Our philosophy and process
- The strategy is conviction-based, with no regional, sector or performance reference constraints. A constantly evolving and forward-looking approach seeks to anticipate change, manage risk, and identify opportunities.
- The strategy has a simple structure, with a stable core of predominantly traditional return-seeking assets, and a layer of risk-offsetting positions which aim to dampen volatility and preserve capital.
- Environmental, social and governance (ESG) considerations are integrated throughout the research process to ensure that any material issues are captured.
Smart revolution
Machines and networks are becoming more intelligent. This is disrupting the labour market, as machines increasingly replace humans in the workplace. ‘Smart revolution’ considers the implications commercially, socially and politically.
State intervention
Authorities have engaged in ever-greater policy intervention and regulation to shore up economic growth. We believe ‘state intervention’ has increased misallocation of capital, caused volatility in markets and inflated asset prices – and we think that calls for a stock-specific approach.
Financialisation
Cheap money has caused rapid growth in a sector already supported by deregulation. ‘Financialisation’ investigates the implications of finance dominating economic activity, instead of serving it.
Investment team
Our Real Return strategy is managed by an experienced team with a wide range of backgrounds. Our global sector analysts and investment managers are located on a single floor in London, which helps to ensure that the investment process is flexible and opportunistic. Guided by our global investment themes, the team works together to identify opportunities and risks through research and debate.
- 19
- years’ average investment experience
- 13
- years’ average time at Newton
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Suzanne Hutchins
Portfolio manager, Real Return team
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Aron Pataki
Portfolio manager, Real Return team
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Andy Warwick
Portfolio manager, Real Return team
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Lars Middleton
Portfolio manager, Real Return team
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Philip Shucksmith
Portfolio manager, Real Return team
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Matt Brown
Portfolio manager, Real Return team
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Brendan Mulhern
Global strategist, Real Return team
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Catherine Doyle
Investment specialist
Strategy profile
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Objective
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The strategy has an absolute-return style performance aim, while seeking to preserve capital, through security selection, diversification and simple hedging strategies
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Performance benchmark
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The strategy aims to deliver a minimum return of SONIA (30-day compounded) +4% per annum over 5 years before fees.* In doing so, the strategy aims to achieve a positive return on a rolling 3-year basis. However, a positive return is not guaranteed and a capital loss may occur.
* Please note that on 1 October 2021, the performance benchmark for this strategy changed from 1-month GBP LIBOR +4% to SONIA (30-day compounded) +4%. -
Literature
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Application form
Key Investor Information Document (KIID)
Prospectus