Nasdaq DW Global Momentum Q3 2022 commentary

SaxoSelect Commentaries
Instruments tradedStocks
Asset classesGlobal equities (including emerging markets, excluding US companies)
Investment styleSystematic investing based on stocks’ relative strength
Quarterly return-8% (net of fees)
Annualised volatility (since inception)23%

Market overview

Global equity markets saw further declines in Q3 as central banks around the world continue to tighten monetary policy in the face of ever-persistent inflation. However, as rates become more normalised they are likely to cause inflation to moderate, which could be positive for global equity markets. The value of the USD continues to appreciate relative to other currencies.

Sectors of the global economy where the portfolio currently has the most exposure are: Financials (19%), Healthcare (15%) and Telecom (10%) and sectors where there is the least exposure are: Consumer Staples (6%), Utilities (7%) and Technology (7%). Over the course of the third quarter, there has been added exposure to Healthcare, Technology and Utilities and a reduced exposure to Basic Materials, Energy and Financials. These changes were driven by our relative strength ranking process which seeks to overweight strong sectors of the global markets and seeks to underweight weak areas.

From a country perspective, the largest exposure is currently to the UK (14%), Brazil (12%), India (11%), Switzerland (7%) and Denmark (6%). A noteworthy underweight continues to be China due to its weak relative strength.

Regional exposure is currently tilted towards Europe (48%) and Asia (19%).  As the strategy is not constrained geographically, the exposure will change over time depending on where areas of strength are observed. Also, currently, about 51 percent of the portfolio is allocated to developed markets and 49 per cent to emerging markets.


Portfolio performance (net of fees)


Top 10 portfolio holdings (as of 30/09/22)

HoldingWeight (%)
Danaos Corporation4.36%
ICICI Bank4.36%
Tata Motors3.85%
Tenaris S.A. 3.79%
Novo Nordisk3.69%
MakeMyTrip Ltd.3.04%
ItauUnibanco Holding2.82%

Best-performing positions (note that the position may not have been held for the full quarter, but performance shown for the security is for the full quarter)

  • (+20.79%) Itaú Unibanco Holding S.A. offers a range of financial products and services to individuals and corporate customers in Brazil and internationally. The company was incorporated in 1924 and is headquartered in São Paulo, Brazil.

  • (+18.21%) ICICI Bank Limited provides various banking products and services in India and internationally. ICICI Bank Limited was founded in 1955 and is headquartered in Mumbai, India.

  • (+15.89%) MakeMyTrip Limited, an online travel company, sells travel products and solutions in India, the United States, Singapore, Malaysia, Thailand, the United Arab Emirates, Peru, Colombia, Vietnam and Indonesia. MakeMyTrip Limited was incorporated in 2000 and is based in Gurugram, India.

  • (+6.69%) Perusahaan Perseroan PT Telekomunikasi Indonesia provides telecommunications, informatics and network services worldwide. The company was founded in 1884 and is headquartered in Bandung, Indonesia.

  • (+5.65%) Petróleo Brasileiro S.A. - Petrobras explores for, produces, and sells oil and gas in Brazil and internationally. Petrobras was incorporated in 1953 and is headquartered in Rio de Janeiro, Brazil.

Worst-performing positions (note that the position may not have been held for the full quarter, but performance shown for the security is for the full quarter)

  • (-31.70%) Sasol Limited, together with its subsidiaries, operates as an integrated chemical and energy company in South Africa. Sasol Limited was founded in 1950 and is headquartered in Johannesburg, South Africa.

  • (-28.11%) Daqo New Energy Corp., together with its subsidiaries, manufactures and sells polysilicon to photovoltaic product manufactures in the People's Republic of China. Daqo New Energy Corp. was founded in 2006 and is based in Shanghai, the People's Republic of China.

  • (-24.63%) Diana Shipping Inc. provides shipping transportation services. Diana Shipping Inc. was incorporated in 1999 and is based in Athens, Greece.

  • (-20.34%) National Grid plc transmits and distributes electricity and gas. The company was founded in 1990 and is headquartered in London, UK.

  • (-20.20%) HSBC Holdings plc provides banking and financial services worldwide. HSBC Holdings plc was founded in 1865 and is headquartered in London, UK.


Historically, market declines of the magnitude we have seen so far in 2022 have often led to favourable investment opportunities and this is the likely outcome this time as well.  Some of the headwinds, such as high inflation, ongoing supply chain challenges and the underperformance of China, all have the potential to improve as we move forward.  


This material is provided for marketing and/or information purposes only. Fee charges mentioned herein are subject to change – you may find the latest updated pricing information on the description page for the respective portfolios. None of the information contained herein constitutes an offer (or solicitation of an offer) to buy or sell any currency, product or financial instrument, to make any investment, or to participate in any particular trading strategy. Saxo Capital Markets does not take into account your personal investment objectives, specific investment goals, specific needs or financial situation and makes no representation and assumes no liability to the accuracy or completeness of the information provided here. The information and commentaries are not intended to be and do not constitute financial advice, investment advice, trading advice or any other advice or recommendation of any sort offered or endorsed by Saxo Capital Markets. Any expression of opinion (which may be subject to change without notice) is personal to the author and the author makes no guarantee of any sort regarding accuracy or completeness of any information or analysis supplied. Although every endeavour has been made to ensure that our trading platforms are secure and reliable, please note that as with all facilities and systems, our trading platforms may be vulnerable to temporary disruption or failure. If you undertake transactions on an electronic trading system, you will be exposed to risks associated with systemic failure, i.e. failure of hardware and software.  

See the full Managed Portfolio Disclaimer for more information. Please also consider our Risk Warning and General Business Terms before trading with us.

Saxo Markets
88 Market Street
CapitaSpring #31-01
Singapore 048948

Contact Saxo

Select region


Saxo Capital Markets Pte Ltd ('Saxo Markets') is a company authorised and regulated by the Monetary Authority of Singapore (MAS) [Co. Reg. No.: 200601141M ] and is a wholly owned subsidiary of Saxo Bank A/S, headquartered in Denmark. Please refer to our General Business Terms & Risk Warning to consider whether acquiring or continuing to hold financial products is suitable for you, prior to opening an account and investing in a financial product.

Trading in financial instruments carries various risks, and is not suitable for all investors. Please seek expert advice, and always ensure that you fully understand these risks before trading. Trading in leveraged products such as Margin FX products may result in your losses exceeding your initial deposits. Saxo Markets does not provide financial advice, any information available on this website is ‘general’ in nature and for informational purposes only. Saxo Markets does not take into account an individual’s needs, objectives or financial situation.

The Saxo trading platform has received numerous awards and recognition. For details of these awards and information on awards visit

The information or the products and services referred to on this website may be accessed worldwide, however is only intended for distribution to and use by recipients located in countries where such use does not constitute a violation of applicable legislation or regulations. Products and Services offered on this website are not intended for residents of the United States, Malaysia and Japan. Please click here to view our full disclaimer.

This advertisement has not been reviewed by the Monetary Authority of Singapore.

Apple and the Apple logo are trademarks of Apple Inc, registered in the US and other countries and regions. App Store is a service mark of Apple Inc. Google Play and the Google Play logo are trademarks of Google LLC.