24/04/25 11:17:09

Fund: “Tariffs determine everything”

Europe, USA, Asia - equity funds from all possible regions are anything but sought after at the moment. However, technology funds are particularly unpopular. Money market funds, on the other hand, are doing well.

24. April 2025 FRANKFURT (Börse Frankfurt). Fund trading on the Frankfurt Stock Exchange is also dominated by US President Trump's tariff policy. Anja Deisenroth-Boström, who trades funds for Baader Bank, speaks of “challenging weeks” with “immense turnover”. “All hell broke loose here at times,” she explains. “The tariffs determined everything.” According to Ivo Orlemann from ICF Bank, things have at least calmed down a little at the moment. “The Easter vacations are making themselves felt.”

Equity funds in particular are flying out of portfolios. According to Deisenroth-Boström, the internationally diversified DWS Top Dividende (DE0009848119), Stuttgarter-Aktien-Fonds (LU0383026803), Siemens Global Growth (DE0009772657) and Morgan Stanley INVF Global Opportunity (LU0552385295) are affected. DWS Deutschland (DE0008490962) and Fondak (DE0008471012) with German equities and Comgest Growth Mid-Caps Europe (IE0004766014) with equities of medium-sized European companies are also being sold. It reports purchases for only a few funds, one example being Jupiter JGF European Growth (LU0260085492).

Funds with European or German equities have performed better this year than those with US equities or an international focus with a high US weighting. DWS Deutschland, for example, has gained almost 9 percent since the beginning of the year, while the internationally investing DWS Top Dividende is treading water.

Asian equities: clear selling surplus

The US tariffs also caused a significant fall on Asian stock exchanges. However, Deisenroth-Boström does not see high turnover in the corresponding funds. “But there is a clear selling overhang, investors are obviously spooked.” On the sell-off lists: the HSBC GIF Hong Kong Equity (LU0164880469), the AGIF Allianz Oriental Income (LU1173936821) and the DWS Top Asia (DE0009769760).

Anja Deisenroth-Bostroem

Anja Deisenroth-Boström

Tech funds: 20 percent price loss since highs

Technology funds continue to be sold on a grand scale, as Orlemann reports. “When tech share prices fall, we always sell, we don't see any anti-cyclical investing.” Fidelity Global Technology (LU0099574567) has recorded by far the highest turnover. It has lost around 20 percent in value since its highs in February. The trader also reported sales for Deka-Technologie (DE0005152623) and BGF World Technology (LU0056508442).

Money market funds as a safe bank

However, there are also funds that continue to be well received: Money market funds. “They are seen as a safe haven and inflows are high,” reports Deisenroth-Boström. Both euro (LU0225880524, LU0011254512) and US dollar variants (LU0052767562) are popular. The situation is similar at ICF, with demand for money market funds such as UnionInvest (LU0262776809, DE0009750133).

Orlemann is also seeing larger purchases in Fixed Income One from LLB Invest (AT0000A347S9), which invests internationally in bonds with different maturities. In the mixed fund segment, Deisenroth-Boström reports inflows into ARERO - Der Weltfonds (LU0360863863), which focuses on equities, bonds and commodities.

Another “safe haven” is currently not playing a major role in the fund business on the Frankfurt Stock Exchange: Gold. “There is little going on, those who want to bet on gold are more likely to bet on gold ETCs,” reports Deisenroth-Boström. Orlemann can confirm this. The price rose to a new all-time high of almost 3,500 US dollars per troy ounce on Tuesday this week in the wake of the uncertainties, but is now slightly lower again.

Real estate funds bought again

Calm has returned to trading in real estate funds after the waves of selling in previous months, as Orlemann also notes. “Purchases even tend to predominate at the moment.” There is demand for HausInvest (DE0009807016), Grundbesitz Global (DE0009807057) and Grundbesitz Europa (DE0009807008), for example.

Ivo Orlemann

Ivo Orlemann

By Anna-Maria Borse, 24. April 2025, © Deutsche Börse AG

Anna-Maria Borse is a financial and business editor specializing in the financial market/stock exchange and economic topics.

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