Investment objective

The investment objective of the Neptune European Opportunities Fund is to generate long-term (5 years or more) capital growth.

Strategy

The Fund invests in a mix of companies that may provide growth opportunities, attractive valuations, or special situations. Special situations can exist where companies are out of favour, misunderstood or where management changes or takeovers are expected.

Ongoing charge (%) 1.07
Net yield (%) -
Minimum investment
Initial 250,000
Top up -
Regular -
Share class codes
ISIN GB00BNJZR720
Bloomberg NEPEOPC:LN
SEDOL BNJZR72

Fund managers

Thomas Smith

Fund Manager
  • Role at Neptune

    Investment Director, Head of European Equities

  • Time at Neptune

    10 years

  • Research focus

    Energy and Utilities

Performance

Cumulative performance (%)

1 mth 1 mth YTD 1 yr 3 yrs 5 yrs 10 yrs 15 yrs Launch
Fund -3.2 9.8 -11.2 16.4 14.4 70.6 224.9 300.3
Benchmark -0.6 17.8 4.1 26.4 38.2 126.6 189.4 222.8
Large chart

Calendar year performance (%)

2014 2015 2016 2017 2018
Fund -1.7 15.1 11.4 17.0 -25.6
Benchmark 7.2 11.5 3.3 12.3 -10.1

Performance data supplied by Morningstar; C Accumulation share class performance, in sterling with net income reinvested and no initial charges. Launch date used is 29/11/2002, which is the launch of the A Accumulation share class. The C Accumulation share class was launched on 03/10/2012, so during the period from 29/11/2002 to 03/10/2012 the performance record is based on the pre-existing A Accumulation share class. Reported date prices used for cumulative and discrete performance tables. The performance of other share classes may differ.

IA sector rankings may change at any time as a result of closure, movement between sectors or price amendments by competitor funds. The Fund's IA sector is IA Europe Excluding UK and the benchmark is MSCI Europe ex UK Index. Neptune’s funds are not tied to replicating a benchmark and holdings can therefore vary from those in the index quoted. For this reason, the comparison index should be used for reference only.

This Fund may have a high historic volatility rating and past performance is not a guide to future performance. The value of an investment and any income from it can fall as well as rise as a result of market and currency fluctuations and you and your clients may not get back the original amount invested.

Source: MSCI. The MSCI information may only be used for your internal use, may not be reproduced or redisseminated in any form and may not be used as a basis for or a component of any financial instruments or products or indices.  None of the MSCI information is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Historical data and analysis should not be taken as an indication or guarantee of any future performance analysis, forecast or prediction. The MSCI information is provided on an “as is” basis and the user of this information assumes the entire risk of any use made of this information.  MSCI, each of its affiliates and each other person involved in or related to compiling, computing or creating any MSCI information (collectively, the “MSCI Parties”) expressly disclaims all warranties (including, without limitation, any warranties of originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this information.  Without limiting any of the foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) or any other damages. (www.msci.com).

Calendar year performance (%)

2014 2015 2016 2017 2018
Fund -8.3 9.3 29.1 21.7 -24.8
Benchmark 0.0 5.9 19.7 16.7 -9.1
IA sector -0.4 9.9 17.1 17.4 -11.9
IA rank 90/92 49/98 2/106 15/111 116/116
Quartile 4 2 1 1 4

Performance data supplied by Morningstar; C Accumulation share class performance, in euros with net income reinvested and no initial charges. This is not the performance of the euro share class. Launch date used is 29/11/2002, which is the launch of the A Accumulation share class. The C Accumulation share class was launched on 03/10/2012, so during the period from 29/11/2002 to 03/10/2012 the performance record is based on the pre-existing A Accumulation share class. Reported date prices used for cumulative and discrete performance tables. The performance of other share classes may differ.

The Fund's benchmark is the MSCI Europe ex UK Index. Neptune’s funds are not tied to replicating a benchmark and holdings can therefore vary from those in the index quoted. For this reason, the comparison index should be used for reference only.

This Fund may have a high historic volatility rating and past performance is not a guide to future performance. The value of an investment and any income from it can fall as well as rise as a result of market and currency fluctuations and you and your clients may not get back the original amount invested.

