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Global equities

Beyond market cycles. Beyond the expected.

We believe that equities represent an opportunity for investors to participate in the significant long-term wealth created by individual corporations globally.

In a crowded marketplace, RLAM’s global equity team provides a unique approach for investors looking for a differentiated, proven and repeatable long-term approach to this important asset class.

Why RLAM for global equities?

  • Differentiated: an approach built on proprietary technology and analysis – including our Corporate Life Cycle concept
  • Proven: strong performance over the past two decades, through a range of market conditions
  • Repeatable: a clearly defined, iterative process, based on exploiting slow-moving market inefficiencies

Our approach

We believe that business fundamentals are the long-term drivers of stock prices. However, we recognise that different fundamentals matter at different points of a company’s life, and that these are often unappreciated or misunderstood by the market.

Our approach therefore aims to identify and exploit these inefficiencies, identifying stocks that we believe have superior shareholder wealth creation potential, at attractive prices.

We use custom tools, technology and data to identify neglected opportunities and manage the complexity of global equity markets. We use this data within a proprietary framework to help drive our analysis, with our Corporate Life Cycle concept sitting at the heart of this.

Image depicts global equity corporate life cycle concept

We consider that corporate returns on productive capital and growth tend to progress along a Life Cycle and every company can be located economically in one of five Life Cycle categories, from early stage accelerators and growth compounders to more mature returners and turnarounds.

The five categories of the Life Cycle are illustrated above, with each one dictating the path of analysis in our investment process.

Importantly, while wealth creation can occur across the entire Corporate Life Cycle, the drivers of success are very different depending on what stage of the Life Cycle the company is in.

The team

In January 2017 Peter Rutter, William Kenney and James Clarke joined from Waverton Investment Management and are the founding members of RLAM’s Global Equity Team. The team brought with them this unique approach, refined and proven over more than 20 years.

Today the team is made up of 10 people, with our three senior fund managers backed up by three fund managers and four analysts. The team can draw on the support and input of RLAM’s expert teams across equities and fixed income, as well as our Responsible Investment team.

James Clarke
Senior Fund Manager

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Christopher Parr
Fund Manager

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Peter Rutter
Head of Equities 

Photograph of Peter Rutter

Will Kenney
Senior Fund Manager

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A diverse fund range

The team's expertise is available across a range of pooled and segregated strategies.

RL Global Equity Income Fund

The Fund aims to achieve total return through a combination of income and capital growth over the medium term, which should be considered as a period of 3-5 years. The fund invests on a global basis through a portfolio diversified by Life Cycle, sector and region, which typically has 60-80 holdings. The Fund’s performance target is to outperform the MSCI All Countries World Net Total Return Index GBP (the "Index") by 2% p.a. over rolling 3-year periods. In addition, the Fund aims to produce an income 20% higher p.a. than that of the Index, also over rolling 3-year periods.

 

RL Global Equity Diversified Fund

The fund aims for modest outperformance of the MSCI World Net Total Return Index through a portfolio diversified by country, sector and position within the Life Cycle. Investing in currently undervalued companies that the manager believes can create wealth for shareholders, the fund typically has 175 to 225 holdings. The fund maintains a low tracking error of 1 to 2%, providing investors with a lower level of risk compared to global funds with greater concentration and/or a higher tracking error.

RL Global Equity Select Fund

The fund aims to outperform the MSCI World Net Total Return Index by 2.5% over three year rolling periods by investing in currently undervalued stocks which offer the potential to create wealth for investors. Unconstrained in approach, the fund gives no consideration to the composition of the Index in the construction of the portfolio which, having typically 25 to 45 holdings, is concentrated in nature. Despite this stock level concentration, the team seeks diversification across the Life Cycle.

 

Further reading and fund information