Aperture European Innovation - Q2 2024 Manager Commentary
In Short
Aperture European Innovation Fund: Commentary for Q2 2024
Quarter in review
The MSCI Europe Net Total Return index ended the quarter up 1.32%, despite the return of volatility induced by the French elections. June marked the worst relative performance for European equities compared to US stocks since the start of the Ukraine conflict, with mid-single-digit losses. This halted but did not cancel the enthusiasm for European equities, in our opinion (see the outlook section). Increased risk aversion weighed on cyclical stocks, with Consumer, Bank, Construction and Automotive sectors underperforming relative to defensive parts of the market. Small Caps performed broadly in line with Large Caps, though with volatility between May (M7EUSC +2.57% vs M7EU) and June (-2.36%). Risk-off was also visible in crypto, with Bitcoin recording a -15% drop from its March highs.
