Endowus April 2026 Portfolio Performance Review

Endowus Core-Flagship Cash/SRS Portfolio

The 100% Equity Portfolio gained 8.4% in April, underperforming the broader equity benchmark by 0.3%.

• April 2026 was characterised by a powerful risk on rally that saw major equity indices recover from a turbulent March to hit new all time highs. While tensions between the US and Iran persisted as ceasefire efforts were ineffective, markets seemed to have shrugged off the geopolitical risk during the month. Notably, the risk on rally was driven by a massive rotation back into AI and semiconductor stocks, highlighting investors’ renewed confidence that companies' AI development expenditure would continue to generate favourable returns. Additionally, a stellar Q1 earnings season also fuelled the risk on sentiment. Overall, global equities ended the month with a 8.7% gain.
• The Flagship Cash/SRS 100% Equity Portfolio rose 8.4% in April, underperforming the global equity benchmark. The Portfolio’s overweight to value stocks weighed on relative performance, as investors’ appetite for risk during the month resulted in value stocks underperforming their growth counterparts. Additionally, the Portfolio’s slight overweight to Japan stocks contributed to underperformance as well.
• Within the Portfolio, the Amundi Core MSCI Emerging Markets Fund was the best performer, gaining 13.4% during the month. The Fund passively tracks the emerging market index, which saw a sharp rebound during the month, with Taiwan and Korea Technology stocks leading the charge. In contrast, the Dimensional Pacific Basin Small Companies Fund was the weakest performer, gaining 6.0% during the month. The Fund lagged the broader equity market due to its overweight to Japan equities, which benefited less from the risk on rally due to its limited exposure to the AI theme. 

The 100% Fixed Income Portfolio gained 0.5% in April, outperforming the broader fixed income market by 0.4%.

• Global bonds saw more diverse performance during the month as markets turned risk on. As the ongoing Middle East conflict continued to keep oil prices elevated, inflation concerns persisted, driving government bond yields higher. In contrast, credit markets held up well as the risk on sentiment led to a tightening of both investment grade and high yield credit spreads, with the latter tightening by a greater extent. Overall, global bonds ended the month up 0.1%.
• The Flagship Cash/SRS 100% Fixed Income Portfolio gained 0.5% in April, outperforming the broader fixed income market. The Portfolio’s overweight to securitised and emerging market bonds drove outperformance, as these two segments benefitted from the risk on sentiment.
• Within the Portfolio, the PIMCO GIS Emerging Markets Bond Fund was the best performer, ending the month up 2.6%. The Fund saw robust gains as emerging market bonds benefitted from higher carry and the tightening of spreads during the month. On the other hand, the iShares Global Aggregate 1-5 Year Bond Index Fund was the weakest performer, ending the month up 0.1%. The Fund passively tracks the 1-5 Year bond index, and saw more muted performance due to its slightly lower exposure to credit.

Endowus Core-Flagship CPF Portfolio

The 100% Equity Portfolio gained 9.1% in April, outperforming the global equity benchmark by 0.4%.

• The 100% Equity Portfolio’s outperformance was driven by its overweight to US and emerging market equities, both of which benefitted strongly from the Technology driven rally during the month due to their larger AI related exposure.
• Within the Portfolio, the Schroder Global Emerging Markets Opportunities Fund was the best performer, gaining 15.6% during the month on the back of the strong performance of emerging market equities. On the other hand, the Dimensional Global Core Equity III Fund was the weakest performer, gaining 7.1% during the month. The Fund lagged its global peers due to its overweight to value stocks.

The 100% Fixed Income Portfolio rose 0.4% in April, outperforming the global fixed income benchmark by 0.3%.

• The 100% Fixed Income Portfolio outperformed the global fixed income benchmark due to its overweight to Singapore bonds, which saw stronger performance during the month. 
• Within the Portfolio, the Eastspring Singapore Select Bond Fund was the best performer, gaining 1.8% during the month. On the other hand, the Amundi Core Global Aggregate Bond was the weakest performer, rising 0.1% during the month. The Fund passively tracks the fixed income benchmark.

Endowus Income Portfolios

The Endowus Stable Income Portfolio returned 0.7% in April, outperforming the Bloomberg Global Aggregate Credit Index.

