- 15 NovThe Alpha Lifecycle
- 16 OctVector 2019 Q3 Review
- 10 SepA new prospectus
- 14 AugMarket Review: July
- 10 JulVector 2019 Semi-annual Review
- 14 JunAre factor premia disappearing?
- 21 MayHow persistent is regional outperformance?
- 12 AprMarket recovery: sense or sentiment?
- 12 MarMarkets solidify recovery
- 12 FebStock Markets Rebound
- 31 DecVector 2018 Annual Review
- 14 Dec2019 (outrageous) predictions!
- 20 AugTemperatures and stock markets heat up
- 18 JulVector 2018 Semi-annual Review
- 14 JunDo exporters suffer during trade wars?
- 15 MayStrong earnings put markets on the road to recovery
- 17 AprQ1 Overview
- 13 MarStock Markets: Episode VI: The return of volatility
- 02 MarVector wins Morningstar Germany and Belgium Awards!
- 22 FebVector Flexible wins De Tijd/L'Echo Awards for the third year in a row!
- 16 FebNavigator wins Morningstar France Award!
Temperatures and stock markets heat up
20 Aug 2018
Much like the temperature stock prices generally were in an upward trend during July. A strong job market and earnings season in the US and an apparent de-escalation of the US-EU trade conflict made investors hope that the geopolitical tensions, that had so often dominated the news during the first half of the year, were a thing of the past. On the back of this good economic news the MSCI World NR ended the month 2.9% higher.
Emerging markets, however, remained in the backseat - continuing to lag behind their developed market counterparts by about 1% during the month. This brings the year-to-date differential between the developed and developing regions to a considerable 8.4%. Valuation wise the P/E of emerging markets now stands at 14.1, which is substantially below that of the MSCI Europe (17.5), let alone that of the MSCI USA (23.1).
Vector Navigator recorded a return of 3.25% in July, outperforming its Morningstar category by 0.94% during the month. Flexible gained 2.15%, which allowed it to outperform the competition by 1.11%. While most funds in the Flexible Allocation category are still struggling to achieve positive returns in 2018, Flexible now stands at a year-to-date return of 1.46%, comfortably placing it within the best quartile of its Morningstar category.
Thierry, Werner & Nils