Source: MSCI. The MSCI information may only be used for your internal use, may not be reproduced or redisseminated in any form and may not be used as a basis for or a component of any financial instruments or products or indices.  None of the MSCI information is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Historical data and analysis should not be taken as an indication or guarantee of any future performance analysis, forecast or prediction. The MSCI information is provided on an “as is” basis and the user of this information assumes the entire risk of any use made of this information.  MSCI, each of its affiliates and each other person involved in or related to compiling, computing or creating any MSCI information (collectively, the “MSCI Parties”) expressly disclaims all warranties (including, without limitation, any warranties of originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this information.  Without limiting any of the foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) or any other damages. (www.msci.com).

Portfolio

Data as at 31/08/2019

Top ten holdings (%)

FundIndex
Bayer 4.52 1.11
Intesa Sanpaolo 3.01 0.52
Sanofi-Aventis 2.98 1.55
Siemens 2.96 1.23
Crédit Agricole 2.96 0.21
Pernod Ricard 2.95 0.65
Danone 2.95 0.89
Unilever 2.94 1.45
UniCredit 2.89 0.36
Maersk 2.85 0.17

Sector (%)

FundIndex
Financials 20.4 16.2
Materials 15.1 6.6
Industrials 14.1 14.7
Consumer discretionary 12.5 10.5
Healthcare 10.0 14.7
Information technology 9.1 7.5
Consumer staples 8.8 14.9
Energy 3.8 3.9
Utilities 2.3 5.0
Communication services 2.0 4.5
Real estate 0.0 1.5
Cash 1.9000 0.0

Country (%)

FundIndex
Germany 26.7 18.5
France 24.2 24.5
Netherlands 13.7 8.0
Spain 6.4 6.1
Italy 5.9 5.1
Other 5.1 0.0
Portugal 4.6 0.3
Sweden 3.8 5.4
Denmark 2.8 3.9
Norway 2.5 1.4
Switzerland 2.4 20.7
Cash 1.9000 0.0

Top ten holdings (%)

FundIndex
Bayer 4.52 1.11
Intesa Sanpaolo 3.01 0.52
Sanofi-Aventis 2.98 1.55
Siemens 2.96 1.23
Crédit Agricole 2.96 0.21
Pernod Ricard 2.95 0.65
Danone 2.95 0.89
Unilever 2.94 1.45
UniCredit 2.89 0.36
Maersk 2.85 0.17

Sector (%)

FundIndex
Financials 20.4 16.2
Materials 15.1 6.6
Industrials 14.1 14.7
Consumer discretionary 12.5 10.5
Healthcare 10.0 14.7
Information technology 9.1 7.5
Consumer staples 8.8 14.9
Energy 3.8 3.9
Utilities 2.3 5.0
Communication services 2.0 4.5
Real estate 0.0 1.5
Cash 1.9000 0.0

Country (%)

FundIndex
Germany 26.7 18.5
France 24.2 24.5
Netherlands 13.7 8.0
Spain 6.4 6.1
Italy 5.9 5.1
Other 5.1 0.0
Portugal 4.6 0.3
Sweden 3.8 5.4
Denmark 2.8 3.9
Norway 2.5 1.4
Switzerland 2.4 20.7
Cash 1.9000 0.0

    Active share

    Active share 75.1%

    The Active Share is a measure of how different a portfolio is from its benchmark, i.e. how 'actively managed' a fund is relative to its respective Index. A score of 100% indicates the fund's holdings are completely different, whilst 0% indicates the portfolio exactly replicates the Index.

    Number of holdings

    No. of holdings 43

    Total number of holdings, excluding cash positions.

    Quarterly commentary

    Q2 2019

    Market overview

    Global markets had a volatile but, ultimately, positive second quarter with emerging and developed markets returning 3.1% and 6.7%, respectively. Key drivers were the continued dovishness of global central banks and the agreement at the G20 summit by President Trump and Xi Jinping to resume trade talks. The US Federal Reserve acknowledged the need for interest rate cuts, with the first expected in July, and the European Central Bank signalled that additional monetary stimulus might be needed in the form of rate cuts and/or asset purchases. Trade discussions were the primary source of volatility, with negotiations breaking down in May before the two leaders agreed to continue talking at the G20 at the end of June.

