IGF Monthly NAV Chart

Monthly Update

Investment Manager’ Commentary

After a strong end to calendar year 2023, the Net Asset Value of IGF contracted slightly in January. The Fund’s return for the month stood at -0.2%.

In Mauritius, the broad equities market started the new year on a positive note, with the SEMTRI advancing by 0.8%. MCBG, our top holding, gained 1.1%. LUX Island Resorts, our second largest exposure, was however down by 4.3%. Weakness in the hotel’s stock share price was the main detractor to performance in January on the domestic front. Otherwise, with regards to portfolio changes, IGF topped up its position in VIVO Energy and NMH during the month.

  1. The forthcoming US election is unlikely to bring stability and confidence in the country

  2. US debt grows each month and, despite the famous 1971 Treasury SecretaryJohn Connally’s quote “the Dollar is our currency but it is your problem”, thededollarisation trend promoted by the enlarged BRICS block raises questions on the consequences of this dedollarisation on US debt financing

  3. US stocks have become very expensive compared to emerging markets equities.

On the international front, the upward trend observed in global equities over the last 2 months of 2023 extended into January, though at a reduced pace. The MSCI ACWI index gained 0.6%, adding to its run of 22% from the last calendar year. Sector-wise, Information Technology and Communication Services remained in the lead, driven by the Magnificent 7 (or the Magnificent 6 rather, following the correction in Tesla’s share price). Regionally, developed markets (+1.2%) outperformed emerging markets (-4.6%) where the largest drag came from China. Chinese equities experienced a brutal sell-off (-10%) in January as the restructuring of its debt-laden property sector continued to weigh on investor minds. China’s demographic challenges were also brought to the fore in January as the country reported a second consecutive year of population decline in 2023. On the interest rate front, the FED left rates unchanged at its latest FOMC meeting on 30-31 January. The FED continued to signal rate cuts in 2024, but pushed out expectations for the start of the easing programme to further in the year. US yields consequently picked up, causing the bond market to retreat during the month. The Bloomberg Global Aggregate Bond Index lost 1.4%. With regards to trading, there were no material changes in IGF’s foreign portfolio to report in January.

The IGF team continues to monitor market developments closely and remains available for any queries.

As usual, the IGF team remains available for any additional information.


This website is for informational purposes only and is intended to assist prospective clients in determining whether they have any preliminary interest in IPRO Growth Fund Ltd (the “Fund”). The website does not constitute an offer, solicitation or recommendation to enter into any transaction. Prospective investors are urged to read the Fund’s prospectus and seek professional advice as to the suitability of any eventual investment in the Fund. Investments carry substantial risks and past performance is no guarantee of future performance. The Mauritius Financial Services Commission does not vouch for the financial soundness of the Fund or for the correctness of any statements made or opinion expressed with regards to it.