Macquarie Professional Series
Enabling local access to global specialists
The Walter Scott Global Equity Fund is proudly brought to you by Macquarie Professional Series. We search the world to uncover differentiated investment solutions, enabling local investors to access strategies from world-class fund managers. We leverage our insights into the local investment landscape, seeking to anticipate investment needs and identify relevant opportunities currently overlooked in the market.
A focus on quality growth
Seeking quality global companies with strong growth characteristics
Long-term investment approach
In-depth research carried out by an experienced team
Strong long-term performance record
Strategy has been historically defensive during down markets
Walter Scott scours global markets to find what they believe are the world’s best companies, capable of generating sustained wealth over the long term. As fundamental, bottom-up stock pickers, Walter Scott focuses on companies that are profitable, have a sound ability to generate cash, have strong balance sheets, and robust governance structures. Their approach is focused on the need to generate real returns over the long term.
Potential for long-term wealth creation
- Walter Scott seeks to create wealth through the long-term ownership of quality companies.
- The Fund has a strong long-term performance track record, with lower risk than the benchmark.
- The investment process has historically delivered most, but not all, of the upside in strongly rising markets, while avoiding much of the downside in sharply falling markets.*
Exposure to high-quality businesses with strong growth characteristics
- Walter Scott searches the globe for companies it believes are profitable, have a sound ability to generate cash, have strong balance sheets, and robust governance structures.
These characteristics tend to shine out during tougher market conditions.
Benchmark-unaware portfolio, with a long-term focus
- Walter Scott takes an unconstrained approach to investing.
- This allows the investment team freedom to build a diversified portfolio of stocks spanning a range of geographies and sectors.
- Wealth is created through the long-term ownership of companies rather than short-term trading.
Leading in-house research
- Original research is at the heart of Walter Scott’s investment process.
- Combined with detailed financial analysis, the investment team, based in Edinburgh, Scotland, travel extensively to meet directly with company management, and gain on-the-ground insight to form a first-hand view of a company’s potential for long-term success.
Access to the knowledge and investment expertise of Walter Scott
- Walter Scott has applied their brand of conservative growth investing consistently for 40 years.
- The investment experience of all 20-plus members of the research team is called on for every investment decision.
* Past performance is not an indication of future performance.
Walter Scott builds and manages its portfolios from the bottom up.
The Fund is actively managed using a benchmark-unaware, fundamental, bottom-up and research-driven approach to build a portfolio of strong growth companies capable of generating wealth over the long term.
The investment approach combines detailed financial analysis with business and management analysis.
There are seven particular areas of investigation to assess the long-term potential of a company, as shown. This includes fundamental issues such as how the company can maintain its competitive advantage, control its destiny and exploit growth opportunities, along with its financial health, competency of management, sustainability of the business franchise and valuation.
The investment experience of all 20-plus members of the research team is called on for every investment decision. A new idea must achieve unanimous support prior to inclusion, while a sell decision requires only one well-researched dissenting argument.
Collective decision making is integral to Walter Scott’s investment approach. Every portfolio is managed by bringing together the skill and judgement of the 20-plus members in the research team.
For more information on our equity capabilities
Risks
All investments carry risk. Different investments carry different levels of risk, depending on the investment strategy and the underlying investments. Generally, the higher the potential return of an investment, the greater the risk (including the potential for loss and unit price variability over the short term).
Investment risk: The Strategy has exposure to share markets. The risk of an investment in the Strategy is higher than an investment in a typical bank account or fixed income investment. Amounts distributed to unitholders may fluctuate, as may the Strategy’s unit price, by material amounts over short periods.
Market risk: The investments that the Strategy has exposure to are likely to have a broad correlation with share markets in general. Share markets can be volatile and have the potential to fall by large amounts over short periods of time. Poor performance or losses in domestic and/or global share markets are likely to negatively impact the overall performance of the Strategy.
International and emerging market risk: The Strategy has exposure to a range of international economies, including emerging economies. Global and country specific macroeconomic factors may impact the investments that the Strategy has exposure to. Governments may intervene in markets, industries, and companies; may alter tax and legal regimes; and may act to prevent or limit the repatriation of foreign capital. Emerging markets may experience lower liquidity (including as a result of securities or bond markets being closed for extended periods), potential for political unrest leading to recession or war, greater potential for sanctions to be imposed on the country or its citizens, companies or institutions, increased likelihood of sovereign intervention (including default and currency intervention), currency volatility, and increased legal risk.
Concentration risk: The Fund may have exposure to a small number of key investments. This may result in the returns of the Fund being dependent on the returns of individual companies and industry sectors which may increase the volatility of the Fund’s unit price, and increase the risk of poor performance.
Important information: The Walter Scott Global Equity Fund is designed for investors who are seeking capital growth, are intending to use the Fund as a satellite within a portfolio, have a medium to long-term investment timeframe, have a high or very high risk/return profile and require the ability to have daily access to capital. Please review the Target Market Determination for the relevant Fund available at macquarieim.com/TMD and consider if the Fund may be suitable for you.
Macquarie Investment Management Australia Limited (ABN 55 092 552 611 AFSL 238321) the issuer and responsible entity of the Fund. In deciding whether to acquire or continue to hold an investment in the Fund, an investor should consider the Fund’s product disclosure statement. The product disclosure statement is available on our website at macquarieim.com/pds or by contacting Macquarie Investment Management on 1800 814 523. This information is intended for recipients in Australia only.