Global Frontiers Strategy
INSTITUTIONAL
INVESTMENT OBJECTIVE:
The Coronation Global Frontiers Strategy aims to maximise the long-term risk-adjusted returns from investments across global frontier markets through capital growth of the underlying stocks selected. It is a flexible portfolio primarily invested in listed equities. The Strategy may hold cash and interest bearing assets where appropriate.
Coronation is a long-term, valuation-driven investment house, focused on bottom-up stock picking. Our aim is to identify mispriced assets trading at discounts to their long-term business value (fair value) through extensive proprietary research. In calculating fair values, through our fundamental research, we focus on through-the-cycle normalised earnings and/or free cash flows using a long-term time horizon. The Portfolio is constructed on a cleanslate basis based on the relative risk-adjusted upside to fair value of each underlying security. The Portfolio is constructed with no reference to a benchmark. We do not equate risk with tracking error, or divergence from a benchmark, but rather with a permanent loss of capital.
*Secured Overnight Financing Rate (SOFRINDX Index) from 01 December 2021. Previously ICE LIBOR USD 3 Month (US0003M Index)
The above graph is provided for illustrative purposes only. It reflects composite performance of the strategy and is gross of fees.
STRATEGY RETURNS GROSS OF FEES | |||
---|---|---|---|
STRATEGY | BENCHMARK* | OUTPERFORMANCE | |
Since Launch (unannualised) | 49.2% | 21.5% | 27.7% |
Since Launch (annualised) | 4.1% | 2.0% | 2.1% |
Latest 10 years (annualised) | 4.1% | 2.0% | 2.1% |
Latest 5 years (annualised) | 5.9% | 2.5% | 3.4% |
Latest 1 year | 8.8% | 5.4% | 3.4% |
Year to date | 5.1% | 5.0% | 0.1% |
Month | (0.7)% | 0.4% | (1.1)% |
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Coronation Asset Management (Pty) Limited, Coronation Investment Management International (Pty) Limited, Coronation Alternative Investment Managers (Pty) Limited (regulated by the Financial Sector Conduct Authority of South Africa) or one of its affiliated entities (together “Coronation”) is the investment manager to the Funds. The Material is for information only and does not constitute or form part of any offer to issue or sell, or any solicitation of any offer to subscribe for or purchase an investment in the Funds, nor shall it or the fact of its distribution form the basis of, or be relied upon in connection with, any contract for investment in the Funds. Any such offer shall only be made pursuant to the offering material regarding the Funds. The Funds are subject to management, administration and performance fees. Past performance is not necessarily a guide to future performance. Investors may not receive back the full amount invested and may suffer capital loss. Investments in the Funds may not be readily realisable. Opinions expressed in this document may be changed without notice at any time after publication. Nothing in this document shall constitute advice on the merits of buying and selling an investment. All income, capital gains and other tax liabilities that may arise as a result of participating in this investment structure, remain that of the investor.
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