Close
Leave Feedback
Welcome to the new btim.com.auTake a two minute tour to see what we've changed
Hi there! Welcome to the new look Pendal website... Take a two minute tour to see what we’ve changed.
Mainstream Online Web Portal
LoginInvestors can view their accounts online via a secure web portal. After registering, you can access your account balances, periodical statements, tax statements, transaction histories and distribution statements / details.
Advisers will also have access to view their clients’ accounts online via the secure web portal.
Global equities: Look to exporters in UK, Europe and Japan for opportunities
It’s back to the future for investors with 2023 looking like a “normal financial crisis”, says Chris Lees, co-manager of Pendal Global Select Fund
- Opportunities in technology and consumer staples
- Exporters in UK, Europe and Japan are favoured
- Find out about Pendal Global Select Fund.
IT’S back to the future for investors with 2023 looking like a “normal financial crisis”, says Chris Lees, co-manager of Pendal’s Global Select Fund.
“The classic 60/40 asset allocation model is working again,” says Lees in a recent quarterly webinar.
Scroll down to watch the full presentation.
Inflation remains the big unknown — specifically whether we’re facing a 1970s-style scenario when rates rose and then were cut too early, triggering a second round of price rises.
Or a 1980s-type scenario where rates stayed higher for longer and inflation was killed off.
Or should investors expect an injection of liquidity – the so-called ‘Greenspan put’ – if markets fall sharply?
Lees and fellow co-manager Nudgem Richyal have not bought any western banks for the fund in about 15 years. “The banks are not as cheap, and not as safe, as many investors and depositors think.”
“We don’t find them particularly attractive at 0.5 to 1.5 times book [value],” Lees said.
“We do however own as couple of emerging market banks which are very profitable, with 300-to-500 basis points of net interest margin spreads. They are growth stocks in emerging markets.”
“We still think the short-term risk to interest rates is still probably on the upside, and the short-term risk to earnings is probably on the downside,” Lees says.
“The investment environment is clearly changing from last year’s inflation and interest rate shock to this year’s banking shock,” he says.
This means sectors such as financials and energy have deteriorated, from an investor’s viewpoint. Technology and consumer staples have improved, he says
Pendal Global
Select Fund
Something very
different in
global equities
“At the regional level, we’ve seen the UK, Europe and Japan improve at the margin, and specifically the exporters in those markets,” Lees says.
“And that’s the type of stock that we’ll be looking to add to the portfolio next – some world class champions in the UK, Europe and Japanese technology or consumer staples sectors.”
About Chris Lees and Nudgem Richyal
Chris Lees co-manages Pendal Global Select Fund with Nudgem Richyal. The pair have been working together in global equities investing for more than 20 years.
Chris has more than 32 years of investment industry experience. He joined Pendal Group’s UK-based asset manager J O Hambro Capital Management (JOHCM) in 2008 after spending 19 years at Baring Asset Management, ultimately as head of its global sector team.
About Pendal Global Select Fund
Pendal Global Select Fund is a global equities portfolio with a distinctive, yet proven approach.
Fund managers Chris Lees and Nudgem Richyal have worked closely together for more than 20 years.
They manage a portfolio of 30-60 stocks using quantitative analysis and fundamental research based on decades of experience.
The team draws on the expertise of 40-plus investment professionals at JOHCM and Regnan.
This information has been prepared by Pendal Fund Services Limited (PFSL) ABN 13 161 249 332, AFSL No 431426 and is current at April 26, 2023. PFSL is the responsible entity and issuer of units in the Pendal Global Select Fund (Fund) ARSN: 651 789 678. A product disclosure statement (PDS) is available for the Fund and can be obtained by calling 1300 346 821 or visiting www.pendalgroup.com. The Target Market Determination (TMD) for the Fund is available at www.pendalgroup.com/ddo. You should obtain and consider the PDS and the TMD before deciding whether to acquire, continue to hold or dispose of units in the Fund. An investment in the Fund or any of the funds referred to in this web page is subject to investment risk, including possible delays in repayment of withdrawal proceeds and loss of income and principal invested. This information is for general purposes only, should not be considered as a comprehensive statement on any matter and should not be relied upon as such. It has been prepared without taking into account any recipient’s personal objectives, financial situation or needs. Because of this, recipients should, before acting on this information, consider its appropriateness having regard to their individual objectives, financial situation and needs. This information is not to be regarded as a securities recommendation. The information may contain material provided by third parties, is given in good faith and has been derived from sources believed to be accurate as at its issue date. While such material is published with necessary permission, and while all reasonable care has been taken to ensure that the information is complete and correct, to the maximum extent permitted by law neither PFSL nor any company in the Pendal group accepts any responsibility or liability for the accuracy or completeness of this information. Performance figures are calculated in accordance with the Financial Services Council (FSC) standards. Performance data (post-fee) assumes reinvestment of distributions and is calculated using exit prices, net of management costs. Performance data (pre-fee) is calculated by adding back management costs to the post-fee performance. Past performance is not a reliable indicator of future performance. Any projections are predictive only and should not be relied upon when making an investment decision or recommendation. Whilst we have used every effort to ensure that the assumptions on which the projections are based are reasonable, the projections may be based on incorrect assumptions or may not take into account known or unknown risks and uncertainties. The actual results may differ materially from these projections. For more information, please call Customer Relations on 1300 346 821 8:00am to 6:00pm (Sydney time) or visit our website www.pendalgroup.com * The Zenith Investment Partners (ABN 27 103 132 672, AFS Licence 226872) (“Zenith”) rating (assigned ) referred to in this document is limited to “General Advice” (s766B Corporations Act 2001) for Wholesale clients only. This advice has been prepared without taking into account the objectives, financial situation or needs of any individual and is subject to change at any time without prior notice. It is not a specific recommendation to purchase, sell or hold the relevant product(s). Investors should seek independent financial advice before making an investment decision and should consider the appropriateness of this advice in light of their own objectives, financial situation and needs. Investors should obtain a copy of and consider the PDS or offer document before making any decision and refer to the full Zenith Product Assessment available on the Zenith website. Past performance is not an indication of future performance. Zenith usually charges the product issuer, fund manager or related party to conduct Product Assessments. Full details regarding Zenith’s methodology, ratings definitions and regulatory compliance are available on our Product Assessments and at http://www.zenithpartners. com.au/RegulatoryGuidelines
Keep updated
Sign up to receive the latest news and views