This was a brief update to the strategy, which is a pure long only fund. The manager also runs a long / short strategy which provides additional insight to the types of stocks he wishes to hold. The fund is looking to pay a fair price for sustainable long-term businesses. They believe technology is at the core of many of these businesses and it is this that delivers profitable and sustainable disruptive growth.
They are open minded and are therefore sector agnostic. They look to invest as business owners and look to understand businesses intimately. This is an actively managed portfolio and invests across themes like transportation, healthcare, fintech and consumer internet. They see enablers as important and this includes hyper-automation, automation of knowledge, next generation disruption and digital 4.0.
Digital 4.0 is important as this is about the connectivity of everything and covers areas like AI, cybersecurity etc. Where Facebook and Google have been winners over the last ten years, they are unlikely to be in the future. Digital advertising went from zero to over 50% and has reached a level of maturity which means these companies can’t grow at the same pace. So, they are looking for those companies that are in the same place as Google and Facebook ten years ago. An example would be identifying those companies at the forefront of digital advertising within apps….read more