Danske Bank has a long and proud tradition of managing European equities, which was once again acknowledged when research house Morningstar presented its Morningstar Fund Awards 2023.
In Denmark, a Danske Invest fund helmed by portfolio managers from Danske Bank Asset Management won the fund of the year award for European equities – for the second year in a row.
This year, Danske Invest Europa Højt Udbytte (Europe High Dividend) scooped the award in the category “Best Europe Equity Fund”, while last year the winner was Danske Invest Europa 2 KL, which has a broader focus on European equities*. Both funds were among the three nominated in the category both last year and this year.
In Finland, Danske Invest Eurooppa Osake K based on the same strategy as Danske Invest Europa 2 KL also picked up the best for European equities award this year (as well as in 2021).
“The Morningstar awards we have won in the past years underscore the true strength of our competences in European equities. Characterised by a thorough and systematic approach to selecting equities while maintaining a strong focus on sustainability, the investment strategy of our portfolio managers aims to create long-term value for investors,” says Thomas Otbo, CIO at Danske Bank Asset Management.
Drawing on 20 years of experience
This year’s winning fund in Denmark is focused on European high dividend stocks. The fund is managed by chief portfolio manager Peter Nielsen and senior portfolio manager Asger Lund Nielsen from Danske Bank Asset Management, and both have 20 years’ experience of investing in European dividend stocks for Danske Invest. This is the sixth time, they have won a Morningstar Fund Award in Denmark for their fund, which have a 5-star Morningstar rating.
“Our strategy is generally focused on companies deemed capable of paying high dividends year after year. Companies that are often characterised by stable business models with predictable earnings and stable cash flows – characteristics particularly sought after by many investors during periods of uncertainty for the economy and the financial markets,” says chief portfolio manager Peter Nielsen.
Research house Morningstar picks the best funds of the year based on an analysis of all funds on the Danish market that are more than three years old. The assessment reflects how the funds have performed in terms of return, risk and costs. Being based on historical return, there is no guarantee the funds will perform well in the future.
Relatively concentrated portfolio
This year’s winning fund in Finland, Danske Invest Eurooppa Osake K, is based on a relatively concentrated portfolio where the quality of the companies is critical.
“Our investment strategy is based primarily on the selection of each individual stock. We do not aim to be more present in particular sectors, which means our excess return has to be found in the individual companies. That means the companies have to be well-run, well-capitalised and have a strong market position, which also makes them more resilient in times of crisis,” explains chief portfolio manager Tobias Carøe Siemenge, who manages the portfolio with senior portfolio manager Kasper From Larsen.
*The full names of the Danish funds are Investeringsforeningen Danske Invest afdeling Europa Højt Udbytte, klasse DKK d and Investeringsforeningen Danske Invest afdeling Europa 2 KL.
DISCLAIMER: This publication has been prepared as marketing communication and does not constitute investment advice. Please note that historical return and forecasts on future developments are not an indication of future return, which can be negative. Always consult with professional advisors on legal, tax, financial and other matters that may be relevant for assessing the suitability and appropriateness of an investment. Please refer to the prospectuses and the key investor information before making any final investment decision. The prospectuses, the key investor information of the Danish funds and information regarding complaints handling (investor rights) can be obtained in Danish here and here (under “Dokumenter”). The prospectus, the key investor information of the Finnish fund and information regarding complaints handling (investor rights) can be obtained in Finnish here (under “Asiakirjoja”). Danske Invest Management A/S may decide to terminate the arrangements made for the marketing of its funds. More information on the sustainability-aspects of the funds can be obtained here, here and here. The decision to invest in the funds should take into account all of the characteristics of the funds as described in the prospectuses.