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Alternative strategies

Carmignac Portfolio Absolute Return Europe

Share Class

LU2923680206

Alternative strategiesCarmignac Portfolio Absolute Return Europe
Alternative strategiesCarmignac Portfolio Absolute Return Europe
Share Class

LU2923680206

Overview

Characteristics & Risks

Performance

Portfolio

ESG

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Comments from the Investment Team

Read the Investment team's analysis below.

Carmignac Portfolio Absolute Return Europe Monthly comments

Data as of:  Apr 30, 2026.
The Investment team

Johan FREDRIKSSON

Fund Manager

Dean SMITH

Fund Manager

Market Environment

  • Markets continued to be driven primarily by geopolitical developments and macroeconomic forces, with volatility shaped by the evolving news flow surrounding the Middle East conflict and its impact on oil prices.
  • Equity markets rebounded strongly from oversold levels in March following President Trump’s announcement of a ceasefire on 7 April and the start of peace talks with Iran.
  • The rally, however, remained relatively narrow in breadth, concentrated in previously underperforming areas of the market and a limited number of structural growth themes, most notably AI beneficiaries and electrification.
  • Systematic strategies re-risked while retail investors actively bought the dip, further supporting momentum.
  • US equities outperformed European markets, driven by substantial gains in mega-cap AI beneficiaries and the strongest rally in semiconductor stocks since February 2000.
  • Within Europe, the best-performing sectors were Technology, Media, Banks, Industrials, and Energy, while Healthcare and consumer-facing sectors such as Travel & Leisure, Retail, and Autos lagged.

Performance Commentary

  • The fund generated a positive return during the month.
  • Performance was driven primarily by strong stock selection within Financials, where our bank holdings rebounded sharply following profit-taking in March.
  • Elsewhere, Industrials and Technology holdings delivered positive returns, supported by accelerating demand linked to electrification trends and continued investment in AI infrastructure.
  • The main detractors were defensive sectors, including Communication Services, Healthcare, and Consumer Staples.
  • These areas came under pressure from rising bond yields and were used as a source of funding as investors rotated back into oversold cyclical sectors.
  • Key stock selection winners included long positions in ASM International (after they reported a strong order book and earnings), SK Hynix (benefited from accelerating demand for high-bandwidth memory products) and Nokia (secured new optical communications contracts).
  • Detractors included our long in Fresenius (amid broader market rotation away from defensive sectors), Meta (concerns regarding the scale of planned capex increases) and a short position in a French semiconductor company.

Outlook and Investment Strategy

  • Following two months of elevated volatility driven by persistent and often conflicting headlines surrounding the Middle East conflict, markets appear to be stabilising.
  • Within the long book, we increased exposure to semiconductors and selectively added to oversold banks, where we continue to see an attractive combination of undervalued earnings growth and strong shareholder returns through dividends and buybacks.
  • Looking ahead, securing a durable agreement that restores stability to the Strait of Hormuz remains critical. At the same time, the uncertain outlook for oil prices, particularly given the risk of longer-term infrastructure disruption, is likely to remain central to the debate around inflation, growth, and the trajectory of central bank policy.
  • Corporate earnings continue to provide support, with most consumer-facing businesses yet to report any material impact from the conflict, although this could evolve over the coming months.
  • As earnings season progresses and company reporting becomes less of a market driver, investor focus is likely to shift back towards geopolitics and macroeconomic developments.
  • Against this backdrop and given the potential for a relief-driven catch-up trade in Europe relative to the US technology-led market, we are selectively increasing exposure to European industrials and banks, where earnings momentum remains robust.
  • Markets are likely to remain highly sensitive to developments in the peace negotiations and the upcoming Xi–Trump meeting.

Performance scenarios

The figures shown include all the costs of the product itself, but may not include all the costs that you pay to your advisor or distributor. The figures do not take into account your personal tax situation, which may also affect how much you get back. What you will get from this product depends on future market performance. Market developments in the future are uncertain and cannot be accurately predicted. The unfavourable, moderate, and favourable scenarios shown are illustrations using the worst, average, and best performance of the product over the last 10 years. Markets could develop very differently in the future. This table shows the money you could get back over the next 3 years, under different scenarios, assuming that you invest 10 000 €.

Performance scenarios

Data as of:  Mar 2026.
Scenarios
If you exit after 1 year
If you exit after 3 years
Stress
What you might get back after costs
Average return each year
5880 €
-41.23 %
6500 €
-13.36 %
Unfavourable
What you might get back after costs
Average return each year
8650 €
-13.46 %
8770 €
-4.27 %
Moderate
What you might get back after costs
Average return each year
9980 €
-0.21 %
10570 €
+1.88 %
Favourable
What you might get back after costs
Average return each year
11710 €
+17.11 %
12610 €
+8.04 %
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The unfavourable scenario occurred for an investment between 01/2025 and 03/2026.
The moderate scenario occurred for an investment between 09/2017 and 09/2020.
The favourable scenario occurred for an investment between 04/2016 and 04/2019.
Source: Carmignac at Mar 31, 2026.

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The reference to a ranking or prize, is no guarantee of the future results of the UCIS or the manager.
Carmignac Portfolio is a sub-fund of Carmignac Portfolio SICAV, an investment company under Luxembourg law, conforming to the UCITS Directive.
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.