Finding successful opportunities in today’s investment environment requires an investment manager to take a truly distinctive approach; a manager with a global perspective to its research and a vision to take advantage of opportunities generated by the changing nature of global markets. At Capital Group, this is exactly the approach we have taken in the US with our New Perspective strategy, which we will be making available to European and Asian investors for the first time on 30 October 2015 via a Luxembourg-domiciled fund (UCITS). The New Perspective Luxembourg-domiciled fund will follow the same unconstrained, global investment approach as the US strategy, which has produced a track record of superior, consistent results for more than 40 years.
Capital Group is one of the world’s largest and most experienced active investment management firms, with US$1.4 trillion of assets under management1. Back in the 1970s, we were one of the forerunners in recognising the world was becoming increasingly interconnected, with businesses evolving and operating with fewer trade barriers. For the past 40 years, our New Perspective strategy has focussed on investing in companies that have benefitted from opportunities generated by changes in global trade patterns, economic and political relationships.
Managed by a team of portfolio managers with an average tenure of 22 years’ investment experience at Capital Group, and supported by a global research team, the strategy has weathered many different market conditions. Since launch in March 1973, it has returned 13.3%2 per annum versus 8.5% per annum for the index (MSCI ACWI)3 while protecting on the downside 100% of the time on a rolling three-year basis4. This has been achieved through applying our distinctive management system, The Capital SystemSM, and having a benchmark-agnostic, unconstrained approach combined with a multinational focus.
Key to all Capital Group’s strategies is on-the-ground research. The New Perspective strategy seeks blue-chip-quality companies that are well positioned to take advantage of global secular trends and develop into leading multinationals. These companies typically have the added experience of working in multiple currencies, regulatory and political regimes and economies. We believe that as companies successfully grow beyond their home markets, they often possess diversified profit streams, innovative management teams and solid balance sheets, which could help them prosper in healthy environments while protecting them from domestic downturns.
The New Perspective portfolio is built from the bottom up, security-by-security, based on extensive integrated research. It is divided into segments that are managed independently by investment professionals with diverse backgrounds, experience and investment approaches.
This is all brought together through The Capital SystemSM, which underpins all our strategies. It is designed to enable individual investment professionals to act on their highest convictions, while limiting the risk associated with isolated decision-making. Capital Group has a multi-layered governance structure to ensure that the system operates effectively.
