Bestinvest says
No information available.
The focus of this fund is very unusual and the investment thesis is still not proven. However, this is only in the sense as a financial investment in which you can invest. The evidence of human progress and development is of course all around you. For potential investors who are unsure they should feel comforted by the fact that the fund contains some tradtional diversified metal companies and performance has not diversified significantly from the peer group. However, over time, the fund is likely to increase its investments in new materials as the fund develops.
The manager has identified four main areas in which he seeks to invest. 1) Basic Resources, 2) Innovative Materials, 3) Process Technolgies, 4)Recycling and Disposal.
Basic materials includes your traditional commodity and metals exposure whilst iInnovative materials focuses on new materials such as biotechnology, light materials such as carbon fibres, chemical and nanotechnology. Process technologies is that which helps improve the efficiency of extraction and processing both of these groups of materials.
The core belief follows what can be generally described as the 'Malthusian Problem' named after the 17th century economist who predicted mans starvation but failed to anticipate the effect that new technology would have on yield increases. How that relates to this fund is that the management feels that the increasing marginal supply of traditional materials, the forecast increased demand and environmental concerns will mean that new materials will be used in industry. This fund aims to benefit from that trend.