$5*7&* - mandarine-gestion.com...enel spa 3.3% 1.3 utilities / italy symrise cag 3.0% 0.7 basic...
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Risk profile 1 2 3 4 5 6 7
Morningstar™
AdrienDUMAS
ThierryLE CLERCQ
PERFORMANCES AND RISKS
MANDARINE
ACTIVE IEurozone Equity ISIN FR0011352160 MONTHLY REPORT DECEMBER 31, 2020
+2.4%
Performance 1 month
Bench.+2.1%
+11.3%
Performance YTD
Bench.+0.2%
27.3%
Volatility 1 year
Bench.35.6%
2020 ended on a positive note, with the European markets even managing to eke out a positive performance (+0.25% for the EuroStoxx) after a very turbulent year. Mandarine Active made it through 2020 rather well, with a little higher degree of responsiveness than usual in connection with the new structural trends resulting from the health crisis. As such, out of the best performances of 2020, ADYEN (+160%), ZALANDO (+75%) and EDP RENOVAVEIS (+120%), the latter two were not present in the portfolio at the beginning of the year. Mobility was therefore rewarded and there is no question that the anticipated reflation scenario in 2021 will require responsiveness and pragmatism. 2020 also provided a substantial demonstration of the relevance of the extra-financial indicators incorporated in our Active approach. These indicators enabled us to concentrate on companies that were the most virtuous in social and environment terms but, most importantly, also the most flexible in terms of adapting their strategies to the existing context in concert with all their stakeholders. Finally, we must mention the rising importance of environmental considerations, which are at the heart of stimulus plans worldwide and are now key areas of concern for investors and companies. Your team will therefore continue to accompany companies that are successfully integrating social challenges in their strategies. The following reporting includes details of the characterisation and analysis of our companies regarding these subjects.
Main transactions over the month
PROSUS NV (-) SAP AG
BUREAU VERITAS (-) KION
DASSAULT SYSTEMES (-) SANOFI
(+) New holding (-) Sale
Major contributors/detractors over the month (%)
EDP RENOVAVEIS SA +0.8 KINGSPAN GROUP -0.5
VERBUND +0.3 STMICROELECTRO… -0.2
ASML HOLDING NV +0.3 SAINT GOBAIN -0.2
Mandarine Active selects “active” companies in the eurozone that offer sustained growth momentum associated with a positive and inclusive societal contribution. The fund has been awarded various European SRI labels.
The data presented relates to past periods, past performance is not an indicator of future results. Statistical indicators are calculated on a weekly basis.Benchmark: Stoxx 600 DR until 30/11/2017, EuroStoxx NR since 01/12/2017.
Evolution since inceptionFund Bench.
0%
30%
60%
90%
2013 2014 2015 2016 2017 2018 2019 2020
9709.45EUR
Net asset value
Annual performancesFund Bench.
