fitch recently upped its outlook for government bonds from negative to stable. The independent monetary policy is bearing fruit inflation (5.8% yoy in November) has already fallen to pre-ukraine crisis levels and is likely to continue retreating in the coming years. The central bank in Moscow cut the key rate by 100 bp to 10%. Most analysts expect that the economic downtrend will reverse in 2017, which allowed the RUB to gain 2.91% among other effects. The long-expected OPEC deal on production cuts provided substantial support to energy prices the oil price moved sidewards in the period but then closed the reporting period with a substantial gain of 8.47% to USD per barrel. The somewhat surprising victory of Donald Trump in November brought a significant boost for bond yields as the president-elect s fiscal plans drove inflation expectations up considerably. The new administration will likely bring farreaching tax cuts and high infrastructure investments in the USA. The international commodity markets, particularly industrial metals, reacted positively, with nickel rising by over 38% and copper by 30.83% (in EUR) over the past six months. Some political observers also expect relations with Russia to normalise under the future US administration. If and to what extent a normalisation is possible cannot be said at this time. The economic sanctions were extended until 31 January 2017 in the summer. They especially include trade and investment restrictions. The portfolio was broadly diversified and focuses on roughly 30 shares. Derivatives were not used. At the end of the reporting period, the largest overweightings were in materials stocks (roughly 1.14%), IT (around 0.96%), and real estate (about 0.67%) and the greatest underweightings were in financials (approximately 2.57%), energy (about 2.50%), and telecoms (some 2.22%). Companies including Alrosa, Gazpromneft, Megafone, X5, and Vimpelcom were overweighted. Shares including Gazprom, VTB Bank, Rostelekom, RusHydro, and Phosagro were underweighted. The sector winners on the MICEX in Moscow were especially energy (plus 21.38% in EUR), materials manufacturers (such as metals and mining plus 41.22% in EUR), and financials (plus 19.63%, in EUR) due to the relatively high dividend yields and rising commodity prices. Positive contributions came in particular from the slight overweighting of materials shares and also from financials, real estate, and telecoms. Negative contributions came especially from utilities, energy, and IT. Positions including Alrosa (materials, Russia), Gazprom, SurgutNeft, and Rosneft (energy, Russia) were continuously increased over the reporting period. Profits were taken with Sberbank and Lukoil, among other companies. Vimpelcom was newly added to the portfolio. Because of the still high political and geopolitical risks, a relatively high cash share of 6% was held. Naturally, the future development on the financial markets will depend on global economic and political developments and the actions taken by the major central banks going forward. Market participants are anxiously awaiting the interest rate lift-off in the USA and its impact on the commodity and FX markets of the emerging economies. 3

5 Asset Allocation 30 November May 2016 EUR millions % EUR millions % Equities denominated in RUB USD Securities Dividend entitlements Cash in banks Other deferred items Fund assets Fund Portfolio as of 30 November 2016 (including changes in securities assets from 1 June 2016 to 30 November 2016) Security designation ISIN Purch./ Sales/ Holding Price Value % share number additions disposals in EUR of Shares/nominal (nom. in 1,000, rounded) fund assets Publicly traded securities Equities denominated in RUB ACRON RL 5 RU ,800 3, , AKTSION.KOM.ALROSA RL0.50 RU , ,510, ,038, GAZPROM RL 5 RU , , , MAGNIT PJSC RL-.01 RU000A0JKQU8 2, ,500 10, ,762, MMC NORILSK NICK.PJSC RL1 RU ,600 10, , MOBILE TELESYSTEMS RL-.10 RU , ,092, MOSCOW EXCH.MICEX-RTS RL1 RU000A0JR4A1 235, , , ,425, NOVATEK RL 0.10 RU000A0DKVS5 57, , , ROSNEFT OIL CO. RL-.01 RU000A0J2Q06 75, , , ROSTELECOM PJSC RL RU , , RUSHYDRO PAO RL 1 RU000A0JPKH ,000, , SBERBANK OF RU. RL 2 RU ,000 1,200, ,780, SEVERSTAL RL-.01 RU , , SISTEMA PJSFC RU000A0DQZE , , SURGUTNEFTEGAZ RL 1 RU , , , TRANSNEFT PFD RL 1 RU , , UNIPRO PJSC RU000A0JNGA ,800, , Total 13,795, Total equities denominated in RUB translated at a rate of ,795,

