Global Equity Endurance Fund

Our approach

We look to gain an investment edge that is analytical and behavioural in nature. Being long term in outlook, concentrated and fundamentally driven allows us to ask the right questions.

We invest in what we consider to be the best businesses regardless of sector or geography, with high-conviction ideas driven by bottom-up stock selection and fundamental analysis. As a result of allocating risk budget to our highest-conviction ideas, we tend to exhibit low correlations with other global equity strategies.

We actively seek to minimise downside risk through our cashflow focus, deep understanding of ESG* factors and active engagement with companies to promote higher and consistent long-term returns. This is typically reflected in an attractive capture ratio – aiming to match the market on the way up, but significantly outperform it on the way down.

Potential benefits

Our approach focuses on the following distinctive characteristics that can generate attractive, resilient total returns over the long term:

Predictability

A focus on predictable free cashflow compounding and sustained competitive advantages.

Protection

We aim to protect capital through a deep understanding of ESG,* balance sheet and valuation characteristics.

Upside

A high-conviction portfolio of companies we believe can grow at scale through market leadership and network effects.

*The investment manager always applies the Firm’s Baseline Exclusions Policy and any specific constraints within a prospectus or IMA, but any other ESG factors or risk considerations are adopted at the manager’s discretion.

Five principles for performance persistence

Barney Goodchild, Francois De Bruin and Richard Saldanha set out the thought process behind our Global Equity Endurance strategy.

Supercharge me: The power of network effects

Network effects can boost a company’s growth and build durability – when combined with other strengths, argues Francois de Bruin.
Theory of reflexivity: How share prices can influence companies’ intrinsic value

When markets fall, equity investors should become more constructive on the prospects for future returns. However, as prices fall, intrinsic value may be influenced. Discerning which factors drive this could help investors capitalise and avoid getting caught in value traps.

Key risks of global endurance funds

For further information on the risks and risk profiles of our funds, please refer to the relevant KIID and Prospectus.

The value of an investment and any income from it can go down as well as up and can fluctuate in response to changes in currency and exchange rates. Investors may not get back the original amount invested.

Emerging markets risk

The fund invests in emerging markets; these markets may be volatile and carry higher risk than developed markets.

Derivatives risk

The fund uses derivatives; these can be complex and highly volatile. Derivatives may not perform as expected, which means the fund may suffer significant losses.

Illiquid securities risk

Certain assets held in the fund could, by nature, be hard to value or to sell at a desired time or at a price considered to be fair (especially in large quantities), and as a result their prices could be very volatile.

Concentration risk

The fund invests in a small portfolio of securities. Losses from a single investment may be more detrimental to the overall fund performance than if a larger number of investments were made.

Investment risk & Currency risk