30%
15%
0%
-15%
-30%
2015 2016 2017 2018 2019 2020
Rolling / annualized performancesRolling performances Annualized performance
1 month YTD 1 year 3 years 5 years Inception 3 years 5 years Inception
Fund +2.4% +11.3% +11.3% +24.2% +28.9% +94.2% +7.5% +5.2% +8.6%
Bench. +2.1% +0.2% +0.2% +10.3% +22.0% +73.5% +3.3% +4.1% +7.1%
Diff. +0.3% +11.1% +11.1% +13.8% +6.9% +20.7% +4.1% +1.2% +1.5%
Rank* 345/1447 49/1371 49/1371 45/1116 268/939 90/752
*Morningstar - Eurozone Equity Large Cap
Risk indicators
Fund volatility Benchmarkvolatility Tracking error Information ratio Sharpe ratio
1 year 27.3% 35.6% 11.1% 1.0 0.4
3 years 18.7% 23.2% 7.5% 0.6 0.4
+21.5
+9.6
+1.7
+9.8 +8.7
+28.4+26.1
+11.3
+0.2
-5.4
-13.2 -12.7
PORTFOLIO STRUCTURE
FUND PROFILE
CHARACTERISTICS
MANDARINE
ACTIVE I
Main holdingsWeight ACTIVE Rating (±2)
LINDE PLC 4.7% 0.8 Basic Materials / Great-Br…ENEL SPA 3.7% 1.3 Utilities / ItalyLOREAL 3.5% 1.0 Cons.Discretionary / FranceEDP RENOVAVEIS SA 3.4% 0.9 Utilities / SpainSCHNEIDER ELECTRIC 3.2% 1.3 Industrials / FranceASML HOLDING NV 3.2% 1.6 Technology / NetherlandsKONINKLIJKE DSM 3.1% 1.3 Basic Materials / Netherla…MERCK KGAA 3.1% 0.9 Health Care / GermanyFINECOBANK SPA 3.1% 0.2 Financials / ItalyWAREHOUSES DE PAUW 3.0% 0.6 Real Estate / Belgium
Sector
Industrials 24.0%Cons.Discretionary 14.6%Basic Materials 14.2%Technology 10.1%Health Care 9.5%Utilities 8.9%Financials 8.4%Real Estate 3.0%Energy 1.7%Cash & Others 5.6%
Country
France 34.1%Netherlands 16.0%Germany 12.1%Italy 6.8%Great-Britain 4.7%Switzerland 4.4%Finland 3.7%Spain 3.4%Belgium 3.0%Hong Kong 2.4%Ireland 1.9%Austria 1.8%Cash & Others 5.6%
Key figures at December 31 2020Asset under management 298.0M€
Equity exposure 94.8%
Number of holdings 39
Active share 77.4%
Average capitalisation (Bln €) 46.1
EPS growth (Next 12 M./Last 12 M.) +25.0%
PE (Next 12 Months) 26.3x
ESG profile
0.63Fund ACTIVE rating
(-2/+2)
Bench.0.62 163
Carbon footprint*Bench.303
*Tonnes of CO2e/M€ invested, Direct (scope 1-2) + First tier indirect
Capitalisation
Mega Cap 28.9%Large Cap 53.3%Mid Cap 9.1%Small Cap 3.1%Cash & Others 5.6%
Currency
EUR 95.6%HKD 2.4%CHF 1.9%SEK 0.0%
ISIN Bloomberg code Inception of the fund Shareclass inceptionFR0011352160 MANMEOI FP Equity 17/12/2012 17/12/2012
Legal Status Shareclass currency Investment horizon Management companyFrench FCP EUR 5 years Mandarine Gestion
Depositary Valuation Cut-Off SettlementBNP Securities Services Daily 13H00 D+2
Management Fee Performance Fee Initial charge Redemption Fee0.90% 15% of the outperformance over the
benchmark if perf > 0 2.00% 0%
Mandarine Gestion 40 avenue George V | 75008 Paris
www.mandarine-gestion.com
DISCLAIMERThe purpose of this document is to present, for information purposes only, the characteristics of Mandarine Gestion products. It in no manner constitutes a sale or subscription offer. The indices cited in this document are based on net dividends reinvested (“NR”). The described performances do not take into account fees and costs potentially charged in connection with the subscription or redemption of fund units. This document has been drawn up for information purposes only and does not constitute an offer or personalised recommendation or a solicitation to subscribe to this product. The information, opinions and analyses contained in this document do not have any contractual value. Only the information contained in the KIID and prospectus is legally binding. The prospectus is available on simple demand from Mandarine Gestion and is available on the www.mandarine-gestion.com website. Your money will be principally invested in financial instruments selected by the management company. These instruments will be subject to market fluctuations and uncertainties. Past performances do not guarantee future performances. Performances are notably not constant over time. The performance data mentioned in the document does not take into account fees and charges assessed in connection with the issue and redemption of units or shares and does not include taxes imposed by the country of residence of the client. The UCITS is exclusively destined for sale to residents of those countries in which the UCITS is registered. Sales in jurisdictions other than those countries in which the UCITS is registered are not authorised.RISK PROFILE – RISKS ASSOCIATED WITH THE PRODUCTRisk of capital loss, equity market risk, risk linked to the ownership of small and midcaps, interest rate risk, credit risk and discretionary management risk, and to a lesser extent emerging market risk, counterparty risk and exchange rate risk. The descriptions and details are included in the complete prospectus of the UCITS. Investors are invited to read the prospectus in order to obtain detailed information regarding the risks to which the fund is exposed prior to any investment decision. This product does not offer any guarantee as to returns or the capital invested, which may not be entirely returned.
