BRADESCO GLOBAL FUNDS Brazilian Equities Mid Small Caps USD I
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BRADESCO GLOBAL FUNDS Brazilian Equities Mid Small Caps USD I As of 31/03/2018 Fund Description Calendar Year Net Returns (USD %) The fund seeks to maximize returns by investing in publicly listed 100,0 Mid and Small Cap Brazilian Equities – defined as those excluding 80,0 the 25 largest constituents of the IBrX (Brazil´s 100 most liquid 68,9 stocks index). 60,0 48,2 40,0 39,1 25,2 Fund Facts 20,0 19,4 11,5 7,4 Fund Size $ 60.4 million 0,0 Inception Date 30/08/2011 -20,0 -2,2 -11,3 -12,8 -14,1 -13,8 Domicile Luxembourg -40,0 -16,6 -60,0 -26,7 -39,5 Legal Status SICAV / UCITS -41,8 -80,0 Base Currency US Dollar Return 2018 YTD 2017 2016 2015 2014 2013 2012 2011 ** Subscription / Redemption Daily Settlement Day 4 Brazilian Equities Mid Small Caps USD I Ibovespa* Trailing Net Returns (USD %) Share Class Information Since 1 M 3 M YTD 1 Y 3 Yrs Inception USD I USD R ISIN LU0670732071 LU0670731933 Brazilian Equities Mid Small Caps USD I -0,5 28,67,47,4 -0,167,9 Ticker BBG BREMSIU LX BREMSRU LX Ibovespa* -2,2 11,5 11,5 26,3 61,5 -25,9 Annual Fee (%) 0,80 1,50 BRL/USD-WM -2,3 -0,2 -0,2 -4,5 -4,3 -52,5 Inception Date 30/08/2011 29/11/2011 Minimum Investment 1,000,000 US Dollar 5,000 US Dollar Sector Allocation (%) EUR R GBP R Consumer Cyclical ISIN LU0670732584 LU0860816957 Utilities Ticker BBG BREMSRE LX BREMRAG LX Real Estate Annual Fee (%) 1,50 1,50 Basic Materials Inception Date 29/11/2011 28/12/2012 Consumer Defensive Minimum Investment 1,000 Euro 1,000 Pound Sterling Healthcare Industrials Financial Services Holdings-Based Style Map Technology Communication Services Energy Giant 0,0 5,0 10,0 15,0 20,0 25,0 30,0 Risk Statistics Top 10 Holdings Std Dev 19,76 Sector Fund (%) Tim Participacoes SA Communication Services 5,6 Alpha 7,61 CVC Brasil Operadora e Agencia de Consumer Cyclical 5,6 Beta 0,67 Localiza Rent A Car SA Consumer Cyclical 5,4 Mid Large R2 71,69 Suzano Papel E Celulose SA Basic Materials 5,2 Sharpe Ratio (arith) 1,27 Bradespar SA Participating Preferred Financial Services 4,7 Tracking Error 8,65 Energisa SA Unit Utilities 4,7 Estacio Participacoes SA Consumer Defensive 4,1 Metalurgica Gerdau SA Participating Basic Materials 3,9 MRV Engenharia e Participacoes SA Consumer Cyclical 3,9 Fleury SA Healthcare 3,3 Micro Small Deep-Val Core-Val Core Core-Grth High-Grth Total number of positions 31 * Ibovespa is a reference Index. The fund has no official benchmark index. The index was converted into US dollars using WM11/Reuters rates. ** From inception date until year end. BRADESCO GLOBAL FUNDS Brazilian Equities Mid Small Caps USD I Fund Investment Objective About BRAM To obtain a superior return in the medium and long term by investing mainly in Brazilian companies with small and medium market capitalization. BRAM was created in 2001 from the consolidation of Bradesco’s asset The investment management method used is, by using a bottom-up management divisions and Bradesco-owned asset managers, bringing approach (stock picking), to select the eligible companies according to their together over 40 years of expertise in the Latin America market. BRAM has potential growth, their strategy, their macroeconomic environment and the an excess of US$170 billion of assets under management from Brazilian, quality of the management of these companies. Asian and American retail, private, corporate and institutional clients. BRAM has strong investment capability in fixed income and equities. BRAM is a wholly owned subsidiary of Banco Bradesco, Brazil’s largest privately- Fund Investment Policy owned bank. Diversified portfolio with minimum of 90% of its net assets in shares and equity-related securities issued by Brazilian companies with small and middle market capitalization values, which are not included among the 25 largest holdings in Brazilian Stock Index – IBrX. At most 15% can be invested in stocks with greater liquidity and market capitalization, provided they are not included among the 10 largest holdings of the IBrX. Portfolio is mainly invested in shares and equity-related securities issued by Brazilian companies listed on the Sao Paulo Stock Exchange, including Brazilian Depository Receipt (BDR), American Depository Receipts (ADR) and International Depository Receipts (IDR). Manager Portfolio Manager Quarterly Commentary BRAM - Bradesco Asset Management S.A. DTVM Av. Brigadeiro Faria Lima, 3064, 7th Floor January - March Sao Paulo - SP, Brazil Tel. +55 11 3847 9171 Review: In Brazil, a faster-than-expected economic recovery and rising [email protected] commodity prices provided a positive backdrop for the IBOVESPA during the www.bradescoasset.com period. In addition, the International Monetary Fund (IMF) increased its growth outlook for Brazil in 2018 to 1.9%, as businesses and consumers responded to record-low interest rates. Although the presidential election is not due until October, uncertainties over the Government’s delayed pension Global Distributor reform plans prompted rating agency Standard & Poor’s to cut Brazil’s credit Banco Bradesco Europa S.A. rating to BB- from BB. In the US, Wall Street benchmarks pulled back from 29, Avenue Porte-Neuve an impressive start to the year after a surge in wage inflation prompted L-2227 Luxembourg investors to rethink the pace of Fed rate hikes. Inflationary concerns were also driven by worries that President Trump’s tax cut package may add further stimulus into what is already a strongly growing economy. Despite the positive sentiment locally, the fund underperformed the Ibovespa by Transfer Agent, Custodian Bank and Administrator 2.8%. The most important contribution during the period was our BNP Paribas Securities Services, Luxembourg Branch overweight in Suzano, which rallied after the company announced a merger 60, Avenue J.F. Kennedy with Fibria. Another positive highlight was, once again, CVC. On the other L-1855 Luxembourg hand, our underweight on big-cap names such as Petrobras and Itau detracted from performance. Outlook: After a very positive start of the year, we begin the second quarter Auditor on a more cautious note. In Brazil, the electoral dispute should begin in April KPMG and we believe it should bring significant volatility to the market. Also, 39, Avenue J.F. Kennedy concerns regarding a trade war between the US and China are on our radar. L-1855 Luxembourg On a more positive note, inflation expectations continue to fall and now we expect interest rates to reach 6% instead of the previous expectation of 6.5%. Registered Status This fund is currently registered for sale in Luxembourg, Portugal, France, United Kingdom, Spain, Italy, Peru Contacts BRAM - Bradesco Asset Management S.A. DTVM Tel. +55 11 3847 5188 [email protected] Bradesco Global Funds – Brazilian Equities Mid Small Caps is registered in Luxembourg. Investors should be aware that past performance is no guarantee of future performance. Price of units may fall as well as rise and is not guaranteed. Investors may not get back the amount originally invested. Before investing in this product please read carefully the latest prospectus to be aware of the risks. Unless otherwise stated all data on this factsheet is unaudited. Bradesco Global Funds units may be offered, sold or delivered in those countries in which they have received marketing authorization..