In October 2022, the brand value research institute will build a database of ESG public funds and launch the "weekly list of ESG public funds" to help investors better understand, identify and screen ESG funds with more investment value by tracking the performance of ESG funds, analyzing the possible reasons behind the rankings and changes.
The observation period of this issue's weekly list of ESG public funds is from November 14 to November 18, and the latest net value is subject to November 18. The weekly list of 5 ESG public funds' earnings produced by the Brand Value Research Institute shows that the earnings of ESG funds last week decreased from the previous week, and the overall trend was relatively stable.
Active funds still outperform index funds
It is worth mentioning that the performance of active funds is still better than that of index funds, and the performance of index funds is similar to that of last week - the top 10 ESG themes have all achieved positive returns, and only half of the top 10 pan ESG themes have achieved positive returns. Lithium batteries and photovoltaic products held by products with a large decline continued to retreat last week.
Investors need to pay extra attention to this type of index funds, because they are essentially more similar to industry funds, and their risk is higher than that of general index products.
Last week, the market rotation accelerated, with AIGC, semiconductor, Web3.0, medicine and other topics participating in the rotation. However, due to the lack of main themes and the lack of continuity of active themes, the index is under pressure near 3100. Weighted sectors that performed well last week, such as finance, real estate and liquor, rose and fell in the second half of last week. Track stocks, such as photovoltaic and lithium batteries, continued to retreat. The list of weekly earnings list was almost completely changed compared with that of last week, leaving only CCB SSE social responsibility ETF. Zhejiang Merchants Juchao New Thinking A ranked first last week for the first time due to its heavy position in semiconductors and software.
Last week, the performance of ESG theme active funds improved compared with the previous week, and the number of products with positive returns reached 7. It is worth noting that the heavy position industry is generally scattered from the top ranked products. When the market trend fluctuates in a narrow range and the rotation speed of the plate is fast, this type of product tends to be more stable, and there will be no roller coaster trend of big rises and falls caused by heavy positions in a certain plate, so it is more suitable as a medium - and long-term investment target.
The pan ESG active top 10 once again achieved positive returns
The list shows that the current Pan ESG Theme Active Top 10 all gained positive returns again, with an average yield of 1.4% almost equal to the 1.42% of the previous week. It can be seen that the heavy position stocks of the top ranked products tend to have high industry concentration and are prone to roller coaster market. For example, Zhejiang Merchants Juchao New Thinking A, which ranked first in this period, achieved the first weekly yield of ESG fund last week due to its heavy position in software and semiconductor, but it was -2.27% last week. Investors investing in such products need to pay attention to this problem.
Last week, the return rate of the top 10 ESG theme index products was relatively stable, better than the weekly performance of the three major indexes. It has also been emphasized many times before that this type of product is similar to the market trend, and it is difficult to go out of the independent market. Therefore, in addition to holding for a long time, we should also pay attention to the relative position of the price of heavy positions, and we cannot completely ignore timing. Taking Yinhua Huazheng ESG, which ranked the first in this period, as an example, the top ten heavy position stocks are group holding stocks such as Guizhou Moutai, Longji Green Energy, China Merchants Bank, etc. From the date of establishment of the product, these individual stocks are relatively high.
In this period, the top 10 performance of pan ESG index fund was still 50% open, and almost all of the products with a large decline were heavily positioned in the lithium battery and photovoltaic sectors. In addition, it is worth noting that 9 of the products listed in this period have gained positive profits since their inception, while the products ranked 7-10 in this period have withdrawn nearly 20% in the past three months, which is due to the concentration of the industry. Although these products belong to the index type, there is no specific industry preference in the product name. They are more similar to industry funds in essence, and the product risk is greater than that of general index funds.
List description
1. Sample selection: Every time the "ESG Public Fund Database" of the Brand Value Research Institute selects the products that are in normal operation from the issued public funds in the capital market, and excludes the liquidated funds. At the same time, the equity fund will be retained and the pure bond fund will be removed. On this basis, if the product contains Class A and Class C shares, only Class A shares will be selected as the sample.
2. Fund classification: according to the difference of investment objects, equity ESG funds can be divided into two categories, including ESG theme funds (the fund name includes ESG and sustainable development) and pan ESG theme funds (the fund name and investment strategy include ESG connotations of environment, responsibility and corporate governance); According to the difference of investment mode, it can be divided into active funds and index funds.
3. List name: Every week, the Brand Value Research Institute divides ESG funds into four categories, namely, ESG theme active funds, ESG theme index funds, pan ESG theme active funds, and pan ESG theme index funds. As a result, on every Monday, it launches a general list of earnings of ESG public funds on the top 10 and four sub lists on the top 10.
