We believe that we can achieve excess returns on a three-year rolling basis through style analysis and stock selection. Maintaining an array of securities—typically more than 50 stocks at all times—we believe can provide the diversity that can help manage risk.
The U.K. Dynamic strategy adopts an active approach to stock picking, rigorous fundamental analysis and a desire to exploit inefficiencies in the U.K. stock market to help identify the most attractive style investing opportunities. This helps to enable us to select stocks that are suitable at all points of the economic cycle and therefore maintain a high level of consistency.
Although we are always benchmark aware, we are not limited to or constrained by being benchmark focused. Stocks are selected on their fundamental merits rather than with a mandate with specific benchmark weightings.