Asset Allocation

The net equity allocation of BL-Global Flexible as at 12 January is 47%. 95% of the fund's assets are invested in equities, with 50% of the equity exposure hedged through the sale of futures on equity indices.

In geographical terms, the fund is invested 41% in Europe (20,5% after hedging), 30,5% in North America (3%), 18% in the Pacific Basin and 5,5% in other countries.

Equity asset allocation

  * Hedging

As a broad general rule, equity investments currently tend to be in defensive, non-cyclical sectors with a particular emphasis on dividends. At the end of December, the equity portfolio's average price/earnings ratio was 14,6, and the average dividend yield was around 3,5 % (gross).

 Currency allocation :

The currency allocation differs from the asset allocation. We use forward sales to lower the exchange rate risk on certain currencies or to increase exposure to other currencies. The following graphs show the currency allocation before and after forward sales. 

Currency allocation before forward sales

 Currency allocation after forward sales

Performance

The net asset value of BL-Global Flexible has fallen by 1,17 % in 2011. Since the start of the year, it has risen by 2,3 %.