This global equity fund is managed using a unique, multi-manager approach with different managers responsible for portions of the fund, independent of each other. Running the show are Carl Kawaja, Dina Perry, and Galen Hoskin. Also contributing is a team of 30 analysts who are responsible for about a quarter of the 200 or so names in the fund.
Each manager has a unique, yet complimentary investment approach, including contrarian value, growth and a more tactical, opportunistic style. Regardless of the style, the research process is strictly bottom up, fundamentally driven. It is patient and long term focused. A significant portion of the manager’s pay cheque is based on their performance over an eight year period, allowing the managers to focus on the big picture drivers of equity returns, rather than short term noise.
The sector mix and geographic allocation is the byproduct of stock selection process.
Performance has been strong. For the five years ending February 28, it gained an annualized 15.1%, outpacing much of its competition, but lagging the MSCI World Index. Volatility has been in line with the broader market.
On balance, this is a great core global equity fund for most investors. It has a very strong team behind it, a proven process, and a reasonable cost. I would expect that it will continue to be one of the better performing global equity funds over time.