NS Partners home
Money Moves Markets
 

NS Partners European Equity

Product Highlights

  • Portfolio Manager average tenure over 17 years
  • Philosophical commitment to liquidity analysis
  • Fundamental approach, Economic Value Added (EVA®) discipline
  • Focus on medium and large cap companies with a bias towards quality/growth
  • Regional portfolio construction
  • