Monthly Performance Review of Publicly Offered CII in Ukraine. October 2016

The second consecutive month Ukrainian Stock Exchange indexes closed with significant growth of indicators. In October, the Ukrainian Stock Exchange Index increased by 4.73%, while the PFTS index - by 10.40%. Over the past six months, stock markets show growth: since the beginning of the year UB index recorded +23.70%, while the PFTS index added +10.02%.

Open–ended investment funds continued to top the list in terms of profitability @since the beginning of the year” with a value of +14.03% (+2.39% for October), closed-end funds took the second place (+6.07% (+2.26% for the month), sector of interval CII remained in the third place with an indicator of +3.07% (+ 2.90%).

OPEN-ENDED FUNDS

As per UAIB data, net asset value of 19 open-ended CII as at 31.10.2016 amounted to UAH59.32mln. According to the indicators as at the end of the previous month, the total increase in NAV of net assets amounted to +UAH1,155.71 thsd. (+2.04%). Due to the fact that for the fifth consecutive month open-ended CII demonstrate positive dynamics of profitability, the sector recorded an increase of investors’ assets, ie net inflows amounted to +UAH 167.03 thsd.

Following the October results, the only one open-ended fund closed in the "red" zone, all the rest funds recorded significant growth. In October the yield of open-ended CII ranged between +10.10% and -1.60%.

Based on October results, the following Funds were the growth leaders in the sector:

"Altus-Strategichnyi" (+UAH 173.12 thsd. (+36.31%)) - due to additional placement of 59 certificates received UAH 168.93 thsd. of net inflow;

"OTP Fond Aktsii" (+UAH 118.06 thsd. (+5.05%)) - by attracting of investors’ funds (+0.82% in circulation) received a net inflow in the amount of UAH 19.95 thsd.;

"KINTO-Kaznacheiskyi" (+UAH 13.98 thsd. (+0.94%)) - due to additional placement of 23 certificates received UAH 3.40 thsd. of net inflow.

The largest payments to investors were made in October by the following funds:

"VSI" (-UAH 52.17 thsd. (-3.14%)) - the largest net outflow amounting to –UAH 25.17 thsd. associated with the purchase of a small number of investors’ certificates (-1.56% in circulation);

"KINTO Ekviti" (+UAH 80.27 thsd. (+2.26%)) - net outflow amounted to –UAH 3.09 thsd. also due to presenting of investment certificates for redemption.

The list of major sector’s players in October remained unchanged. Fund "KINTO-Klasychnyi” occupied the first place by market share among open-ended CII (36.68% of aggregate NAV (UAH 21.76 mln.), the second place went to Fund "UNIVER.UA/Myhailo Grushevskyi: Fond Derzhavnykh Paperiv" (8.97% (UAH 5.32 mln.)). Fund «Sofiivskyi» ended in the third place (7.28% (UAH 4.32 mln.), Fund «КІNТО-Еkviti» (6.11% (UAH 3.63 mln.)) was in the fourth place. Fund «Аltus-Deposyt» (5.84% (UAH 3.46 mln.)) placed on the honourable fifth place.

Among leaders by the rates of return there were the following Funds: “Аrgentum” (+10.10%), “Sofiivskyi” (+8.02%) and “Nadbannia” (+5.86%).

Fond “VSI” demonstrated the worst performance in October (-1.60%).

INTERVAL FUNDS

In October, the review included 5 interval CII, whose net assets, according to UAIB data, equaled to UAH 13.27 mln.Compared with this sector’s indicators as at the end of the previous month, an aggregate NAV of these fundsincreased by+UAH 201.91thsd. (+1.54%).

The largest payments to investors were made by fund "Platynum" (+UAH 14.10 thsd. (+0.17%)) - net outflow amounted to –UAH 125.67 thsd. by presenting of 468 CPU for redemption.

The remaining funds did not record any changes in net equity, positive change in NAV was held exclusively due to the positive revaluation of investment portfolio’s components.

The range of interval funds’ yield in Octoberwas from +5.50% to + 0.19%.

Funds "Aurum" (+5.50%), "TASK Ukrainskyi Kapital" (+4.28%) and "Zbalansovanyi Fond “Parytet”” (+2.82%) became the leadersby rates of return.

CLOSED-END FUNDS

The net asset value of 3 closed-end CII, which were included in the October review, at the end of the month totaled UAH 11.19mln. According to filed indicators, the aggregate NAV of these funds increased by +UAH 337.78 thsd. (+3.11%).

No other fund recorded any changes in net equity, changes in NAV in the sector held solely by positive revaluation of investment portfolio’s components.

The range of yield of closed-end funds in October was between +4.89% and + 0.29%.

Indicators of rates of return in October were the following: «Іndeks Ukrainskoi Birzhi» (+4.89%), “АntyBank” (+1.59%) and “ТАSК Universal” (+0.29%).