6 Semi-Annual Report 2016 Security designation ISIN Purch./ Sales/ Holding Price Value % share number additions disposals in EUR of Shares/nominal (nom. in 1,000, rounded) fund assets Equities denominated in USD Issue country Netherlands X 5 RETAIL G.GDR REGS 1/4 US98387E , , Total 424, GAZPROM ADR SP./2 RL 5L 5 US , , ,129, LSR GROUP PAO GDR S/5 US50218G , , , LUKOIL SP.ADR RL-.025 US69343P1057 7,500 9,000 59, ,725, MAGNIT PJSC RL-.01 RU000A0JKQU , , MAGNITOGO.METALL.REGS/13 US , , MEGAFON PJSC RL -.10 US58517T , , MMC NORILSK NICK.PJSC RL1 RU , , NOVATEK RL 0.10 RU000A0DKVS , , PHOSAGRO PJSC SP.GDR REGS US71922G , , , ROSNEFT OIL GDRREGS RL-01 US67812M ,000 90, , ,041, SEVERSTAL RL-.01 RU , , SEVERSTAL GDR S OCT US ,500 22, , SURGUTNEFTEGAZ VZ RU , , VTB BK GDR REG.S/1 RL-.01 US46630Q , , Total 10,135, Issue country British Virgin Islands LUXOFT HOLDING INC. A VGG , , Total 180, Total equities denominated in USD translated at a rate of ,740, Total publicly traded securities 24,536, Securities admitted to organised markets Equities denominated in USD GAZPROM NEFT ADR5/RL-0016 US36829G ,000 42, , MMC NOR.NICK.PJSC ADR RL1 US55315J ,000 47, , SURGUTNEFTEGAZ ADR/10 US , , , TATNEFT PJSC ADR REG.S 6 US , ,166, VIMPELCOM LTD ADR 1 US92719A , , , Total 3,538, Issue country Cyprus QIWI B SP.ADRS 1/EO US74735M , , Total 106, Total equities denominated in USD translated at a rate of ,644, Total securities admitted to organised markets 3,644,

7 Breakdown of fund assets Securities 28,181, Dividend entitlements 2, Cash in banks 1,924, Other deferred items Fund assets 30,109, Dividend shares outstanding shares 1,073,207 Non-dividend shares outstanding shares 2,688,821 KEST-exempt non-dividend shares outstanding shares 993,578 Share value for dividend share EUR 5.55 Share value for non-dividend share EUR 6.54 Share value for KEST-exempt non-dividend share EUR 6.60 Investor note: The values of assets in illiquid markets may deviate from their actual selling prices. Purchases and sales of securities in the reporting period not listed in the fund portfolio Security designation ISIN Purch./ Sales/ number additions disposals Shares/nominal (nom. in 1,000, rounded) Publicly traded securities Equities denominated in RUB SBERBANK PFD RL 3 RU , ,000 T PLUS RL1 RU000A0HML36 3,725 3,725 Equities denominated in USD NOVATEK GDR RG.S/10 RL-.1 US ,700 T PLUS RL1 RU000A0HML36 0 3,725 Vienna, December 2016 ERSTE-SPARINVEST Kapitalanlagegesellschaft m.b.h. Electronically signed Inspection information: Note: The electronic signatures in this document can be inspected at This document was signed with two qualified electronic signatures. A qualified electronic signature fulfils the legal requirements of a hand-written signature, and in particular the requirements of the written form as defined in 886 ABGB ( 4 [1] Austrian Signature Act [Signaturgesetz]). 6