Cunningham explains that Capital Group’s signature approach is bottom-up investing, based on fundamental, on-the-ground research. A unique ingredient in the process is that investment analysts not only provide investment ideas to portfolio managers, but are able to act on the courage of their convictions and invest. This distinctive investment process encourages analysts to think like investors, helps investment teams communicate more clearly and means more diverse ideas are represented in client portfolios.
The Capital SystemSM is at the heart of enabling individual investment professionals to act on their highest convictions. It places more value in the strength of teams with diverse styles and perspectives than in individual “star” managers, who make investment decisions in isolation. Analysts collaborate and share their views, which helps provide a deeper perspective.
Capital Group’s fixed income team is made up of more than 170 investment professionals. The analysts within the team are formally joined to the equity part of the business. Capital Group has significant equity assets under management, giving both fixed income and equity analysts access to the senior management of global organisations.
Cunningham argues that Capital Group’s fixed income investment offering is well geared to provide investors what they need to have a broad exposure to the fixed income market.
