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Why we recommend it
Manager David Gait is an experienced investor with more than 20 years at the firm and he has led this all-cap strategy since 2005. He is part of a 14-person team that forms the Sustainable Funds Group.
The strategy employs a bottom-up, benchmark-agnostic, and long-term approach that looks for high-quality companies with sustainable and predictable businesses. There is a clear focus on management quality.
The portfolio has 30-60 stocks, bearing little resemblance to the MSCI All Country Asia Pacific ex Japan Index. A preference for franchises with durable business models, high-integrity management teams, and limited regulatory/political oversight leads to a persistent overweighting in India at the expense of China and not surprisingly often lumpy performance relative to the benchmark. There are also biases down the market-cap scale, towards the growth style and especially to quality metrics.
Overall, the experience of the manager, team support and the time-tested process are likely to make it a long-term winner.
The fund is more expensive than peers: The investment trust levies annual ongoing charges of 1.14%.
ii ACE sustainable style: Considers. This means the trust carefully considers an often wide range of ethical and/ or environmental, social and governance (ESG) issues or themes when balancing positive and negative factors.
Fund EcoMarket category: Sustainability Themed. This relates to funds that focus on sustainability related issues and opportunities as part of their investment strategy, often alongside ethical criteria. Their focus is often around longer term societal and environmental trends.
How the fund is managed: This investment trust places an emphasis on companies that are socially and environmentally efficient and can demonstrate responsible business practices. The trust invests in companies which are positioned to benefit from, and contribute to, the sustainable development of the countries in which they operate. Companies are classified into one of three sustainability sectors: sustainable goods and services, responsible finance, and required infrastructure. There is also a strong emphasis on ‘quality’ businesses that can perform well over the business cycle.
|Information and data compiled to March 2023.|
The information we provide in the ACE 40 investments list does not constitute a "personal recommendation". You should ensure that any investment decisions you make are suitable for your personal circumstances and that the ethical style of the investment reflects your personal beliefs.
Past performance of the underlying constituents is not a guarantee of future performance. Remember, the value of investments, and any income from them, can fall as well as rise so you could get back less than you invest.
Annual performance can be found on the factsheet of each fund, trust or ETF. Simply click on the asset’s name and then the performance tab.
If you are unsure about the suitability of a particular investment or think that you need a personal recommendation, you should speak to a suitably qualified financial advisor.
Any changes to the ii ACE 40 investments list and the rationale behind those decisions will be communicated through the Quarterly Investment Outlook.
Details of all recommendations issued by ii during the previous 12 month period can be found here.
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In addition, staff involved in the production of this ii ACE 40 list are subject to a personal account dealing restriction. This prevents them from placing a transaction in the specified instrument(s) for five working days before and after an investment is included or amended and made public within the list. This is to avoid personal interests conflicting with the interests of the recipients of this ii ACE 40 investments list.