12,8%
12,6%
0,0% 20,0%
31
27
0 20 40
51%
30%
0% 50%
48%
36%
21% 37% 21% 37%
58%
56%
21%
19%
21%
21% 3%
88%
98%
68%
74%
Proportion of women in
WorkforceManagement
SOCIAL METRICS
CLIMATE ANALYSIS
Sustainable Development GoalsPrincipal Sustainable Development Goals (SDG) of the UN covered by companies held by the fund
Shareholder commitment
Green ShareAverage % of revenue of companies eligible for the European Green taxonomy (coverage ratio: Fund 100% / Index 98%)
0%Share coal
0%Share nuclear
INDEX35%
FUND39%
0% 100%
Temperature
<1,5°C
<1,5°C
1,5 - 2°C
1,5 - 2°C
2 - 3°C
2 - 3°C
> 3°C
> 3°C
MANDARINE ACTIVE
INDEX
Current alignment trajectory of investments (Coverage ratio: Fund 97% / Index 93%)
Source: company, Mandarine Gestion, Trucost, Bloomberg, Science Based Targets data. The impact measures are ex-post monitoring indicators that do notconstitute or represent management objectives. The methodological limitations regarding the impact measurement metrics are described in the section concerningthe risk profile of the fund. Methodologies and approaches can vary between issuers and the different suppliers of extra-financial information. The Fund ManagementCompany does not guarantee the accuracy, completeness or exhaustive nature of extra-financial reports.
Human Resources ControversiesLevel of controversies related to human resources and human rights violations (Coverage rate: Fund 97% / Index 98%)
MANDARINE ACTIVE
INDEX
Employeeturnover
Traininghours
Employeeshareholding
Human Rights
Gender Equality
MANDARINE ACTIVE INDEX
Proportion of women in the workforce and in management (Coverage rate Fund / Index in %: workforce 90/89, management 56/50)
Companies with a policy on Human Rights and signatories of The 10 Principles of the UN Global Compact (Coverage rate Fund / Index: human rights 89/79, global compact 94/96)
2°C alignment scenario% of companies having submitted a scenario respectingthe 2°C alignment trajectory set in Paris Agreement
MANDARINE ACTIVE
INDEX
INDEX
Human Capital
MANDARINE ACTIVE
No controversy Level 1 Level 2 Level 3 Level 4 Level 5
Employee turnover, training, employee shareholding (Fund / Index coverage rate in %: turnover 65/65, training 73/73, shareholding 100/67)
MANDARINE ACTIVE
INDEX
Human Rights Policy UN Global Compact
Date Contact In portfolio
12/10/2020 DD Yes
12/10/2020 CFO Yes
12/08/2020 IR Yes
ALSTOM Carbon reduction objectives and validation of the temperature scenario with the SBTi. Exit from diesel and product innovation
CompanyCommitment subject
KNORRBREMSE Stabilisation of governance, employee shareholders,
CDP rating and alignment with the Paris Agreements
STMICRO-ELECTRONICS Submission of the 2°C alignment scenario to the
SBTi, management of relationship with Huawei
MANDARINE
ACTIVE
DEFINITIONS & ACRONYMS
DESCRIPTION OF INDICATORS
Human CapitalAnnual employee turnover rate: ratio between the sum of departuresand arrivals and the company's workforce at the start of the year.Data provided by companies in their annual reports. A high staffturnover may indicate that employees are dissatisfied with their workwithin the company or with their remuneration, or that the businessconditions are unsafe.Training hours: calculated from the total number of hours spent bythe employee and the company on training.Employee shareholding: percentage of companies offeringshareholding plans for their employees.
