Bestinvest says
Manager Seung Minn has outperformed over his career but returns have been inconsistent - as a result we prefer other funds in the IMA North America sector. Therefore consider one of our recommended funds in the sector.
To achieve its aim of capital growth the fund invests in large US companies with good prospects for increasing profits and attractive price/earnings ratios (a multiple of the share price to earnings). The process starts with an investment universe of 1200-1500 stocks with a market cap greater than US$1bn. These are screened based on valuation grounds and the existence of catalysts in order to identify candidates for further research. This is undertaken on both a sector basis and using RCM's Grassroots Research, which uses street level research, such as surveys to uncover information ahead of the market. Price range analysis is then undertaken to produce upside and downside targets - typical investments have an upside of 30/40% but a downside of around 20%.