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UBS launch Global High Conviction Fund (mFund code: UAM13)

1 March 2017

UBS launch a new high conviction equity fund

The UBS Global High Conviction Fund (mFund code UAM13) is a concentrated global ex-Australia equity strategy (hedged to Australian dollars), typically holding between 30 – 45 stocks. The strategy of the Fund is to identify, via our research resources and use of proprietary systems and processes, those companies which our assessment of intrinsic value identifies as undervalued by the market. Once identified, we take ‘higher than benchmark‘ positions in these companies, reflecting our high conviction in their long term performance. Our disciplined and holistic portfolio construction process seeks to reflect our investment team‘s deep and high conviction insights, be transaction cost aware, be risk conscious and be diversified by industry & geography.

The significant benefits of investing in the Fund are:

  • Investment return: We have combined our systematic portfolio construction – diversification by industry, geography and sources of earnings – with our deep intrinsic valuation process that focuses on profitability and future cash flows, to create a Fund that aims to provide a total return consisting of capital growth and income that outperforms the MSCI World ex Australia (net dividends reinvested) (AUD Hedged) Index
  • Concentrated portfolio: The Fund applies a concentrated investment strategy which means we allocate to stocks which we have the highest conviction for outperformance. We believe that this approach provides the potential for higher returns than the fund's benchmark.
  • Research resources: UBS has a large, experienced global equity team managing over $287 billion globally, specialised in managing global equity stock portfolios. Our global research & trading teams are located in offices in Sydney, New York, Chicago, Tokyo, London, Zurich, Hong Kong and Singapore and provide a comprehensive world view through their in-depth analysis of global equity market trends and regulatory conditions.
  • Processes and systems: We have access to proprietary investment and risk management systems and processes which ordinary investors would not usually have, allowing us deeper insights at the stock level and an opportunity to maximise returns.

UBS Asset Management, a business division of UBS Group AG, is a large-scale asset manager with businesses well-diversified across regions, capabilities and distribution channels. It has invested assets of some $873 billion and is located in 22 countries at 31 December 2016. UBS Asset Management offers investment capabilities and styles across all major traditional and alternative asset classes to private clients, financial intermediaries and institutional investors around the globe. UBS Asset Management was established in Australia in 1985 and had invested assets of approximately $30 billion at 31 December 2016. UBS is a foundation member of mFund and currently offers 13 funds across equities, fixed income and multi-asset capabilities.

You can access the fund PDS here.