FUNDS - DPAM L Bonds Emerging Markets Sustainable B
Last update on: 09/07/2020

Fundname
DPAM L Bonds Emerging Markets Sustainable B

Investment Trusts
Degroof Petercam Asset Management SA
Emittent
Degroof Petercam Asset Management
Asset Manager
Degroof Petercam Asset Management SA

Fund data (Fixed Income Fund)

   
Fund size

(as of 30/06/2020)

1,815.70 mil. EUR
Share class size

(as of 30/06/2020)

148.78 mil. EUR
ISIN LU0907927338
Fund price (as of 09/07/2020)
Offer n.s.
Bid 127.86 Euro

Growth (as of 09/07/2020) *

   
10 Years n.s.
5 Years 17.49 %
3 Years 5.12 %
1 Year -3.34 %
Current year -4.81 %
Benchmark 75% Barclays EM Local Cur. + 25% Barclays EM Hard Currency

* in Euro (€)

Master data of Funds
ISINLU0907927338
Launch date 18/03/2013
Available in AT, BE, CH, DE, ES, FR, IT, LU
Fund type Fixed Income Fund
Kind of fund Sustainability and ethical funds / Sustainability-/ Ethical fund
Aim of investment The objective is twofold: 1) To benefit from the evolution of local currency emerging debt markets, taking into account the
eligible universe as defined by the sustainability screening model.
2) Aimed at generating "double alpha": combining positive contribution from the sustainable process with outperformance from the financial management within the eligible universe.
Investment strategy The objective is to construct a well-diversified portfolio taking into account the changing market environment. Understanding the aggregate risk exposures and ensuring that the portfolio positioning is consistent with the top-down view is of key importance.

Based on the sustainability ranking, the fund manager respects the following country allocation:
- minimum 40% of the total assets of the fund is invested in countries ranked in the top quartile,
- maximum 50% is invested in second and third quartile countries and
- maximum 10% can be invested in bottom quartile countries of the sustainable investment universe of Petercam.

The index is used for performance measurement and risk management.
Investment process 1) The first step consists of the sustainability screening. Next, the fund manager specifies the risk profiling of the portfolio based on the study of cross-assets correlations and volatilities.

2) Macro-economic research, in collaboration with the Macro team, serves to detect key drivers regarding the stage of the economic cycle and the impact on short-term and long-term interest rates, central banks' policies and currency volatility. It directly impacts the duration, average portfolio quality and the regional allocation.

3) Detailed fundamental country assessments and relative value analysis determine the country and currency allocation and the security selection, which is complemented by yield curve optimisation.

Research:
The in-house SRI filter developed to assess the sustainability of states uses a number of external sources. Their reputation and reliability is crucial for a criterion to be taken into consideration. Sources that are typically used are the OECD, the World Bank, Eurostat, the International Labour Organisation, the World Health Organisation, Unesco, etc. In addition, some NGOs are also selected, provided they have an objective analysis on the matter. This implies that NGOs that might be too aggressive and that are prejudiced in analysing the data will not be used. The quality of the selected sources is reviewed every six months by the scientific committee in charge of implementing the model, the methodology and the final validation of the country ranking.
For the normative screening for Petercam L Bonds Emerging Markets Sustainable, we specially use the data from Freedom House and The Economist.

Positive criteria The selected method for the SRI screening of Emerging Markets is primarily based on a best-in-class positive screening. ; The minimum requirement to be part of the universe is based on a normative screening.; Indeed, the countries which are not considered as at least partially free, are excluded from the investment universe. ; The normative screening is based on the independent information from the NGO Freedom House and needs to be confirmed by a second source namely The Democracy Index from the Economist.; A limited number of treaties and other conventions are fully part of the selection process and belong to the Ten Principles of the Global Compact.;
Negative criteria for stocks and corporate bonds Governance:
- violations of the UN Global Compact

Ethical and Social:
- violations of the ILO protocol

Negative criteria for government bonds Ethical and Social:
- child labour (countries)
- death penalty
- dependent countries, according to Freedom House
- violations of human rights (countries)
- violations of employment law

Environment:
- non-ratification of the Kyoto Protocol

Other:
- authoritarian regime
- corruption

Research done by Inhouse
 

This fund profile is aligned with the fund company.

 

 

*no exclusion but part of the analysis