• Global credit markets posted modest gains in April as risk-on sentiment drove credit spreads tighter, even as government bond yields edged higher on lingering inflation concerns from elevated oil prices.
• Overall, the portfolio benefited from its shorter duration stance and its tilt towards emerging markets. 
• The Neuberger Berman Short Duration Emerging Market Debt Fund (+1.4%) was the strongest performer in the portfolio, benefiting from the tightening in EM credit spreads and a weaker US dollar. The AB American Income Portfolio Fund and PIMCO GIS Income Fund also contributed positively. The JPMorgan Income Fund posted smaller gains, reflecting its more conservative positioning.

The Endowus Higher Income Portfolio returned 2.5% in April, outperforming the 20-80 equity-fixed income composite benchmark.

• The fixed income sleeve (80%) delivered gains in line with Stable Income, with the Allianz Global High Yield Fund the standout as high yield spreads compressed in April's risk-on rally. 
• The equity sleeve (20%) was the main driver of overall return as global equities rallied sharply from March's geopolitically driven selloff, supported by renewed AI optimism and easing concerns around the Strait of Hormuz. The abrdn Global Dynamic Dividend Fund, UBS US Total Yield Fund, and JPMorgan Emerging Markets Dividend Fund all posted strong gains. However, the sleeve's return of around 8% lagged the broader equity market—reflecting the value and dividend tilt of the holdings, as growth stocks led the rally decisively in April.

The Endowus Future Income Portfolio returned 3.5% in April, slightly underperforming the 40-60 equity-fixed income composite benchmark

• The fixed income sleeve (60%) outperformed the global credit markets, mirroring the performance of Stable Income. Holdings with shorter duration and greater credit spread exposure within the fixed income sleeve contributed to the outperformance.
• The equity sleeve (40%) was the main contributor to overall performance, with the FSSA Dividend Advantage Fund being the standout performer as Asia-Pacific equities rebounded strongly. The Amundi Prime USA Fund benefited from the US equity rally, while the GMO Quality Investment Fund and Dimensional World Equity Fund also posted solid gains. However, at around 8%, the overall equity sleeve's return lagged the broader equity market—the AB Low Volatility Equity Portfolio Fund, the sleeve's largest holding, participated in the recovery but its defensive positioning meant it captured less of the upside. As a result, the underperformance of the equity sleeve weighed on the Portfolio’s overall relative performance.

Latest current target payout update:

In September 2025, we revised downwards the current target payout of Higher Income Portfolio to 5-6%. The recent increase in hedging cost between SGD and USD pair has caused certain fund managers to lower the payout, impacting the overall payout levels across all three income portfolios. This in particular has caused Higher Income Portfolio’s payout yield to dip below the prior target payout range. In light of the prevailing interest rate cycle, it is only prudent to lower the current target payout range of the Higher Income Portfolio. 

Investment grade flexible income funds continue to be able to generate income that’s akin to high yield funds in the current environment where high yield spreads are particularly tight. In light of this, we are comfortable with the Higher Income Portfolio generating an income level that is similar to that of Stable Income. It is important to note that the Higher Income Portfolio has delivered better growth in terms of total return than Stable Income, with the prudent addition of credit and equity risk. This means that after receiving the income, investors in the Higher Income Portfolio would have seen stronger capital preservation year-to-date amidst volatility.

We are monitoring and will take actions to improve the portfolios if we believe there are better building blocks/ is room to optimise the portfolios further. 

Endowus Cash Smart Portfolios

Cash Smart Secure continued to generate positive returns in April. 

• The Cash Smart Secure Portfolio maintained its stable return profile, posting a 0.1% gain in April. 
• Both the underlying funds, the Fullerton SGD Cash Fund and the LionGlobal SGD Enhanced Liquidity Fund, returned 0.1%. 

Cash Smart Enhanced continued to provide stable returns in April.

• Cash Smart Enhanced generated a return of 0.2% during the month, slightly higher than Cash Smart Secure’s return as it has slightly higher risk.
• The Portfolio’s returns were boosted by its allocation to short duration bonds via the United SGD Fund, which delivered 0.3% during the month.

Cash Smart Ultra generated the highest return amongst the cash smart portfolios in April, performing according to its risk level.

• Cash Smart Ultra delivered a return of 0.3% in April.
• All of the Portfolio’s underlying short duration bond funds saw stronger performance during the month and contributed to better portfolio performance overall.

Please note: There has been a change in the benchmark due to the discontinuation of the 3-month SIBOR. The new benchmarks feature higher returns than SIBOR, but our Cash Smart Portfolios have tended to outperform them across various periods.