PDF For Roessional Clients And, in Switerland, or Ualiied ...

[Pages:4]FOR PROFESSIONAL CLIENTS AND, IN SWITZERLAND, FOR QUALIFIED INVESTORS ONLY. IN THE MIDDLE EAST, PROVIDED SOLELY FOR USE BY THE INTENDED RECIPIENT.

Walter Scott Global Leaders Strategy

Introduction to Walter Scott and Partners Limited

Established: AUM (USD, billions): Locations: Investment focus:

1983 69.6 Edinburgh Global equities

Why Walter Scott?

Proven investment philosophy: A core belief at Walter Scott, and one that has remained constant since the firm was founded in 1983, is that share prices, over the long term, reflect the internal wealth created by their underlying companies. More specifically, as a company's intrinsic value changes through growing its profits, cash flows, dividends and equity, given enough time, this should be tracked by its share price. The Research team at Walter Scott embodies this philosophy and aims to identify companies in which long-term intrinsic value growth is most reasonably valued.

Original, fundamental research-driven approach: Consistent with the firm's investment philosophy, Walter Scott is engaged in fundamental research; identifying, analysing and investing in exceptional wealth-creating businesses. This calls for diligence, scrutiny and hard work. It also calls for an entrepreneurial spirit that directs the Research team to search for innovative marketleading companies across the world. It is a search that is not constrained by industry definitions or geographical borders and limited only by the consistency of the investment criteria applied.

Collective decision-making process: Walter Scott's collegiate ethos and collective decision-making process are integral to the firm's success. The investment experience of all members of the Research team, the varying perspectives and backgrounds, is brought to bear on every investment decision. It brings together each individual's skill and judgment, ensures a disciplined approach to managing investment risk and effectively leverages the firm's stable and talented Research team. Company fundamentals drive stock selection, with portfolios built on a bottom-up, stock-by-stock basis, unconstrained by index composition.

Differentiated: At Walter Scott, such is the belief in long-term investing, that companies are purchased with the expectation of indefinite ownership. However, this requires discipline and a commitment to rigorous company analysis. Few investment managers have both the incentive and structure to invest in a select number of high conviction ideas over long periods. With a constant hand of investment stretching back thirty-five years, Walter Scott believes its long-term, original research-driven, stock selection based approach is as appropriate now as ever.

All information as at 30 September 2018, unless otherwise stated.

Long-term performance Walter Scott Global Equities USD Composite

1800 1600 1400

Walter Scott Global Equities USD Composite MSCI World (ndr)

1,567

1200

1000

800 656

600

400

200

0 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018

Source: Walter Scott, MSCI. Performance calculated as total return, income reinvested, gross of fees in USD. Fees and charges apply and can have a material impact on the performance of your investment. Walter Scott claims compliance with the Global Investment Performance Standards (GIPS). A GIPS compliant presentation is available upon request via your BNY Mellon Investment Management EMEA contact.

Walter Scott Global Leaders Strategy key facts

ASSET CLASS:

Equities

REGIONS:

Global

INVESTMENT OBJECTIVE:

Long-term capital appreciation

COMPARATIVE INDEX: MSCI World NDR Index

STRATEGY INCEPTION: 31 December 2014*

STRATEGY AUM

6.3

(USD, BILLIONS):

BASE CURRENCY:

USD

TYPICAL NUMBER OF 25-30 HOLDINGS:

LEAD PORTFOLIO MANAGER:

Team approach

AVAILABILITY:

Segregated account, pooled fund

*Inception date of model portfolio. Representative portfolio launched on 7 December 2016.

Source of assets under management data: Walter Scott and BNY Mellon Investment Management EMEA Limited.

Walter Scott Global Leaders Strategy

Walter Scott Global Leaders Strategy performance

150

Walter Scott Concentrated Global Model

Walter Scott Concentrated Global OEIC Equities USD

140

MSCI World (ndr)

130

150 147 138

120

110

100

90 Dec 14

Jun 15

Dec 15

Jun 16

Dec 16

Jun 17

Dec 17

Jun 18

Past performance is based on model data. Unlike an actual performance record, model results do not represent actual trading/returns and may not reflect the impact that material economic/market factors might have. Model results are not a reliable indicator of past performance and there are no guarantees that the performance will reflect the model.

Source: Walter Scott, MSCI and Factset. The Walter Scott Concentrated Global Model adheres to the same investment approach as Walter Scott's Global Leaders Strategy. The model currently contains 28 securities plus cash. Model performance calculated as total return, income reinvested, adjusted to reflect an annual management charge of 1.0%, in USD. Composite performance calculated as total return, income reinvested, net of annual charges (including AMC of 1.0%), in USD. Walter Scott claims compliance with the Global Investment Performance Standards (GIPS). A GIPS compliant presentation is available upon request via your BNY Mellon Investment Management EMEA contact.

Generating superior returns through investment in world-leading businesses

In line with Walter Scott's classical investment philosophy, the Global Leaders Strategy invests in a portfolio of world-leading companies capable of achieving high rates of sustainable wealth generation.

Walter Scott firmly believes the world's best companies are pioneers. They create new sources of demand, innovate relentlessly and have compelling long-term visions. They also command pricing power, generate high incremental returns on capital, maintain robust balance sheets and are operated by management teams in a consistent and sustainable fashion. These characteristics define a `Global Leader' and Walter Scott is convinced that patiently investing in a highly select and focused portfolio of these companies, with due respect to valuation, should yield excellent investment returns in time.

