WCM Investment Management has a new offering in the market incorporating an investment process that focuses on corporate culture, which the firm said will suit SMSF investors.
The WCM Quality Global Growth Fund (ETMF) is an active global equities exchange-traded managed fund by Contango Asset Management via its interest in Switzer Asset Management.
The ETMF has received over $10 million in allocations in its first 10 days of being open to local retail investors. The initial offer closes on 22 August and it will be launched the following week.
WCM co-chief executive and portfolio manager Paul Black said the firm’s investment approach comes from its ability to identify companies that can demonstrate a competitive advantage over peers, including corporate culture.
“Culture is difficult to measure, given its qualitative rather than quantitative nature. It is for this reason that culture often gets overlooked in the investment process. We put a lot of emphasis on understanding the corporate culture of our holdings,” Black said.
According to Black, WCM has an analyst dedicated to analysing the cultures of companies in which it invests and has developed a proprietary methodology for assessing this subjective element of an investment.
Contango Asset Management chief executive Marty Switzer said SMSF trustees’ focus on earning franking credits through domestic stocks leaves them underweight in global equities and the WCM fund has the ability to provide them with an avenue for greater diversification through international market allocations.”
Switzer added: “WCM’s flagship global equity portfolio has consistently outperformed the MSCI World Index over the past decade, with total firm assets under management growing to over $35 billion.
“The portfolio, which typically holds between 20 and 40 securities, targets quality global growth businesses with rising returns on invested capital, superior growth prospects and low debt.”
WCM has a strong track record with a 5.2 per cent annualised performance since 2008.
