Monthly Performance Review of Publicly Offered CII in Ukraine. March 2015

According to the March’15 results, the highest decline of stock indices was recorded since the beginning of the year. Thus, the PFTS index fell by 7.02%, and Ukrainian Stock Exchange index – by 9.07%.

Within nine months the NBU was engaged in reforming the banking system, which was accompanied by the elimination of a number of banks and rapid depreciation of the hryvnia’s rate. And only in March the National Bank succeeded to stabilize the national currency at objective levels that meet current realities of the Ukrainian economy. If the National Bank continues to be consistent in its actions, the hryvnia’s exchange rate will fluctuate within the corridor, which is specified by IMF, The National Bank and the Ministry of Finance.

However, the negative macroeconomic data and news from the ATO area did not add any optimism to the players and not contributed to the break of the “bull” trend.

OPEN- ENDED FUNDS

As per UAIB data, the NAV of 24 open-ended CII as of 31.03.2015 constituted UAH 63.13 mln. In accordance with the provided data at the end of the previous month, the overall decrease in net assets amounted to - UAH 2 630.02 thsd. (- 4.00%). According to the available data, the net outflow in the sector was  – UAH 1 494.07 thsd.

Investment portfolios of virtually all funds suffered losses as a result of the negative revaluation of assets. In March, a range of public investment funds’ rates of return was from +16.78% to -9.64%, and although the average rate of return for the month in the sector was -2.77%, the rate of return with the value of +7.032% was the best one on the CII market.

Based on March results, leaders of growth in the sector of open-ended CII were:
 «UNIVER.UA/Мyhailo Grushevskyi: Fond Derzhavnyh Paperiv» (+ UAH 701.71 thsd. (+22,03%)) – received net inflow in the amount of + UAH 653.19 thsd. due to increased amount of  investment certificates in circulation by +21.73%;
«UNIVER.UA/Volodymyr Velykyi: Fond Zbalansovanyi» (- UAH 60.61 thsd. (-5.03%)) – despite the negative revaluation of the investment portfolio, attracted “net” UAH 26.15 thsd. through additional placement of 14 certificates.
 «ОТP Оbligatsiynyi» (+UAH 25.69 thsd. (+5.33%)) – also by raising the investors’ funds (+3.61% IC in circulation) received UAH 17.65 thsd. of net inflow of capital.

The greatest payments to investors in March, according to available data, were made by the following funds:
«ОТP Кlasychnyi» (- UAH 1 496.83 thsd. (-41.26%)) – the greatest net outflow in the amount of  - UAH 1526.83 thsd. in connection with the redemption of the large number of certificates  (-41.82% in circulation);
«UNIVER. UA/Тaras Shevchenko: Fond Zaoshchadzhen» (- UAH 595.18 thsd. (-16.75%)) – the net outflow amounted to - UAH 451.20 thsd. also due to purchasing of 243 units of investment certificates (-12.62%);
«Аltus-Strategichnyi (- UAH 133.92 thsd. (-21.49%)) – due to presenting for redemption of 44 units of investment certificates received the net outflow in the amount of – UAH 103.40 thsd.

The list of the major players of the sector in March was the following: the first place by market share in the sector of open-ended CII went to “KINTO-Klasychnyi” fund (34.47% of aggregate NAV (UAH 21.76 mln.)), the second one - to “Sofiivskyi” fund (6.61% (UAH 4.18 mln.)). The third place went to “UNIVER.UA/Myhailo Grushevskyi: Fond Derzhavnyh Paperiv“ (6.16% (UAH 3.89 mln.)). “KINTO-Ekvitii” fund (5.98% (UAH 3.78 mln)) had the fourth place and “Premium Fond Indeksnyi”  (5.12% (UAH 3.24 mln.)) was located on the honoured fifth place.

Leaders by the rates of return were the following funds: «Bonum Optimum» (+16.78%), «ОТP Obligatsiinyi» (+1.66%) and «ОТP Кlasychnyi» (+0.96%).

The worst results in March were demonstrated by the following funds: «Аrgentum» (-9.64%), «КІNТО-Каznacheiskyi» (-7.82%) and «VSI» (-7.52%).

INTERVAL FUNDS

In March the review included 8 interval CII, the net assets of which, as per UAIB data, comprised UAH 20.36 mln. Compared to the indicators of this sector at the end of the previous month, the aggregate NAV decreased by - UAH 248.13 thsd. (-1.16%).

The leader of growth in the sector of interval CII became “Aurum” fund (-UAH 133.56 thsd. (+6.03%)) -  despite the negative revaluation of the investment portfolio, due additional attraction of investors’ funds (+ 0.45% in circulation) received net inflow of capital in the amount of + UAH 9.98 thsd.

The greatest payments  to investors were  made by the following funds:
 «Zbalansovanyi Fond "Parytet"» (- UAH 43.89 thsd. (-3.88%) – the greatest net outflow in the amount of  - UAH 24.62 thsd. due to redemption of 18 units of securities (-2.20% in circulation);
«Коnkord Perspectyva» (- UAH 13.46 thsd. (-0,55%)) – also due to payments to investors, who presented for redemption 80 units of securities, received –UAH 4.32 thsd. of net outflow of capital.

The range of rates of return of interval funds in March was from + 5.66% to -8.75%. The average rate of return in the sector of interval funds was – 2.85%, which allowed the sector of interval CII to take the second place among all sectors of public funds.

According to March performance, the only one fund recorded a positive result, while the rest went out from the "green zone". "Optimum" fund showed the highest yield (+ 5.66%).

The worst performance in March were demonstrated by the following funds: «Platynum» (-8.75%), «Аurum» (-6.45%) and «UNIVER.UA/Оtaman: Fond Perspektyvnyh Aktsii» (-5.37%).

CLOSED-END FUNDS

In March the review included 4 closed-end CII, the net assets of which at the end of the month comprised UAH 11.43 mln. Accordingly to data provided, the aggregate NAV of these funds  decreased by - UAH 894.12 thsd. (-7.52%).

In March all funds of the sector suffered losses of NAV because of impairment of portfolio’s components; net inflow or outflow of capital was not fixed.

The range of rates of return of closed-end funds in March fluctuated from  -1.62% to -14.87%.
The average rate of return in the sector of closed-end funds, based on monthly results, was   - 7.09%.

The worst results in March were shown be the following funds: «UNIVER.UA/ Skif: Fond Neruhomosti» (-14.87%), «Indeks Ukrainskoi Birzhi» (-9.40%) and «AntyBank» (-2.45%).