Fund performance
The Schroders fund, between 1 October 2010 and 31 October 2015, gained 4.44% per year, outperforming the benchmark MSCI AC Asia ex-Japan Index by 252 basis points annually.
The Value Partners fund, over the last five years to 31 October 2015, averaged a return of 5.05%.
A look at fund performance by calendar year:
| 2011 | 2012 | 2013 | 2014 | 2015 | |
| Schroders Fund | -12.01% | 26.49% | 0.80% | 6.85% | -1.71% |
| Value Partners Fund | -11.86% | 25.20% | 8.15% | 9.39% | -0.83% |
Source: Morningstar
In 2013, the difference in performance between the two products was sharpest.
The Schroders fund, Share said, was impacted by certain stocks. “The top detracting stock that year was Jardine Matheson Holdings, which is one of [Parbrook’s] long-term favourites. The holding company was dragged down by the poor performance of Astra International on concerns over increased competition in the automobile sector and political headwinds in Indonesia,” Share said.
Consisten with his buy-and-hold strategy, Parbrook continues to favour Jardine Matheson as it offers exposure to a wide range of consumer sectors, has quality underlying assets and a strong balance sheet, she added.
Also in 2013, the overweighting in Swire Properties and Hong Kong Land detracted from performance due to the “taper tantrum” sparked by the US Federal Reserve. The two stocks have somewhat recovered since.
Looking at Value Partners’ product, its consistent strong performance was due to a good selection of high dividend stocks which are in financials, telecom services and consumer discretionary sectors.
A look at both funds volatility (over three years):
| Volatility | Beta | |
| Schroders Fund | 11.33 | 0.76 |
| Value Partners Fund | 12.75 | 0.88 |
Source: Morningstar
Morningstar uses standard deviation to measure volatility. Share noted that the Schroders fund has had lower volatility than both the benchmark and its peers when measured on a three-year basis.
Likewise, under Ho’s management, the Value Partners fund volatility has been consistently lower than peers and the category benchmark during a three-year period.
Team manager review:
Parbrook has led the fund since October 2010. He has been at Schroders 25 years. As head of Asia ex-Japan equities, he is supported by a team of portfolio managers and 26 analysts. Parbrook’s team members have an average experience of 14 years.
Ho, who has 26 years of experience, has been with the firm for 19 years. He is supported by an equity team of 61, which has been stable at the senior ranks and is one the biggest the region, Share said.
Ho has an admirable track record, she added. Over the past ten years, the fund ranked in the top percentile among peers.
