Mutual fund results for October: commodity and broad market funds still appealing

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Several Sber Asset Management mutual funds have ranked in the InvestFunds ratings at the end of the month.

The situation on the international stock market in October was favorable. Many retail investors are focusing on funds that have already shown decent returns.

The most profitable of the larger funds[1]

The S&P 500 Index Fund (SBSP ETF)[2] has demonstrated excellent results, following the dynamics of the US broad market index and growing by 3.6% in a month. The index has long demonstrated good dynamics and reached historic highs several times in October. This was facilitated by good reporting from American banks and other companies, with 81% of issuers included in the S&P 500 index reporting better financial results than analyst forecasts. The S&P 500 Index is a stock index that comprises the 500 biggest US companies. The fund’s net asset value is calculated in US dollars.

The most popular

Commodity funds are the most popular. This is due to the ongoing rise in commodity prices and investor interest in equity funds. The top three include the Dobrynya Nikitich equity fund[3] with a portfolio based on liquid shares. The fund invests in shares issued by the largest Russian companies, including Lukoil, Gazprom, Yandex, Norilsk Nickel, Novatek, and more. In October, clients invested over RUB 3.2 bn in the fund.

The top 10 also featured the Natural Resources[4] and Balanced[5] funds.

The Natural Resources fund once again showed positive dynamics in terms of borrowed funds, growing by RUB 900 mn in a month. The assets under the fund’s management reached RUB 2.7 bn. The fund is aimed at long-term capital growth through investments in companies operating in the extraction and processing of natural resources, and focuses on the oil and gas, metals, and mining sectors of the economy.

Clients invested over RUB 2.4 bn in the Balanced fund in a month. Interest in funds with mixed strategies remains. The fund invests in a diversified portfolio with dynamic asset allocation between stocks and bonds.

Evgeny Zaitsev, CEO, Sber Asset Management:

“For a long time now, equity markets have continued to perform well. Since the beginning of the year, the MOEX Index has risen by 27%. The global economy is still recovering from the restrictions introduced since the onset of the pandemic, which is why investors believe in the potential of stock markets. This is related to the increased interest clients have been demonstrating in Russian equity funds. Investors will continue to show interest in the equity market, as well as in commodity and broad market funds. There are prerequisites for oil prices to be kept at a fairly high level in the commodity market, which, in turn, will provide impetus for the growth of the Russian market and mining companies.”

This release contains official data from the InvestFunds rating assessing the profitability of open-end mutual funds with a net asset value of over RUB 1 bn, as well as attraction of contributions to open-end and exchange-traded mutual funds for the period from October 1 to 31, 2021.

[1] Funds with a net asset value of over RUB 1 bn are considered.

[2] Sber – S&P 500 ETF for market financial instruments.

[3] Sber – Fond Aktsiy Dobrynya Nikitich open-end fund for market financial instruments.

[4] Sber – Prirodnye Resursy open-end fund for market financial instruments (Natural Resources).

[5] Sber – Fond Sbalansirovanny open-end fund for market financial instruments (Balanced).

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