A new era for equity investing
The investment landscape is changing- it's time to rethink the global equity opportunityGlobal equities
In an era of higher interest rates, achieving success seems more likely with nimble equity strategies with a global scope that are adaptable to a changeable interest rate environment. Strategies focused not just on growth but also on its price are well placed to reap this era’s opportunities.
Schroder ISF Global Equity is a diversified portfolio of 80-140 stocks that offers exposure to cutting-edge innovation and change in a highly disciplined and structured way. We aim to pursue balanced, risk-adjusted returns while harnessing some of the most exciting trends in global equity markets. Visit fund centre
Schroder ISF Global Equity Alpha is a fund with 40- 60 carefully selected stocks that invests in companies with cutting-edge innovation and change. The fund aims to achieve higher returns by focusing on these exciting trends globally, while also managing the associated risks effectively. Visit fund centre
*Schroder International Selection Fund is referred to as Schroder ISF throughout this page.
Measured exhilaration
In a rapidly changing world, Schroders’ global equity growth strategies offer exposure to cutting-edge innovation - but in a highly disciplined and structured way. Schroders' Global and Thematic Equities team aim to deliver consistent long-term returns by investing in stocks that have strong growth expectations, which have yet to be recognised by global markets - growth at the right price.
Disciplined disruption
Harvesting the“growth gap”: We believe that an earnings-growth gap can materialise in stocks due to differences between a company’s fundamentals and market estimates, caused by three persistent inefficiencies:
- Markets over-reacting to short-term newsflow
- Markets’ over-rely on historical earnings growth, failing to identify the catalysts that change a company’s growth trajectory
- Markets fail to look far enough ahead when appraising a company’s earnings power.
What makes our approach different?
Proven investment and successful investment philosophy
We believe there is a strong positive relationship between earnings surprise and share price performance. Market participants consistently fail to correctly model companies delivering persistent long-term earnings growth. These observations are demonstrated through time, presenting a persistent source of alpha, if applied systematically. This holds true irrespective of the market environment.
Style-agnostic, blended, investment approach
A philosophy that stocks that deliver a positive surprise in revenues, cash flows and ultimately earnings are likely to perform well over time, irrespective of the market environment. This is an all-weather strategy, harnessing proven drivers of outperformance.
Proprietary fundamental risk framework
Our proprietary framework delivers a forward-looking and dynamic assessment of stock risk based on quantitative and qualitative aspects. This ensures a risk-adjusted return perspective when considering stock selection, as well as aiding stock position sizing in portfolios, which contributes to improved downside protection and potential performance consistency.
"Our approach seeks to exploit market inefficiencies, by investing in companies with strong financial dynamics that are expected to positively surprise the market."
CIO Equities