Emerging Europe Equity Strategies

Karoll Capital Management

What we offer

Emerging Europe equity strategies for professional investors

Emerging Europe Opportunities

Central Europe

Balkan

Thematic: High-Growth Exporters

Custom

  • Poland
  • Turkey
  • Russia
  • Czech Republic
  • Hungary
  • Latvia
  • Lithuania
  • Estonia
  • Romania
  • Austria
  • Croatia
  • Bulgaria
  • Greece
  • Serbia
  • Poland
  • Hungary
  • Czech Republic
  • Estonia
  • Latvia
  • Lithuania
  • Romania
  • Bulgaria
  • Emerging Europe sectors:
  • High-growth exporters
  • Tourism
  • ICT
  • Outsourcing
  • Industrial Development
  • Per clients requirements
  • Emerging Europe countries
  • Emerging Europe sectors

Emerging Europe Opportunities SMA

The strategy invests in: Poland, Turkey, Russia, Czech Republic, Hungary, Latvia, Lithuania, Estonia, Romania, Austria, Croatia, Bulgaria, Greece, Serbia.

  • Investment theme: invests across the stock markets of Emerging Europe (Central & Eastern Europe, the Baltics, Balkans – 14 stock markets)
  • Investment style: blended (value & growth), stock-picking, bottom-up combined with top-down and sector views, benchmark agnostic
  • Objective: to generate alpha at lower risk than market
  • Market cap: regional large cap, but also small & mid cap
  • Portfolio components: ~70-100 positions
  • Low portfolio turnover (~20% of assets p.a.) and limited volatility
  • Format: Separately Managed Account
  • Benchmark: MSCI EFM Europe + CIS
  • Fees: negotiable p.a. on assets, + 10% performance incentive with high-water mark
  • Strategy Launch: October, 2006

Emerging Europe Opportunities Strategy

Sector breakdown

Geographic breakdown (30.09.2018)

Top 5 positions
CD Project4.23%
(Poland)
Information services
OTP Bank2.89%
(Hungary)
Banks
Moneta Money Bank2.68%
(Czech)
Banks
WIZZ AIR HOLDINGS PLC2.63%
(Hungary)
Transportation
GMK Norliski Nikel2.55%
(Russia)
Metals

Outperformance of Strategy vs. benchmark

Strategy vs. Benchmark performance,
in EUR, as of September 30, 2018
1 monthYear-to-date1 year3y return
(annualized)
5y return
(annualized)
since inception*VolatilityAlpha
MSCI EFM Europe+CIS6.25%-6.07%-3.24%5.28%-3.72%-4.18%25.49%N/A
Emerging Europe Opportunities Strategy-0.20%-8.52%-7.99%3.40%-0.53%-1.54%8.71%2.21%

Central Europe SMA

The strategy invests in: Poland, Hungary, Czech Republic, Estonia, Latvia, Lithuania.

  • Investment theme: invests in the stock markets of Central Europe
  • Investment style: blended (value & growth), stock-picking, bottom-up combined with top-down and sector views, benchmark agnostic
  • Objective: to generate alpha at lower risk than market
  • Market cap: regional large cap, but also small & mid cap
  • Portfolio components: ~50 positions
  • Low portfolio turnover (~20% of assets p.a.) and limited volatility
  • Format: Separately Managed Account
  • Benchmark: MSCI EFM Europe + CIS ex. RU, or custom benchmark set by client
  • Fees: negotiable p.a. on assets, + 10% performance incentive with high-water mark
  • Strategy Launch: November, 2007

Central Europe Strategy

Sector breakdown

Geographic breakdown (30.09.2018)

Top 5 positions
CD Project5.91%
(Poland)
Information services
Avast PLC3.91%
(Czech)
Information services
Moneta Money Bank3.57%
(Czech)
Banks
KOMERCNI BANKA3.54%
(Czech)
Banks
MOL HUNGARIAN OIL AND GAS3.51%
(Hungary)
Oil and gas

Outperformance of Strategy vs. benchmark

Strategy vs. Benchmark performance,
in EUR, as of September 30, 2018
1 monthYear-to-date1 year3y return
(annualized)
5y return
(annualized)
since inception*VolatilityAlpha
MSCI EFM Europe+CIS ex.Russia-20.18%-16.64%-2.31%-6.16%23.45%N/A
Emerging Europe Opportunities Strategy-7.51%-6.45%7.86%-0.02%10.30%5.32%

UCITS Mutual Funds

The Advance Funds range

The Advance range of UCITS-compliant mutual funds is established and managed by Karoll Capital Management. 15 years ago we launched the first stock mutual fund, thus changing the landscape of the local financial industry.

The Advance funds provide a convenient and effective access to the compelling market opportunities in Emerging Europe. With a clear regional focus, over the years the funds have helped thousands of local and international investors take advantage of the region’s excellent growth potential.

The funds are managed by a team of seasoned investment specialists with long tenure, driven by their passion for the emerging and frontier markets. Karoll’s Investment Committee consists of portfolio managers with solid capital markets expertise specifically in Emerging Europe. With excellent analytical capabilities and quick on-the-ground access to investment opportunities, our mutual funds consistently outperform their regional benchmarks and peers.

KCM strategies vs. benchmarks, as of September 30, 2018

YTD1 year3 years
annualized
5 years
annualized
VolatilityAlpha
MSCI EFM Europe +CIS-6.07%-3.24%5.28%-3.72%25.49%N/A
MSCI EFM Europe +CIS ex RU-20.18%-16.64%-2.31%-6.16%23.45%N/A
Emerging Europe Opportunities strategy-8.52%-7.99%3.40%-0.53%8.71%2.21%
Balkan strategy-5.70%-5.90%7.40%5.40%7.68%5.42%
Central Europe strategy-7.51%-6.45%7.86%-0.02%10.30%5.32%
Emerging Europe High-growth Exporters strategy2.61%8.18%17.53%18.17%12.54%15.85%

Schroder International Selection Fund range

A truly global asset manager

Since 2012 Karoll Capital Management represents Schroder Investment Management in the local market. With over EUR 430 billion assets under management and an international network spanning 37 offices in 27 countries, Schroders has the perspective and expertise to identify major investment potential wherever it is located.

We provide direct access to 100+ of Schroders' mutual funds registered in Luxembourg. They all have a specific investment focus in various geographies and asset classes, covering the entire spectrum of investment opportunities.