    Portfolio attribution

    Despite the rally in global equities, the fall in global bond yields continued to favour growth over value, with technology and consumer discretionary two of the best performing sectors. Despite the persistent underperformance of value, strong performance from a number of stocks supported portfolio returns in the quarter. These included Adidas, Banco Comercial Portugues, Maersk and Bayer.

    Outlook

    The portfolio maintains a strong value bias, with valuations at a material discount to both the market and peers. As recession fears recede and risk assets are supported by a more dovish Federal Reserve and stimulus measures in China, we see room for the sharp outperformance of growth over value to begin to reverse.

    Thomas Smith

    Fund Manager

    Despite the persistent underperformance of value, strong performance from a number of stocks supported portfolio returns in the quarter

    Related event

    Insights & analysis

    Prices

    Choose date
    Share class Price Change (%) Date
    C Acc EUR 114.40 0.26 19/09/2019
    C Acc GBP 171.80 0.53 19/09/2019
    C Acc GBP Hdg 85.66 0.27 19/09/2019
    C Inc GBP 129.80 0.54 19/09/2019
    A Acc EUR 186.10 0.22 19/09/2019
    A Acc GBP 534.80 0.55 19/09/2019
    A Inc GBP 434.10 0.56 19/09/2019
    B Acc EUR 195.90 0.26 19/09/2019
    B Acc GBP 576.60 0.54 19/09/2019
    B Inc GBP 445.70 0.52 19/09/2019
    D Acc GBP 137.70 0.51 19/09/2019
    D Acc GBP Hdg 85.65 0.27 19/09/2019
    E Inc GBP 83.08 0.54 19/09/2019

    Neptune funds are priced every working day at 12 noon UK time and prices should be updated here by 6pm the same day.

    The prices shown should be taken only as an indication of the value of shares. Prices are set on a forward-pricing basis which means that any instruction to buy or sell shares will be fulfilled at the price set at 12 noon the next day.

    If you are looking for historical prices of closed funds or share classes, or are having any difficulty finding the price information you require, please contact our European Sales team.

    Literature

    English documents

    Factsheet
    31/08/2019
    Quarterly Commentary
    30/06/2019

    German documents

    Codes & fees

    ISIN SEDOL Bloomberg Ongoing charge (%)
    C Acc EUR GB00BNJZR720 BNJZR72 NEPEOPC:LN 1.09
    C Acc GBP GB00B8LF7310 B8LF731 CFNEOCA:LN 1.07
    C Acc GBP Hdg GB00BFN4FT71 BFN4FT7 NEPEECH:LN 1.10
    C Inc GBP GB00B909GK18 B909GK1 NEPEOCI:LN 1.07
    A Acc EUR GB00B60T5P82 B60T5P8 NEUOAAE:LN 2.07
    A Acc GBP GB0032308594 3230859 CFNEOAA:LN 2.07
    A Inc GBP GB00B058ZH01 B058ZH0 CFNEOAI:LN 2.07
    B Acc EUR GB00B60T5Q99 B60T5Q9 NEUOBAE:LN 1.57
    B Acc GBP GB0032310012 3231001 CFNEOBA:LN 1.57
    B Inc GBP GB00B058ZP84 B058ZP8 CFNEOBI:LN 1.57
    D Acc GBP GB00BFZC7488 BFZC748 NEPECRA:LN 0.97
    D Acc GBP Hdg GB00BFN4FV93 BFN4FV9 NEPEEDH:LN 1.01
    E Inc GBP GB00BFN4FS64 BFN4FS6 NEPEEAG:LN 0.87

    Contact us

    European Sales Team

    Contact our local representative

    ACOLIN Fund Services AG
    Affolternstrasse 56
    CH-8050
    Zürich
    Switzerland
    Telephone: +41 44 396 96 96

    Contact our Swiss paying agent

    Banque Cantonale de Genève
    17, Quai de l’Ile
    1204 Geneva
    Switzerland