Bestinvest says
A focussed stock picking fund that invests in large cap growth stocks with some exposure to mid cap companies. The manager prefers individual stock selection over sectors and uses the in-house Dynamic Stock Matrix. The resulting portfolio has large cap famous names that shareholders should be familiar with. These tend to have well known global brands with market leading positions and understandable growth projections. The manager's growth style seems to be out of favour with the market in a post Lehman's America though performance is in-line with its peer funds, it is underperforming the S&P500 index.
The aim is to produce capital growth by investing in a diverse number of industry sectors in the US and Canada. Around 1300 companies in the MSCI North American Index are screened by the in-house Dynamic Stock Matrix which aims to identify mis-priced stocks with improving fundamentals. The stock selection process is then overlain with views on economic and industry trends. The approach is long term, identifying world class growth companies and as such the majority of the portfolio is invested in large capitalisation stocks. Companies are preferred if they are financially strong, are good value on a low price multiple, are growing faster than the market and have positive change characteristics such as rising earnings expectations.