Robeco Sustainable Property Equities D USD

The Fed hiked its target rate by another 50 basis points, while in the second half of December, the Bank of Japan shocked markets by doubling the cap on 10-year yields to 0.5. The market is interpreting this step as an exiting of the BoJ's stimulus policy. The surprise rippled through broader global markets, with the 10Y Treasuries yield moving up by 27 basis points and German Bund yields spiking over 60 bps to 2.56%. Real estate stocks dropped but outperformed general equities. US REITs and Japanese real estate stocks in general lagged other regions. J-REITs outperformed the broader market, while developers underperformed the J-REIT sector by 700 basis points. Chinese mainland and Hong Kong stocks continued their outperformance trajectory off October troughs. The rebound was mainly in response to earlier-than-expected relaxation of Covid-19 policies in China. European markets outperformed, with Swedish stocks rebounding on the announcement of several real estate transactions at relatively favorable prices.

The fund can engage in currency hedging transactions.

The fund does not distribute dividend. Any income earned by the fund is reflected in its share price.

The fund incorporates sustainability in the investment process via exclusions, ESG integration, ESG and environmental footprint targets, and voting. The fund does not invest in issuers that are in breach of international norms or where activities have been deemed detrimental to society following Robeco's exclusion policy. Financially material ESG factors are integrated in the bottom-up fundamental investment analysis to assess existing and potential ESG risks and opportunities. In the stock selection the fund limits exposure to elevated sustainability risks. The fund also targets a better ESG score and at least 20% lower carbon, water and waste footprints compared to the reference index. 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.

Robeco Sustainable Property Equities is an actively managed fund investing in equities from developed countries around the world. The selection of these stocks is based on a fundamental analysis. The fund's objective is to achieve a better return than the index. The fund aims for a better sustainability profile compared to the Benchmark by promoting certain E&S (i.e. Environmental and Social) characteristics within the meaning of Article 8 of the European Sustainable Finance Disclosure Regulation and integrating ESG and sustainability risks in the investment process and applies Robeco’s Good Governance policy. The fund applies sustainability indicators, including but not limited to, normative, activity-based and region-based exclusions, proxy voting, engagement and an improved environmental footprint. This fund identifies global trends in the real estate sector. The fund managers use carefully developed models to choose stocks with good earnings expectations and reasonable valuation. The investment policy is not constrained by a benchmark but the fund may use a benchmark for comparison purposes. The majority of stocks selected will be components of the Benchmark, but stocks outside the Benchmark may be selected too. The fund can deviate substantially from the issuer, country and sector weightings of the Benchmark. There are no restrictions on the deviation from the Benchmark. The Benchmark is a broad market weighted index that is not consistent with the ESG characteristics promoted by the fund.

Risk management is fully integrated in the investment process to ensure that positions always meet predefined guidelines.