Equity market volatility in June was driven by continued trade war banter. US equities were generally flat in June, while Canadian equities performed well as crude oil prices spiked higher. The AFINA actively-managed products performed well, ironically led by our US holdings. One of our core positions Signet Jewelers (SIG), which is the world’s largest retailer of diamond jewelry operating under such brands as Kay Jewelers, Zales in the US and Peoples Jewellers in Canada, reported solid earnings in early June. We sold our position in June as the stock price rallied over 30% and reached our target valuation.
Takeovers still newsworthy. One of our core positions Synaptics (SYNA), is a mobile-device component provider, with leading technology in touch displays and fingerprint sensors. On June 19, Synaptics disclosed that it is in talks to be acquired by UK-based Dialog Semiconductor. The news drove up Synaptics share price and we expect further upside. Dialog currently generates over 80% of its revenue from Apple through the sale of semiconductor chips, and it is looking to acquire Synaptics to help it diversify its technology portfolio, and revenue across Android devices as well.