Davy global equity portfolios
About the portfolios
At Davy we run three core equity portfolios, the Global 25, Theme 25 and Developed 25. The ‘Global’ and ‘Developed’ portfolios may be of interest to investors who like the idea of having a benchmark to compare their performance to and want their equity exposure to follow a structure. The ‘Theme’ portfolio consists of companies that are exposed to various themes that we believe could drive equity markets in the future. Clients who are less focused on benchmarks and more interested in the investment ‘narrative’ should find the Theme portfolio appealing.
As their name suggests, each of the portfolios holds 25 stocks.
Each portfolio represents our views through broad geographic and sector diversification and is intended to be held as a portfolio of companies. For suitable clients, the portfolio should be bought in its entirety, not on an individual stock basis.
Table 1: Davy Global Equity Portfolio Performance
Performance is shown in euro terms and is gross of Davy’s annual management fee of up to 1.25% p.a. and equity commission charges of up to 1.65% per transaction. Other fees and charges may apply depending on your account which will also reduce the performance indicated above accordingly.
Source: Bloomberg/Davy
*Benchmark: 70/30 MSCI AC World Total Return €/EUROSTOXX Total Return in euro terms
** Benchmark: MSCI Developed World Total Return in euro terms
3 months: 28/02/2025 - 31/05/2025
Year to date: 31/12/2024 – 31/05/2025
Since inception: 26/10/2012 – 31/05/2025 (Global & Theme) 31/12/2020 – 31/05/2025 (Developed)
Portfolio performances
Caesar may have worried about the Ides of March but for investors it has been the Tariff Man and Liberation Day that caused all the issues. The rollercoaster ride of the last three months has left markets scratching their heads and wishing the US President would put the social media posts to the side. The selloff and rebound in markets through April was one of the quickest in history, but with deferrals, trade deals and talk of trade deals investors worries have been pushed out rather that assuaged. When the rating on US government debt was downgraded in May, this added an additional concern for traders to fret about. As the dust settles on the period, our equity benchmark and global equity index have posted returns of -4.1% and -6.5% respectively. Against this backdrop, our direct equity portfolios had returns in the range of -5.6% to -11.3%.
The Global Portfolio was down in absolute terms in the period and underperformed the benchmark. Stocks that added to performance included Prudential PLC (see below), Deutsche Boerse (seen as a beneficiary of market volatility), Fastenal (reported better than expected numbers), and Vodafone (defensive sector). On the downside there was UnitedHealth Group (see below), LVMH (tariffs, see below), Intel (tech sector weakness), and Sanofi (drug sector under pressure due to tariffs).
The Theme Portfolio was also down in the three months and underperformed the benchmark. In the positive column there was Prudential PLC (see below), Allianz (see below), Vodafone (defensive sector), Mondelez (consumer staples are defensive). Detractors from performance included LVMH (see below), Sodexo (see below), Intel (tech sector weakness), Sanofi (drug sector under pressure due to tariffs).
The Developed Portfolio also fell in the March to May period and underperformed global equities. Contributors to performance included Prudential PLC (see below), Walgreens Boots Alliance (private equity takeover), Aptiv (announced spin out of business and activist shareholder took a stake), and CDW (see below). In the negative column there was UnitedHealth Group (see below), LVMH (see below), Bristol Myers Squibb (drug sector under pressure due to tariffs), and Intel (tech sector weakness).
Warning: Past performance is not a reliable guide to future performance. The value of investments may go down as well as up. Returns on investments may increase or decrease as a result of currency fluctuations. Forecasts are not a reliable indicator of future results.
J & E Davy Unlimited Company, trading as Davy Private Clients, is regulated by the Central Bank of Ireland. J & E Davy (UK) Limited, trading as Davy Private Clients UK, is authorised and regulated by the Financial Conduct Authority. Davy Group is a member of the Bank of Ireland Group. J & E Davy Unlimited Company, trading as Davy and Davy Private Clients, is regulated by the Central Bank of Ireland. Davy is a Davy Group company and also a member of the Bank of Ireland Group.