Strategy approach

In recognition that investment success tends to come from capitalising on a handful of big ideas, the Global Leaders Strategy is a high-conviction portfolio of world-leading companies selected by Walter Scott's Research team. The unconstrained investment approach aims to identify between 25 and 30 companies operating in global niches and where excellence resides. Stock selection is driven by company fundamentals with the aim of capturing the power of compound growth through partnering with great businesses and minimising portfolio turnover over time. Few investment managers have the discipline to do this but Walter Scott believes this investment approach gives it the best chance of achieving its objective: long-term capital appreciation.

Concentrated global equity strategy Active approach: 25-30 stocks held at similar weights Fundamental, unconstrained stock selection process Invest in companies with sustainable earnings power

Superior business models

GLOBAL LEADERS

Sustainable competitive advantage

Genuine long term perspective (i.e. low turnover) Focused on protecting and growing clients' capital

Long-term structural growth

Past performance is not a guide to future performance. The value of investments can fall. Investors may not get back the amount invested. Currency Risk: The Strategy invests in international markets which means it is exposed to changes in currency rates which could affect the value of the portfolio. Emerging Markets Risk: Emerging Markets have additional risks due to less-developed market practices.

Walter Scott Global Leaders Strategy

Walter Scott Global Equities USD Composite calendar year performance (%)

2013

2014

2015

2016

2017

Walter Scott Global Equities USD Composite (gross)

21.2

4.0

1.6

6.9

26.4

MSCI World Index (ndr)

26.7

4.9

-0.9

7.5

22.4

Source: Walter Scott, MSCI, as at 31 December 2017. Performance calculated as total return, income reinvested, gross of fees, in USD. Fees and charges apply and can have a material effect on the performance of your investment. Walter Scott claims compliance with the Global Investment Performance Standards (GIPS). A GIPS compliant presentation is available upon request via your BNY Mellon Investment Management EMEA contact.

Walter Scott Global Leaders Strategy calendar year performance (%)

Walter Scott Concentrated Global OEIC Equities USD Composite (net) Walter Scott Concentrated Global Model (net) MSCI World Index (ndr)

2015 ? 5.4

-0.9

2016 ? 4.7 7.5

2017 23.8 24.9 22.4

Past performance is based on model data. Unlike an actual performance record, model results do not represent actual trading/ returns and may not reflect the impact that material economic/market factors might have. Model results are not a reliable indicator of past performance and there are no guarantees that the performance will reflect the model.

Source: Walter Scott, MSCI and Factset as at 31 December 2017. The Walter Scott Concentrated Global Model adheres to the same investment approach as Walter Scott's Global Leaders Strategy. As at 31 December 2017, the model contained 27 securities plus cash. Model performance calculated as total return, income reinvested, adjusted to reflect an annual management charge of 1.0%, in USD. Composite performance calculated as total return, income reinvested, net of annual charges (including AMC of 1.0%), in USD. Walter Scott claims compliance with the Global Investment Performance Standards (GIPS). A GIPS compliant presentation is available upon request via your BNY Mellon Investment Management EMEA contact.

Walter Scott Global Leaders Strategy

FOR MORE INFORMATION ON THIS STRATEGY PLEASE VISIT OUR WEBSITE

For Professional Clients and, in Switzerland, for Qualified Investors only. In the Middle East, provided solely for use by the intended recipient. This is a financial promotion and is not investment advice. Investment Managers are appointed by BNY Mellon Investment Management EMEA Limited (BNYMIM EMEA) or affiliated fund operating companies to undertake portfolio management activities in relation to contracts for products and services entered into by clients with BNYMIM EMEA or the BNY Mellon funds. Any views and opinions are those of the investment manager, unless otherwise noted. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation and its subsidiaries. Walter Scott & Partners Limited is authorised and regulated by the Financial Conduct Authority. Walter Scott & Partners Limited, One Charlotte Square, Edinburgh, UK, EH2 4DR. Registered in Scotland No. 93685. The Bank of New York Mellon, DIFC Branch (the "Authorised Firm") is communicating these materials on behalf of The Bank of New York Mellon, Investment Management EMEA Limited ("BNYMIM EMEA"). BNYMIM EMEA is a wholly owned subsidiary of The Bank of New York Mellon Corporation. This material is intended for Professional Clients only and no other person should act upon it. The Authorised Firm is regulated by the Dubai Financial Services Authority and is located at Dubai International Financial Centre, The Exchange Building 5 North, Level 6, Room 601, P.O. Box 506723, Dubai, UAE. Issued in the UK and Europe (excluding Switzerland) UAE, Dubai, Jordan, Oman, Kuwait, Saudi Arabia and Bahrain by BNY Mellon Investment Management EMEA Limited, BNY Mellon Centre, 160 Queen Victoria Street, London EC4V 4LA. Registered in England No. 1118580. Authorised and regulated by the Financial Conduct Authority. Issued in Switzerland by BNY Mellon Investments Switzerland GmbH, Talacker 29, CH-8001 Z?rich, Switzerland. Authorised and regulated by the FINMA. PC00562. Exp. 14 May 2019. T7315 11/18

 ................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download