Human Resources ControversiesThis indicator analyses incidents related to violations of human rightsin business operations.It includes:- incidents related to the use of forced labor and child labor in the
company's own operations- violations relating to remuneration and working conditions (i.e.
wages) raised by own employees of the company- incidents related to the company's activities that have a negative
impact on the health and safety of workers (accidents at work,health risks, contamination, endangerment of employee safety).
Green Share
The green share of the portfolio corresponds to the percentage ofrevenues of companies eligible for the European taxonomy. Thisgreen taxonomy establishes criteria to orient finance in favour ofclimate-compatible activities. Three types of activities and six majorenvironment objectives are identified:
An activity is defined as green when it makes a substantialcontribution to one of the six objectives without significantly impairinganother objective and when it is in conformity with minimal socialguarantees and the selection criteria.
Carbon footprintThe carbon emissions indicator represents the direct emissions(scope 1) and the “First Tier Indirect” emissions (scope 2 + emissionsrelating to leading suppliers) of companies held in the portfolio. Theunit of measurement used to measure the carbon footprint is metricton of CO2 per million of euros invested (tCO2e/€m).
Alignment scenario and temperatureThe Science Based Targets (SBT) initiative enables companies todefine and submit their greenhouse gas reduction objectives (scopes1 and 2 + Scope 3 if this represents more than 40% of emissions) inorder to respect the Paris Agreement on Climate Change (signed in2015), whose objective is to limit global warming to under 2°Ccompared to the pre-industrial era and to pursue efforts to limitwarming to 1.5°C. Over 900 companies throughout the world havealready submitted their scenarios to the SBT. The list can beconsulted on the https://sciencebasedtargets.org/companies-taking-action website.
GLOSSARY
United Nations Global CompactThe Global Compact is an initiative of the United Nations launched in2000 to encourage businesses worldwide to adopt a sociallyresponsible attitude by committing to integrate and promote The TenPrinciples relating to Human Rights, international labor standards,environment and the fight against corruption.Although targeting primarily the business world, the Global Compactencourages also the participation of civil society, professionalorganisations, governments, United Nations organisations,universities and any other organisation.
SBT / Science-Based TargetsSBT is a set of methodologies with a shared principle of identifyingthe remaining carbon budget in order to avoid exceeding 1.5°C inglobal warming looking out to 2100 and allocates this carbon budgetto different sectors of activities. This initiative was launched by theWWF (World Wildlife Fund), WRI (World Resources Institute) and CDP(Carbon Disclosure Project), with the latter now integrating the SBTconcept in its ratings.
GHG / Greenhouse gasThe GHGs are gaseous components of the atmosphere, both naturaland anthropogenic, that absorb and re-emit infrared radiation. Thesegases are responsible for the warming of the atmosphere. By way ofexample, the lifetime of greenhouse gases in the atmosphere isapproximately 100 years for carbon dioxide (CO2), 120 years fornitrous oxide and up to 50,000 years for the halocarbons (source:ADEME).
SDG / Sustainable Development GoalsThe sustainable development goals are a call to action by allcountries in order to promote prosperity while protecting the planet.They go hand in hand with strategies for the development ofeconomic growth and respond to a series of social needs while at thesame time protecting the environment and fighting against climatechange.
Three types of activities identified
Low carbon activitiesalready compatible with a carbon neutral economy
in 2050
Transition activities contributing to a carbon neutral economy in 2050
Activities making possible carbon
neutrality with steep reductions in GHGs*
Six major environmental objectives
Climate change mitigation Adaptation to climate change
Sustainable use / protection of water and marine resources
Fight against pollution (prevention & control)
Transition to a circular economy, elimination of waste, recycling
Protection of healthy ecosystems
*GHG: greenhouse gas
MANDARINE
ACTIVE