Robeco Smart Energy I EUR

Roman Boner is Portfolio Manager of the Robeco Smart Energy strategy and member of the Thematic Investing team. Before joining Robeco in 2021, Roman was a Senior Portfolio Manager at Woodman Asset Management. Prior to that, he spent six years at Swisscanto (later part of Zurich Kantonalbank) as a Senior Portfolio Manager responsible for a sustainable global equity fund and co-manager of the thematic Global Water and Climate Fund. Roman started his career in 1996 at UBS working in different divisions including Private Banking, Asset Management and Trading. In 2003, he became Portfolio Manager at UBS Global Asset Management and, from 2005 onwards, focused on sustainable thematic equities strategies including Energy Efficiency and Climate change accounts. Roman graduated from the University of Applied Sciences Zurich in Economic and Business Administration and is a CFA® Charterholder. Michael Studer is Co-Portfolio Manager of the Robeco Smart Energy strategy and member of the Thematic Investing team. Before joining Robeco in 2021, he spent three years at Acoro Asset Management, where he was an investment manager focused on the IT sector (semiconductors, software and internet). Prior to that, he worked as a Senior Equity Analyst covering IT at Julius Bär, Bank J. Safra Sarasin and as a sellside analyst at Bank am Bellevue with a total 10-year tenure. Michael started his career in 2007 as a consultant for Strategy & Operations in the Financial Services Industry at Deloitte. Michael holds a PhD in Accounting and Controlling and a Master in Information and Technology Management from the University of St Gallen (HSG), as well as a Master in International Management from the Community of European Management Schools (CEMS). He also studied at the Rensselaer Polytechnic Institute (RPI) in Troy, New York (USA). Sanaa Hakim is Co-Portfolio Manager of the Robeco Smart Energy strategy and member of the Thematic Investing team. She joined Robeco in 2021 and has 12 years of experience. Prior to joining the firm, Sanaa was a global equity investment professional at Independent Franchise Partners and a generalist analyst at Capital Group for 5 years in London. Sanaa started her career in 2011 with Ernst and Young in Assurance and Advisory in Paris. Sanaa holds an MBA from the University of Chicago Booth and a Msc in Risk and Asset Management from EDHEC Business School.

The fund is established in Luxembourg and is subject to the Luxembourg tax laws and regulations. The fund is not liable to pay any corporation, income, dividend or capital gains tax in Luxembourg. The fund is subject to an annual subscription tax ('tax d'abonnement') in Luxembourg, which amounts to 0.05% of the net asset value of the fund. This tax is included in the net asset value of the fund. The fund can in principle use the Luxembourg treaty network to partially recover any withholding tax on its income.

The fiscal consequences of investing in this fund depend on the investor's personal situation. For private investors in the Netherlands real interest and dividend income or capital gains received on their investments are not relevant for tax purposes. Each year investors pay income tax on the value of their net assets as at 1 January if and inasmuch as such net assets exceed the investor’s tax-free allowance. Any amount invested in the fund forms part of the investor's net assets. Private investors who are resident outside the Netherlands will not be taxed in the Netherlands on their investments in the fund. However, such investors may be taxed in their country of residence on any income from an investment in this fund based on the applicable national fiscal laws. Other fiscal rules apply to legal entities or professional investors. We advise investors to consult their financial or tax adviser about the tax consequences of an investment in this fund in their specific circumstances before deciding to invest in the fund.

The fund's sustainable investment objective is to further the transformation and decarbonization of the global energy sector. The transformation and decabonization of the energy sector and sustainability considerations are incorporated in the investment process by the means of a target universe definition, exclusions, ESG integration, a carbon footprint target and voting. The fund only invests in companies that have a significant thematic fit as per Robeco's thematic universe methodology. Through screening on both Robeco's internally developed SDG Framework and Robeco’s exclusion policy, the fund does not invest in issuers that have a negative impact on the SDGs, are in breach of international norms or where products have been deemed controversial. Financially material ESG factors are integrated in the bottom-up fundamental investment analysis to assess existing and potential ESG risks and opportunities. The fund's weighted carbon footprint will be equal to or better than that of its Climate Transition Benchmark. In addition, where a stock issuer is flagged for breaching international standards in the ongoing monitoring, the issuer will become subject to exclusion. Lastly, the fund makes use of shareholder rights and applies proxy voting in accordance with Robeco's proxy voting policy.For more information please visit the sustainability-related disclosures.The index used for all sustainability visuals is based on MSCI World Index TRN.

March 2025 saw significant financial market turbulence, ending with a strong sell-off. Factors included geopolitical uncertainties, tariff announcements, and growth concerns. President Donald Trump's 25% tariff on imported cars and components raised global trade impact concerns, adding to fragile market sentiment. Investors are worried about growth uncertainties and stagflation risks, with inflation partly due to tariffs. The Federal Reserve left interest rates unchanged, with Chair Jerome Powell emphasizing a cautious approach amid US economic uncertainties. Germany's decision to lift the debt brake and invest in defense and infrastructure is expected to provide the largest fiscal boost in over three decades, leading to a sell-off in Bund yields, as growth and inflation outlooks are repriced.

Based on transaction prices, the fund's return was -10.61%. The Renewable Energy cluster led the fund in March, with Nordex benefiting from a stable policy outlook in Germany. Brookfield Renewables Corp outperformed, as US interest rates declined. Solar stocks stabilized but await US policy clarity. The Energy Distribution cluster outperformed, with SSE performing well after announcing a new CEO. The Energy Efficiency cluster had mixed results: BYD saw strong performance, while US companies PTC and Regal Rexnord underperformed. Carlisle outperformed due to local manufacturing, and Procore underperformed after the CEO's transition. The Energy Efficiency Big Data subcluster was the biggest drag due to fears of a slowing AI capex cycle. Marvell Technology's guidance was softer than expected, and Vertiv and Arm Holdings weakened. The Energy Management cluster was the weakest performer, with Semiconductor Power Management suffering from growth uncertainties. Monolithic Power was an exception, raising its first-quarter guidance. CATL did better than the fund, providing positive growth guidance and receiving approval for its Hong Kong listing.

Inflation is expected to gradually decline, although there are some upside risks following the election of President Trump, particularly due to potential tariffs and accelerated economic growth. The base case for interest rates in both Europe and the US is a decline, which is anticipated to support economic activity and investment. The Global Manufacturing Purchasing Managers' Index (PMI) is likely to rebound soon, indicating accelerating growth, with factors such as reshoring expected to contribute positively to this trend. However, geopolitical risks remain elevated, with uncertainties under the new government potentially impacting global markets and business operations. We will continue to monitor these developments closely and adjust our strategies accordingly to navigate the evolving landscape.