Why go global?
Avoid geographic limitations to balance risk
US equities have long dominated the market but focusing on a single market poses considerable risks. Meanwhile, regionally constrained managers may be forced to invest in “global themes” through “second rate” businesses. Global equity managers, however, can look anywhere to access the most promising companies, helping to improve greater diversification and less concentration risk.
Invest where the greatest growth potential is
A global approach helps investors diversify away from overcrowded and richly valued assets, including parts of the US market where valuations have become more stretched. It also provides access to opportunities in regions and sectors where valuation multiples are more attractive. No single country has a monopoly on world leading companies. To access all the market leaders, you need to take a global approach.
Global equities favor an active approach
Geopolitical and economic uncertainties demand a balanced and nimble approach to risk management. An active approach may capitalize on this potential by adapting to changing market conditions and interest rates.
Look beyond recent winners for return opportunities
The strong run in US equities has left investors with meaningful exposure to a narrow group of mega-cap names, but leadership within the “Magnificent Seven” is becoming more differentiated and opportunities are broadening beyond them. Earnings remain supportive for equities overall, yet valuations in parts of the US market are still demanding, while a number of non-US markets and smaller companies offer more attractive starting points. For global investors, that reinforces the case for diversification, active selectivity and a focus on companies with durable, high-quality earnings.
Mitigate risk through market volatility
Geopolitical uncertainty can be the time for active to shine. With the speed of change, active approaches may be better placed to respond to evolving conditions and shifting market dynamics. Active investing looks ahead and exploits market inefficiencies to capture opportunities, while also focusing on managing downside risk.
Active management provides nimbleness in significant market shifts
Narrow market breadth and lower volatility have typically favored passive approaches. However, active approaches may be better positioned in today's complex, evolving investment environment. Active managers can apply the selectivity and discernment needed to both seize opportunities and mitigate risks as they develop.
Explore our focus strategies
Why Schroders?
Our equities platform manages over $360bn in assets*. Our 40+ global equities portfolio managers and global equities sector specialists are backed by over 100 equity analysts worldwide. We specialize in decision-making under uncertainty, ensuring that portfolios are carefully balanced to manage risk effectively. Rather than focusing on short-term market sentiment, we employ intelligent portfolio construction based on innovative and forward-looking fundamental research to deliver the best outcomes for investors. *As of December 2025.
What makes our approach different?
Proven 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 historical 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 we have a risk-adjusted return perspective when considering stock selection, as well as aiding stock position sizing in portfolios, which we believe contributes to improved downside protection and potential performance consistency.
Schroders' Global Equities Capability
In this video, our Head of Equities, Alex Tedder, talks about the way the global equities market operates and how Schroders' investment philosophy guides our response. He also discusses our team structure and investing methodologies, and what makes investing in global equities such a compelling proposition.
"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
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Past performance is no guarantee of future performance. The value of investments and the income from them can go down as well as up, and you (or your clients) might not get back what you originally invested. No investment strategy can guarantee alpha or protection against principal risk in any market environment.
For illustrative purposes only and does not constitute to any recommendations to invest in the above-mentioned security / sector / country.