Carmignac Absolute Return Europe fund performance
Take a look at the Fund's performance supported by our Fund managers’ market commentary and strategy insight.
Our monthly comments
Data as of: 31 Oct 2025.Fund management team
Johan Fredriksson
Fund Manager
Dean Smith
Fund Manager
Performance commentary
- The fund generated a positive return in October. Performance was primarily driven by stock selection within the Technology sector, with notable gains from long positions in AI beneficiaries and shorts in software companies vulnerable to AI-driven disruption.
- Additional positive contributions came from Healthcare and Industrials.
- Despite negative sentiment surrounding Financials, linked to US private credit concerns that spilled over into European markets, the fund’s Financials exposure still delivered a positive contribution for the month.
- The main contributors were Longs in Fresenius who benefited from rising expectations ahead of earnings and Sartorius who outperformed on the back of strong order growth.
- Sector detractors included Consumer Discretionary, Materials, Communications, and Utilities.
- The main detractors were Longs in Meta who faced market concern over the scale of its capital expenditure and a short in the luxury sector who underperformed due to stronger than expected Q3 results.
Outlook strategy
- Portfolio activity was concentrated around the busy earnings season, with several adjustments made both ahead of and following company results.
- The fund also sought to capitalize on intra-month volatility, selectively adding to Technology exposure, particularly among AI leaders and beneficiaries.
- Exposure to Industrials was modestly increased through the introduction of new positions such as Vestas, a leading wind turbine manufacturer benefiting from accelerating order growth and improving margins as new capacity ramps up.
- Meanwhile, exposure to Telecoms, Utilities, Consumer Staples, and Materials was reduced through a mix of long disposals and increased short positions.
- With the October Fed rate cut now behind us—delivered as expected, albeit accompanied by a slightly hawkish tone and the bulk of Q3 earnings reports completed (including BIG US Tech), the market enters a quieter phase with less corporate news flow.
- The key risk remains the unresolved US government shutdown, which, if prolonged, could move beyond being a temporary period of reduced data visibility to one that meaningfully impacts real economic activity.
Performance Overview
Data as of: 6 Nov 2025.Past performance is not necessarily indicative of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor).
Morningstar Rating™ : © Morningstar, Inc. All Rights Reserved. The information contained herein: is proprietary to Morningstar and/or its content providers; may not be copied or distributed; and is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.
The return may increase or decrease as a result of currency fluctuations, for the shares which are not currency-hedged.
From 1 January 2022, the Fund’s investment objective is an absolute performance objective.
Source: Carmignac at 09/11/2025
Carmignac Absolute Return Europe Portfolio overview
Below is an overview of the composition of the portfolio.
Geographical Breakdown
Data as of: 30 Sep 2025.| Europe EUR | 25.6 % |
| Europe ex-EUR | 11.3 % |
| North America | 8.3 % |
| Others | 6.5 % |
| Index Derivatives | -27.6 % |
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Key figures
Below are some key figures to help you understand the Fund's management and positioning.
Exposure Data
Data as of: 30 Sep 2025.Net Equity Exposure24.1 %
Issuer equity derivative short44
Issuer equity derivative long69
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The strategy in a nutshell
Discover the Fund’s main features and benefits through the words of the Fund Managers.
Fund Management Team
Johan Fredriksson
Fund Manager
Dean Smith
Fund Manager
Our objective is to provide a long-term absolute capital growth thanks to our dynamic and opportunistic take on European equities.
Dean Smith
Fund Manager
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Reference to certain securities and financial instruments is for illustrative purposes to highlight stocks that are or have been included in the portfolios of funds in the Carmignac range. This is not intended to promote direct investment in those instruments, nor does it constitute investment advice. The Management Company is not subject to prohibition on trading in these instruments prior to issuing any communication. The portfolios of Carmignac funds may change without previous notice.
The reference to a ranking or prize, is no guarantee of the future results of the UCIS or the manager.
The Fund is a common fund in contractual form (FCP) conforming to the UCITS Directive under French law.
The information presented above is not contractually binding and does not constitute investment advice. Past performance is not a reliable indicator of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor), where applicable. Investors may lose some or all of their capital, as the capital in the UCI is not guaranteed. Access to the products and services presented herein may be restricted for some individuals or countries. Taxation depends on the situation of the individual. The risks, fees and recommended investment period for the UCI presented are detailed in the KIDs (key information documents) and prospectuses available on this website. The KID must be made available to the subscriber prior to purchase.). The reference to a ranking or prize, is no guarantee of the future results of the UCITS or the manager.
Market environment