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Investment options

We have only one investment strategy which is accessible to investors through either the Swell Global Fund unit trust or Swell Global Portfolio separately managed accounts.

Capital preservation through risk control

As value investors, we emphasise capital preservation, that is, safeguarding our clients’ investments. This means we acquire each stock at a discount to its conservatively estimated intrinsic value, which is the fundamental premise behind value investing. Our process acknowledges the dichotomy between risk and reward and accordingly we prefer a more certain 12% return against … Continued

Concentrated quality

We adopt a concentrated approach to portfolio construction, holding a maximum of 20 stocks and allocating meaningful weights to each holding. When our investment process and our search for quality yield results we make a substantial investment.

Alignment of interest with investors

We believe it is important to invest alongside our clients, regarding them as partners. This is a distinguishing feature of our business. We have adopted the CFA Institute Code of Ethics and Standards of Professional Conduct which is considered the benchmark for investment professionals around the globe.

Rational unbiased analysis

We do not subscribe to or use any investment broker research or pay commissions to any investment brokers.  Our independence ensures we remain free from bias and not pressured by stakeholders driving short term business outcomes that may not be in the best long term interest of our clients.

Long term orientation

We spend many months researching a business before we invest, so when we commit to it we know the company well and we’re confident in its prospects for long term growth. The scope of our research enables us to find and value opportunities the market regularly overlooks and that gives us an edge over other … Continued

Quality

Quality means different things to different people, but to us it means exceptionally managed companies with a clearly articulated strategy for creating shareholder value over the long term. We look for companies exhibiting a sustainable competitive advantage that can be perpetuated through time, as they are likely to carry substantially less risk than the overall … Continued

Value

Swell is a value investor, but unlike traditional value managers we do not focus exclusively on low price to earnings or low price to book metrics. Our approach to value investing emphasises the acquisition of companies at discounts to their conservatively estimated intrinsic value. When considering an investment, we want the potential for a positive … Continued

Conviction

We adopt a concentrated approach to portfolio construction, allocating meaningful weights to each holding. When our investment process and our search for quality yield results we make a substantial investment.

Horizon

We believe price efficiency declines as the investment horizon lengthens. To exploit this inefficiency, we seek investments in high quality businesses that can be held for more than five years.