Summer Global Equities

Summer Global Equities fund performance update as at 31 August 2017. 

Fund at a glance

Unit price (as at 31 August 2017): $1.1719

Date the fund started: 19 September 2016

For information on fees, see our Fees page.

Further information can be found in the product disclosure statement

Fund objective and strategy

See the Global Equities page for the Summary of investment objective and strategy.

Fund returns

 Total since inception1 Month3 Months6 Months
Fund 16.23% 4.55% 4.13% 9.38%

Fund returns are calculated net of fund charges, trading expenses and accrued tax for a New Zealand resident individual paying tax at the highest Prescribed Investor Rate (28%).

Top 10 investments

  Asset name % of fund net assets
1 ANZ Cash Deposit 7.32%
2 Facebook Inc.- A 4.86%
3 NIKE, Inc. 4.67%
4 Celgene Corporation 3.81%
5 Delphi Automotive PLC 3.78%
6 Starbucks Corporation 3.56%
7 Baidu Inc. - Spon ADR 3.31%
8 Gilead Sciences Inc. 3.27%
9 Illumina Inc. 3.17%
10 Alphabet Inc Class A 3.11%

The top 10 investments make up 40.86% of the fund.

Manager's comments

Summer Global Equities delivered a return of 4.55% for August. 

As we have highlighted in prior months, a key positive contributor to the fund’s performance has been its exposure to Chinese e-commerce giants Alibaba, Baidu, Tencent and more recently, Ping An; first introduced into the Fund in April 2017.

Over the past couple of months we have consolidated our Chinese stock holdings down to 12 companies.  We have divested NetEase, China Overseas Land & Investment, PICC and China Resources Power. Offsetting the divestments we have lifted our weights across several companies  -Ping An, Zhejiang Expressway, and Guangdong Investment- and introduced a new position, TravelSky Technology, which is the dominant provider of aviation IT solutions in China, servicing 38 Chinese airlines and over 350 foreign and regional commercial airlines. Ping An Insurance is China’s 2nd largest insurance company and the country’s fastest growing financial technology (fintech) company, with a market value of NZ$200bn, which is 2.5 times the size of New Zealand’s top 20 companies.

What has caught our eye with Ping An has been its rapidly expanding fintech business; commercialising artificial intelligence (AI) solutions being at the core of its strategy. In 2017 Ping An will spend almost US$1bn on technology, of which a large share of this spend will be applied to advancing AI applications. These applications will cover facial recognition for loans, image recognition for housing, and car insurance claims, plus a host of other AI applied services.

Ping An has transformed its business from an integrated financial services model to incorporate online e-commerce solutions with an emphasis on four business areas: finance, medicine, auto and housing. Ping An’s fintech subsidiaries are growing rapidly, have a bright long-term future and in our opinion are likely to be a key source of upside to core earnings and valuation.


For more information on the Summer Global Equities fund, read the latest quarterly fund update.

This is not a recommendation to buy or sell any financial product and does not take your personal circumstances into account. All opinions reflect our judgement on the date of communication and may change without notice. Past performance is not a reliable guide to future performance. We recommend you take financial advice before making investment decisions. We have prepared this web page in good faith based on information obtained from other sources, but we do not guarantee the accuracy of that information. We do not make any representation or warranty (express or implied) that this web page is accurate, complete, or current and to the maximum extent permitted by law disclaim any liability for loss which may be incurred by any person relying on this web page.