Global Unconstrained

Strategy Highlights

: Best ideas, concentrated portfolio

Conviction-based security selection and asset allocation

Controlling risk through diversification at both asset class and security level
: This strategy is offered by Newton Investment Management Ltd (‘NIM’). NIM is part of the Newton Investment Management Group.

Our Philosophy and Process

: The strategy invests in a diversified range of assets, from equities and bonds to alternative assets. A constantly evolving and forward-looking approach seeks to anticipate change, manage risk, and identify opportunities.

Material ESG risks, opportunities and issues are considered as part of the investment research process.

Every time we consider a security or look at an industry or country, it’s in the context of what’s happening across the world. We believe the investment landscape is shaped over the long term by some key trends, and we use themes to help identify opportunities.

Strategy Profile

Objective: The strategy seeks to outperform a 60% global equity and 40% global government bond benchmark in excess of 2% per annum (before fees), by achieving a total return comprised of long-term capital growth and income through an unconstrained, dynamic multi-asset approach to asset allocation and security selection.
Performance benchmark: MSCI AC World (60%) and JPM Global Government Bond Index USD (40%)
Strategy inception: December 2017

Investment Team

: Our Global Unconstrained strategy is managed by an experienced team. In-house research analysts are at the core of our investment process, and our multidimensional research platform spans fundamental, thematic, ESG, quantitative, geopolitical, investigative and private-market research to promote better-informed investment decisions.

Want to find out more?

Alison El-Araby

Portfolio manager, Charities Investment team

Bhavin Shah

Portfolio manager, Mixed Assets Investment team

Paul Flood

Head of Mixed Assets Investment

Simon Nichols

Portfolio manager, Global Opportunities team

Hilary Meades

Head of Charities Investment

Janice Kim

Associate Portfolio manager, Mixed Assets team

Your capital may be at risk. The value of investments and the income from them can fall as well as rise and investors may not get back the original amount invested.

The outperformance target stated is net of fees, for indicative purposes only, and may be changed without notice. Targeted return is generally aspirational in nature, not necessarily based on criteria and assumptions, and is not a guarantee of future returns.

Newton will make investment decisions that are not based solely on ESG considerations. It is one of many inputs into the fundamental analysis. Other attributes of an investment may outweigh ESG considerations when making investment decisions. The way that material ESG considerations are assessed may vary depending on the asset class and strategy involved. As of September 2022, the research team performs ESG analysis on equity securities prior to their addition to Newton’s Research Recommended List (RRL). ESG reviews are not performed for all fixed income securities. The portfolio managers may purchase equity securities that are not included on the RRL and which do not have ESG reviews. Not all securities held by Newton’s strategies have an ESG review completed prior to investment.

Key Investment Risks

: Objective/Performance Risk: There is no guarantee that the strategy will achieve its objectives.

Currency Risk: This strategy invests in international markets which means it is exposed to changes in currency rates which could affect the value of the strategy.

Derivatives Risk: Derivatives are highly sensitive to changes in the value of the asset from which their value is derived. A small movement in the value of the underlying asset can cause a large movement in the value of the derivative. This can increase the sizes of losses and gains, causing the value of your investment to fluctuate. When using derivatives, the strategy can lose significantly more than the amount it has invested in derivatives.

Changes in Interest Rates & Inflation Risk: Investments in bonds/money market securities are affected by interest rates and inflation trends which may negatively affect the value of the strategy.

Credit Ratings and Unrated Securities Risk: Bonds with a low credit rating or unrated bonds have a greater risk of default. These investments may negatively affect the value of the strategy.

Emerging Markets Risk: Emerging Markets have additional risks due to less-developed market practices.

Investment in Smaller Companies Risk: This strategy may invest in the smaller companies. The securities of smaller companies may possess greater potential for growth, but can also involve greater risks, such as limited product lines and markets, and financial or managerial resources. Trading in these securities may be subject to more abrupt price movements and greater fluctuations in available liquidity than trading in the securities of larger companies.