CONTRIBUTORS
Nicholas Todd
Analyst, Kepler Partners
Analyst’s View
(extract from full Kepler report)
In our view, Zehrid’s high-conviction approach offers a genuine benchmark-agnostic investment opportunity, with exposure to a group of long-term structural growth themes.
Zehrid’s commitment to these themes has meant that performance characteristics can be more volatile and can be impacted when his style is out of favour or macroeconomic conditions have been less favourable. However, the strategy has also proven to generate significant outperformance* of the peer group and indices when the tide turns.
Given the portfolio’s sensitivity to interest rates, we believe it has the potential to continue its run of form that it has seen over the last six months if rates are cut.
Given the portfolio’s sensitivity to interest rates, we believe it has the potential to continue its run of form that it has seen over the last six months if rates are cut. In the meantime, the focus on quality and valuations could provide some safety as inflation remains stickier than expected.
We would view any discount on the shares as attractive given the track record, and the current small discount to represent good value.
*Information correct as at the report's date of 20 June 2024. Please see Portfolio & Performance page for full current performance information.
This research note has been commissioned by Martin Currie Global Portfolio Trust from Kepler Partners. The research note does not constitute independent research for the purpose of legal and regulatory requirements and is therefore not subject to the regulatory protections afforded to independent research. In particular, the research note is not subject to any prohibition on dealing and both Kepler Partners and Martin Currie/Franklin Templeton, and their respective staff, may have dealt in the securities discussed in the research note.
Important information
This information is issued and approved by Franklin Templeton Investment Management Limited (FTIML). It does not constitute investment advice.
The information provided should not be considered a recommendation to purchase or sell any particular security. It should not be assumed that any of the security transactions discussed here were or will prove to be profitable. These opinions are not intended to be a forecast of future events, research, a guarantee of future results or investment advice.
Past performance is not a guide to future returns. The return may increase or decrease as a result of fluctuations in the markets, in currency and/or in the portfolio.
Market and currency movements may cause the capital value of shares, and the income from them, to fall as well as rise and you may get back less than you invested.
The analysis of Environmental, Social and Governance (ESG) factors form an important part of the investment process and helps inform investment decisions. The strategy does not necessarily target particular sustainability outcomes.
The opinions contained in this document are those of the named manager(s). They may not necessarily represent the views of other Martin Currie managers, strategies or funds.
Shares in investment trusts are traded on a stock market and the share price will fluctuate in accordance with supply and demand and may not reflect the value of underlying net asset value of the shares. The majority of charges will be deducted from the capital of the company. This will constrain capital growth of the company in order to maintain the income streams.