Our investment philosophy and approach
Our dedicated team of SRI (socially responsible investment) analysts considers each of our investments on the basis of their ethical credentials and long-term return potential. We employ both positive and negative ethical screens – looking to invest in companies that help provide some of the necessities of life such as water, health and education or which have a positive impact on the environment and have robust corporate governance structures. We believe that responsibly managed companies that use fair practices and sustainable business models are more likely to outperform over the long-term.*
We pride ourselves on our independent thought and analysis, and are not afraid to adopt positions which do not conform to conventional thinking
We give our fund managers the flexibility and responsibility to implement investment strategies that best match the needs of our investors
We make investment decisions for the long-term, strongly believing that frequent trading increases costs and lowers total returns
Finally, our investment process places a strong emphasis on portfolio diversification at all levels, including geographical, sector, size and theme.
We look for businesses that are out of favour but intrinsically sound, and where a change in circumstance or economic conditions will bring about a recovery both in company fundamentals and improved investor sentiment, thus leading to superior returns
Our objective is to buy cheaply into businesses that can demonstrate an identifiable and sustainable competitive advantage. Such companies tend to have a straightforward business model and generate positive free cash flow from their operations. We avoid any form of creative accounting and over-indebtedness
We take a long-term view and make investments on this basis. However, circumstances do change and we keep all of our investments under review to ensure they continue to deliver against the Fund’s objectives.
* The value of investments and the income derived from them may fall as well as rise and you may not receive the original amount invested.