December was by far the best month of the year and investors saw the value of their investment in the fund increase by 8.2%. The further fall in interest rates in the United States and Europe caused price recovery in stock markets. As a result, the MSCI Europe Index rose by 3.7% in December. The European Mid Cap index recorded a plus of 5.1% and Small Caps rose on average by 7.0% in value. In our fund, KKR’s takeover bid for Smart Metering Systems (SMS) stood out. As a result, the share price of the London listed company rose by 45%. More generally, the prices of companies in the capital goods sector were sharply higher. It is expected that the companies in this sector will benefit above average from lower interest rates and see their order book grow again in 2024. The total return for the Sustainable Dividend Value Fund over 2023 came to 5.6%, which is very close to the long-term average return of our fund. For the coming quarters, we expect a further recovery in share prices. For investors there are now many opportunities to buy stock of great companies at attractive price levels. You will soon find an example of this in our quarterly report. Since the launch of the fund in 2016, we have now achieved almost 57% return.



The fund

Sustainable Dividends offers an investment fund that invests in a well-diversified portfolio of European companies at the forefront of the sustainability transition. Our focus is on a disciplined investment process, while applying both qualitative and quantitative financial criteria.