DJE - Gold & Ressourcen I (EUR)

DJE - Gold & Ressourcen I (EUR) Header Image
Minimum investment: 75,000 EUR
ISIN:
LU0159550820
As at:
22/01/2020
Bid:
156.33 EUR
Offer:
156.33 EUR

Monthly Commentary

In December the DJE - Gold & Ressourcen rose 5.69%. Its benchmark index (60% Philadelphia Stock Exchange Gold and Silver Index, 20% Reuters/Jeffries CRB Index, 20% MSCI World Materials Sector Index (EUR)) increased 7.33%. Gold mining stocks performed well in December. The XAU Gold Mine Index rose 12.28% in US dollar terms and 10.33% in euro terms due to the depreciation of the US dollar against the euro in December. This means that gold mine stocks outperformed the gold price itself. The price rose 3.64% in US dollar terms to USD 1,517.27 per ounce. Calculated in Euro the profit was lower at 2.54% and EUR 1,353.22 per ounce due to the depreciation of the US dollar. In December the gold price developed positively after a previously weak November. Gold was once again in demand as a "safe haven" and benefited in its capacity as a stable investment primarily from the ultra-loose monetary policy of many central banks and the associated low or negative interest rate environment. Most recently the revival of bond purchases by the European Central Bank last September suddenly dashed the hopes of many investors for a foreseeable turnaround in interest rates which had a positive effect on the price of gold. Even though the "Phase One" agreement between the USA and China has been concluded, fears of trade conflicts, uncertainty about the further global economic development and concerns about the consequences of the breakout remain. Gold ETFs saw renewed inflows at the end of the month. Risks have eased somewhat of late but both the trading dispute and the Brexit are still a long way from a final solution. Negative surprises are always possible, which in turn would support gold prices. As long as real interest rates are falling or remain at current levels the gold price should be able to continue its upward trend. Investor uncertainty the investment crisis and a decline in the value of the major currencies supported by the central banks continue support gold as an alternative currency. The highest performance contributions in December came from positions in the mining companies Newmont Goldcorp (USA), Gold Fields (South Africa) and Northern Star Resources (Australia) as well as the German copper producer Aurubis. Negative performed the positions of the mining companies Endeavour Mining (West Africa), Cia de Minas Buenaventura (Peru) and Regis Resources (Australia) as well as the German chemical company BASF. The weighting of gold mining shares was approx. 59% at the end of December compared to 57% previous month. The focus remains on solidly financed producers that generate positive free cash flows even at lower gold prices that have some growth prospects. Broader commodities/chemicals stocks generally underperformed gold mining stocks in December: MSCI World Materials (1.97%) and CRB Commodities Index (+3.93%) - both in euro terms. The fund is currently not invested in bonds. At the end of the month stocks denominated in US dollars were partly currency-hedged.

Legal Information / Disclaimer:

The collective investment scheme ("the Fund"), is a fund on a contractual basis under the law of Luxembourg. Regarding the publication of performance data of the Fund it should be noted that the historic performance does not represent an indicator for the current or future performance and the performance data do not take account of the commissions and costs incurred on the issue and redemption of units. First Independent Fund Services Ltd., Klausstrasse 33, CH-8008 Zurich acts as the Swiss Representative (the "Swiss Representative") and NPB Neue Privat Bank Ltd., Limmatquai 1, P.O. Box, CH-8022 Zurich acts as the Paying Agent in Switzerland ( the "Swiss Paying Agent") for the Fund. Copies of the prospectus (incl. management regulations), the Key Investor Information Document, as well as annual and semi-annual reports of the Fund may be obtained free of charge from the Swiss Representative in Zurich.

*) © 2016 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.