New Economy | Capital Group

 

 

Important Notes:

  • The Fund’s investment in equity securities may incur significant losses due to fluctuation in equity values and exchange rates of currencies in which these investments are denominated.
  • The Fund’s investment in debt securities may be affected by changes in interest rates, credit ratings, and fluctuation in exchange rates of currencies in which these investments are denominated. Investment in bonds issued or guaranteed by governments may involve political, economic, default, or other risks.
  • The Fund may invest in emerging market securities and may be subject to additional risks arising from political, economic, regulatory and market factors.
  • If the Fund invests in debt securities which are below investment grade or unrated, including high yield bonds, it may, as a result, be subject to liquidity, volatility, default and counterparty risk.
  • While the Fund uses derivative instruments in a prudent manner and only for hedging and/or efficient portfolio management purposes, in an adverse situation, derivative instruments may expose the Fund to a risk of significant loss.
  • The Fund’s investments in securities traded and cleared on the Shanghai-Hong Kong Stock Connect and Shenzhen-Hong Kong Stock Connect program are subject to various risks associated with the legal and technical framework of Stock Connect and/or may involve clearing and settlement, regulatory and counterparty risks.
  • The Fund may at its discretion pay dividends out of and/or effectively out of capital. This amounts to a return of part of an investor’s original investment or distribution of capital gains. This may result in an immediate reduction in the net asset value per share.
  • The currency hedging process used for currency hedged share classes may not give a precise hedge; there is no guarantee that hedging will be totally successful.
  • Investors should not make any investment decision solely based on this document.
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Capital Group New Economy Fund (LUX)

Growth and innovation in an evolving global economy

 

WHY CONSIDER THE FUND?


I can capture growth opportunities no matter how fast the world changes

 

Capital Group New Economy Fund (LUX) can help you to capture growth and innovation in an evolving global economy.

FUND BROCHURE

A ROBUST AND PROVEN RESEARCH CAPABILITY


I can rely on Capital Group to identify companies at the forefront of change

Investment opportunities are uncovered through our strength in research:

Experienced team of portfolio managers

A multi-layered global research engine

Deep company insights acquired over decades

CAPITAL GROUP NEW ECONOMY FUND (LUX)


I can depend on the fund’s tried and tested strategy to capture growth opportunities in a changing world



Launched on 7 November 2019, Capital Group New Economy Fund (LUX) is managed by the same experienced team and follows the same approach as the Other Scheme 3, which was launched on 31 December 1983, and is focused on achieving long-term growth of capital by investing in securities of companies located around the world with long-term growth potential.


Capital Group New Economy Fund (LUX) (CGNE) results
Fund inception on 7 November 2019
Returns, % CGNE1 MSCI
ACWI2
 
2021 YTD 1.3 1.9
2020 31.5 16.3
Nov to Dec 2019 5.9 4.3

 

As at 28 February 2021


ATTRACTIVE LONG-TERM RESULTS FOR OVER 35 YEARS


A strategy with a proven track record

Deep, fundamental research is the primary driver of portfolio holdings and has contributed to the fund’s stronger returns over the MSCI ACWI index2.

Average 5-year rolling returns p.a.

 

Returns of the Other Scheme, to 30 October 2019
Returns, % The Other Scheme3 MSCI ACWI2
 
2015 2.9 -2.4
2016 1.3 7.9
2017 33.2 24.0
2018 -5.0 -9.4
Jan to October 2019 16.9 19.4
Lifetime p.a. 10.3 9.3
 

The information in relation to the index is provided for context and illustration only. The fund is an actively managed UCITS. It is not managed in reference to a benchmark. Past results are not a guarantee of future results. For illustrative purposes only.

1. Results for Capital Group New Economy Fund (LUX) are in USD, shown after management and administration fees, also known as Total Expense Ratio (TER), for the B share class as a representative share class and is calculated as the increase or decrease in net asset value of the fund over the relevant period, please visit capitalgroup.com/asia for further details.

2. MSCI All Country World Index (net dividends reinvested) from 31 December 2000. Previously MSCI All Country World Index (gross dividends reinvested) from 31 December 1987; MSCI World Index (net dividends reinvested) from 31 December 1983. Source: MSCI

3. The Other Scheme is not authorised by the Securities and Futures Commission of Hong Kong and is not available to the public in Hong Kong. The Other Scheme has the same investment strategy, restrictions and risk profile as Capital Group New Economy Fund (LUX). Downward adjustments to the past performance information of the Other Scheme have been made to reflect the differences in all relevant fees and charges between the Other Scheme and Capital Group New Economy Fund (LUX). The past performance figures of the Other Scheme presented are not those of Capital Group New Economy Fund (LUX) and are shown in USD after fees and expenses equivalent to that of class B shares for Capital Group New Economy Fund (LUX). The past performance information of The Other Scheme and Capital Group New Economy Fund (LUX) is not indicative of future performance of Capital Group New Economy Fund (LUX). The purpose of presenting the past performance information of the Other Scheme is to provide additional information to investors relating to the investment experience of Capital Group Management Group in managing the same strategy. Capital Group New Economy Fund (LUX) is authorised by the Securities and Futures Commission of Hong Kong and its authorisation does not imply official recommendation.

4. Data as at 31 December 2020. Source: Morningstar Direct. The investment universe includes active open-ended funds and Australian Insurance funds, excludes money market funds, excludes fund of funds, excludes feeder funds but Japan-domiciled feeder funds are included, domicile countries exclude China. Active funds are defined as non-index funds, and managers have been ranked by their branding name. Manager assets under management has been broken down by underlying funds’ global broad category group. This excludes segregated accounts.

Why Capital Group?

The world’s largest active mutual fund asset manager4

 

US$2.4 trn

in assets under management

85+ years

of investing since 1931

Employee-owned

investing alongside clients

 

FIND OUT MORE

 

 

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This material has not been reviewed by the Securities and Futures Commission of Hong Kong.

Risk factors you should consider before investing:

  • This material is not intended to provide investment advice or be considered a personal recommendation.
  • The value of investments and income from them can go down as well as up and you may lose some or all of your initial investment.
  • Past results are not a guarantee of future results.
  • The Hong Kong Covering Document, Luxembourg Prospectus and Product Key Fact Statement (“KFS”) set out risks, which, depending on the fund, may include risks associated with investing in fixed income, emerging markets and/or high-yield securities; emerging markets are volatile and may suffer from liquidity problems.

All data as at 28 February 2021 in USD terms, unless otherwise stated. All index returns include net dividends reinvested.

The Capital Group companies manage equities through three investment divisions that make investment and proxy voting decisions independently. Fixed income investment professionals provide fixed income research and investment management across the Capital organisation; however, for securities with equity characteristics, they act solely on behalf of one of the three equity investment groups.

Glossary

Net asset value: Net asset value (NAV) measures the value of a fund’s assets, minus its liabilities. NAV is typically calculated on a per-share basis.

Total expense ratio: A measure of the total costs associated with managing and operating an investment fund, also known as Management and Administration Fee. These costs consist primarily of management fees and expenses, such as trading, legal, and auditor fees.

UCITS: The Undertakings for the Collective Investment of Transferable Securities.