Copy
SQM Research Ratings Newsletter - View this email in your browser

 

 

 

SQM Research Ratings Update
June 2019
Our Ratings & Fund Data Service covers Sector Reviews, Fund research & Quantitative analysis for about 9000 funds. For more information contact us today! Get the right information & insightful advice first from SQM Research.  To subscribe to our Ratings and Funds Data Service, click HERE.
 
 
SQM Commentary

Profile of the Largest Australian Equity Funds
 
SQM has recently introduced new functionality to its popular Funds Explorer web-based analysis tool. It can compare the Top 10 holdings for a group of Fund and provide two views: 
  • A simple listing of the holdings, by fund, from highest weight to lowest weight.
  • A cross-section comparison that only lists the stocks than more than one fund holds and sorts them from highest aggregate weight to lowest.
Let’s take a look at 5 of the biggest Australian Equity Funds to see how it works.



If you like banks and BHP you are pretty well covered here – but what’s the most popular across the entire group?



Banks and the big resource stocks dominate the list.

It may be interesting to contrast this with the holdings of 5 large value style funds – see below:



It looks like the banks and big resource stocks once again dominate.



Indeed only 3 stocks differ from the previous list: QBE, Telstra, and Transurban.

 
SQM Research's Top 5 SQM Rated Funds* for May 2019

Click here to enlarge
* Any Funds in this table that have international investments will have different hedging patterns, from hedged to unhedged or variable hedging. This may have an impact on fund returns. Please refer to the Fund's product disclosure statement for details.
 

SQM Research's Top 50 ETFs for May 2019

Click here to enlarge

SQM Research's Market Benchmarks for May 2019

Click here to enlarge

Ratings Table
(Please note: In order to view individual ratings reports you must be subscribed to SQM Research Ratings research. To subscribe, click HERE)

For further information: 
Rob da Silva - Head of Research
SQM Research
Tel: (02) 9220 4606
Email:
 rob@sqmresearch.com.au

Louis Christopher - Managing Director
SQM Research
Tel: (02) 9220 4666
Email:  
louis@sqmresearch.com.au

 
About SQM Research 
SQM Research is an independent property advisory, ratings and forecasting research 
house which specialises in providing accurate property related advice, research and data to financial institutions, property developers and real estate investors. For more information please visit www.sqmresearch.com.au
 
Research Methodology
In general, the assessment approach adopted by SQM Research incorporates a combination of qualitative and quantitative research techniques to assess property investment products. Information generated is passed through the SQM Research assessment model at the completion of the assessment process. The assessment model generates a product score, which correlates to a specific star rating (out of a maximum of five stars). Each star rating covers a scoring range, allowing products to be ranked within quarter star increments.
 
Following are descriptions for each of the star ratings, which have been developed as a guide for dealer group research teams and investment committees:
4.5 stars and above - Outstanding. Highly suitable for inclusion on APLs.
4.25 stars - Superior. Suitable for inclusion on most APLs.
4 stars - Superior. Suitable for inclusion on most APLs.
3.75 stars - Favourable. Consider for APL inclusion.
3.5 stars - Acceptable. Consider for APL inclusion.
3.25 stars - Caution required. Not suitable for APLs.
3 stars - Strong caution required. Not suitable for APLs.
Below 3 stars – Avoid or redeem. Not suitable for APLs.
Hold - Rating is suspended until SQM Research receives further information. A rating is typically put on hold for a period of two days to four weeks.
Withdrawn - Rating no longer applies. Significant issues have arisen since the last report date. Investors should consider avoiding or redeeming units in the fund..
 * The definitions above are not all encompassing and not all individual items mentioned will necessarily be relevant to the rated Fund. Users should read the current rating report for a comprehensive assessment.

DISCLAIMER
The rating contained in this document is issued by SQM Research Pty Ltd ABN 93 122 592 036. SQM Research is an investment research firm that undertakes research on investment products exclusively for its wholesale clients, utilising a proprietary review and star rating system. The SQM Research star rating system is of a general nature and does not take into account the particular circumstances or needs of any specific person. The rating may be subject to change at any time. Only licensed financial advisers may use the SQM Research star rating system in determining whether an investment is appropriate to a person’s particular circumstances or needs. You should read the product disclosure statement and consult a licensed financial adviser before making an investment decision in relation to this investment product. SQM Research receives a fee from the Fund Manager for the research and rating of the managed investment scheme.
        .
Facebook
Twitter
LinkedIn
Website
Copyright © 2019 SQM Research, All rights reserved.

Our mailing address is: Level 16, 275 Alfred Street, North Sydney, NSW 2060, Australia

unsubscribe from this list