June 2019 Quarterly Report - ECP Flagship European Value

250719 Market Commentary

June 2019 Quarterly Report - ECP Flagship European Value

Performance overview
    • Flattish quarter after strong Q1 for our strategy
    • Return of 9.95% ytd (ECP Flagship European Value A EUR, net of fees)
Portfolio changes
    • Overall portfolio remains defensive
    • Prada entered the portfolio
    • McCarthy & Stone left the portfolio
Market environment & Outlook
    • No earnings recession in Europe
    • European equities are an unloved asset class & Value is at a record discount to the market
    • Central banks are still flooding the financial markets with liquidity whilst flows in European equity funds remain negative
    • Good starting point for the next 4 to 5 years: The early bird catches the worm