Summary of Investment Objective
The Global Dynamic Equity Fund seeks to maximise total return. The Fund invests globally, with no prescribed country or regional limits, at least 70% of its total assets in equity securities. The Fund will generally seek to invest in securities that are, in the opinion of the Investment Adviser, undervalued. The Fund may also invest in the equity securities of small and emerging growth companies. Currency exposure is flexibly managed.
Fund Manager's Report (as at Jul 31, 2010)
The Fund underperformed its benchmark this month.
Detracting from the Fund’s performance were underweight exposures to India and Australia as well as a number of European equity markets, including Spain, the United Kingdom, France, and Italy. In addition, stock selection in Canada and the US detracted from performance. Contributing favorably to the Fund’s performance was stock selection in Taiwan, along with overweight allocations to Brazil and Turkey. From a sector perspective, the Fund benefitted from stock selection in information technology and overweight allocations to materials, consumer staples, and telecommunication services. Detracting from performance were underweight positions coupled with stock selection in both financials and industrials. Stock selection in materials notably in gold-related securities and telecommunication services also affected performance.
During the month, the Fund built positions in Europe while decreasing its exposure to the US. On a sector basis, the Fund increased its exposure to financials, energy, utilities, industrials and information technology while decreasing the weightings in materials and health care. Compared to its reference benchmark, the Fund is underweight the US and Europe with overweight exposure to Asia, Latin America and Canada. On a sector basis, the Fund is overweight materials, telecommunication services and energy while taking underweight positions in the consumer related sectors and financials.
Fund Fact (as at Jul 31, 2010 )
| Status | Sub-Fund of Luxembourg SICAV |
| Fund Manager | Dennis Stattman |
| Launch Date | Feb 28, 2006 |
| Base Currency | USD ($) |
| Additional Dealing Currencies | EUR (€) |
| Benchmark | Composite (S&P/FTWxUS) |
| Morningstar Sector | Equity Global |
| Total Fund Size (m) | USD ($) 838.6 |
| EUSD Fund Attributes | |
| EUSD Fund Status | in scope, distributions only |
| Information Source | Portfolio Composition |
| Application Threshold | >15%, <=40% |
| Holding in Debt Claims | 20.89% |
| Grandfathered Bonds Held | 0.00% |
| Application Start Date | Jan 1, 2010 |
| Application End Date | Dec 31, 2010 |
| TID | 0.000000000 |
| Last Distribution Date | Aug 19, 2010 |
| Fees | % |
| Annual Management Fee (A shares) | 1.50 |
| Initial Charge (A shares) | 5 |
| Codes | |
| ISIN | LU0238689110 |
| Bloomberg Equity Ticker | MERGDAU |
| Swiss Valoren Number | 2398387 |
| CUSIP | L1049H498 |
| Research Ratings | |
| Morningstar Qualitative Rating | Superior |
| S&P Fund Management Rating | AAA |
| Fund Risk Statistics | |||
|---|---|---|---|
| Name | 3 Years | 5 Years | Since Launch |
| Beta | 0.82 | - | 0.84 |
| Volatility (Annualised Standard Deviation) | |||
| Global Dynamic Equity Fund | 19.7% | - | 17.1% |
| Composite (S&P/FTWxUS) | 22.7% | - | 19.5% |
Risk Grading
Low
High
Non-distributing
Important Information
‡ 60% S&P 40% FTSE World (ex US)Index.
The information on this website is available to Qualified Investors and Professionals in some jurisdictions on a limited private placement basis subject to applicable laws and regulations in the country of distribution. The information is confidential and should not be reproduced or distributed to persons other than the recipient.
The investment objective stated above is a summary of the main objectives of the Fund. Please refer to the BGF prospectus for full details.
A limited range of BGF sub-funds have a distributor status A share class that seeks to comply with UK Distributor Status requirements. Please contact the Manager for more information.
The fund invests a large portion of assets which are denominated in other currencies; hence changes in the relevant exchange rate will affect the value of the investment. The fund invests in economies and markets which may be less developed. Compared to more established economies, the value of investments may be subject to greater volatility due to increased uncertainty as to how these markets operate. The fund typically invests in smaller company shares which can be more unpredictable and less liquid than those of larger company shares. Past performance is not a guide to future performance and should not be the sole factor of consideration when selecting a product. All financial investments involve an element of risk. Therefore, the value of your investment and the income from it will vary and your initial investment amount cannot be guaranteed.
BlackRock Global Funds (BGF) is an open-ended investment company established in Luxembourg which is available for sale in certain jurisdictions only. BGF is not available for sale in the U.S. or to U.S. persons. Product information concerning BGF should not be published in the U.S. It is recognised under Section 264 of the Financial Services and Markets Act 2000. BlackRock Investment Management (UK) Limited is the UK distributor of BGF. Most of the protections provided by the UK regulatory system, and the compensation under the Financial Services Compensation Scheme, will not be available. A limited range of BGF sub-funds have a distributor status A sterling share class that seeks to comply with UK Distributor Status requirements. Subscriptions in BGF are valid only if made on the basis of the current Prospectus, the most recent financial reports and the Simplified Prospectus which are available on our website. Prospectuses, Simplified Prospectuses and application forms may not be available to investors in certain jurisdictions where the Fund in question has not been authorised.
Sources: Fund – BlackRock Investment Management (UK) Limited (BIM(UK)L), Indices - Datastream, BIM(UK)L. Quartiles - Standard & Poor's. BIM(UK)L Risk Grading: High Risk (on a scale of Low, Medium, Medium/High and High). This grading applies to Funds with emerging market, small capitalisation, or narrowly focused/concentrated equity mandates, which may restrict liquidity and increase the volatility of returns. It should only be used for comparison with other BlackRock Global Funds (BGF) and, in particular, should not be used in comparison with Funds not provided by BIM(UK)L. The grading is indicative of the level of risk of a particular Fund and is not supposed to be a guarantee of likely returns. If you are in any doubt as to the level of risk that you should take, you should seek Independent Advice. Performance is shown as at Jul 31, 2010 in USD on a NAV price basis with income reinvested. Fund performance figures are calculated net of fees.