4 January 2021


  • During the fourth quarter of 2020, the Memnon European Equity Strategy (the “Portfolio”) returned 5.9 % gross of fees. The MSCI EUROPE ex UK TR net (the “MSCI Europe ex UK”) returned 10.5 % and the MSCI EUROPE TR net (the “MSCI Europe”) returned 10.8 %.
  • Through the year 2020, the Portfolio returned -0.3 % gross of fees while the MSCI Europe ex UK returned 1.7 % and the MSCI Europe returned -3.3 %.
  • Holdings in the cyclical sectors contributed the most to Portfolio returns during the fourth quarter while holdings the Growth and Defensive sectors contributed negatively.
  • During the quarter, we initiated a position in Veolia, Metso and Danone and exited our positions in the following companies: Ontex, Galapagos, Grifols, Ericsson, Stora Enso.
  • The Portfolio remains concentrated with 21 holdings. It is well balanced across cyclical, defensive and growth names and is exposed to various companies which we think offer attractive risk return profile.
  • While some companies may be challenged by current business uncertainties, we think the temporary disaffection by investors is often more than reflected by their valuation. The Portfolio 12 month forward P/E ratio is currently 16.6 x.

Memnon European 4Q20 report

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