MEDIA RELEASE Morningstar has upgraded its Morningstar Analyst Rating™ on Robeco’s Emerging Conservative Equities Fund to ‘Silver’, indicating it considers it be a long-term outperformer.
A Silver rating represents a fund that is thought highly of, but more importantly, a fund that has the potential to outperform a full market cycle of at least five years.
Stephen Dennis, Head of Robeco Australia, said: “Our Emerging Market fund has gained broad market appeal due to its objective of losing less in down markets and participating in the up markets while having a positive Sustainability profile. It is fantastic to have the quality of the product offering reflected in a Silver rating by Morningstar.”
According to the Morningstar Global Fund Reportdated 15 February 2019, Matthew Wilkinson, senior analyst at Morningstar, said: “The strategy’s overall, long-term risk-adjusted results have been excellent…. This strategy follows a quantitative approach based on the academic work of team head Pim van Vliet, who has found that investing in low-risk stocks leads to better risk-adjusted results…. Since this strategy’s October 2013 inception through December 2018, its 8.4% annualised gain safely beat the MSCI Emerging Markets Index’s 7.3% return”.
“The strategy has a predictable return profile, tending to lag during strong bull markets yet outperform during volatile environments. The merits also include attractive fees, giving it a built-in advantage over most peers,” Mr Wilkinson said.
Further to the report, Mr Wilkinson added: “Robeco Emerging Conservative Equity charges a very encouraging 0.96% per year. This is a highly competitive price for an emerging-markets equity fund, and very few alternatives are cheaper in this space”.