In this first part of the year, the Sustainable Finance recorded an important victory. Finally, the European Union has decided to break the tie to take a precise regulatory position with the publication on March 8th, 2018 of the Action Plan.
Economic losses caused by climatic events have recorded an increase of 86% in Europe in 2007/2016, while migration flows to the continent, caused by the desertification of large areas of the planet, are destined to increase in direct proportion to the increase in the temperature of the planet.
In this context, Europe considers it essential to start a sustainable economic management, by encouraging the Paris agreement for the containment of the average temperature of the planet to a maximum increase of two degrees, with the aim of bringing the average temperatures of the planet back to those registered in 1990.
The Inch Platform allows us to analyze 110 Sustainable Funds in terms of the trend/momentum Decision Support System trend, with a sufficiently dimensions of time series to apply the trend / momentum DSS method.
The assessment was made taking all the categories where the Sustainable Funds are present for the retail market and therefore not institutional, and this in consideration of the size of the demand on the market. Weekly time series have been used to have signals more related to the trend than to trading.
The first five funds for the score expressed by the trend / momentum DSS are the entire Vontobel merchant bank and more precisely:
1) Vontobel mtx Sust Asian Ldrs exJpn A USD (LU0384409180 [USD]) – Max Initial Charge 5% – Ongoing charge 2.07%
2) Vontobel mtx Sust Asian Ldrs exJpn B USD (LU0384409263 [USD]) – the same;
3) Vontobel mtx Sust Asian Ldrs exJpn H EUR (LU0384409693 [EUR]) – Max Initial Charge 5% – Ongoing charge 2.13%
4) Vontobel mtx Sust Emerg Mrkts Ldrs A USD (LU0571085330 [USD]) – Max Initial Charge 5% – Ongoing charge 2.03%
5) Vontobel mtx Sust Emerg Mrkts Ldrs B USD (LU0571085413 [USD]) – Max Initial Charge 5% – Ongoing charge 2.04%.
We prefer the fund no. 3 expressed in Euro, to avoid exchange rate risk and if there are no signs of strong appreciation of the USD especially against the euro. (read more Vontobel mtx Sust Asian Ldrs ex Jpn).
Vontobel mtx Sust Asian Ldrs ex Jpn H – daily closing 363.71 – April 20th, 2018.
The fund’s trend is currently in a corrective phase of both short and medium / long term. The first purchase signal will be recorded from the first survey above 371.02.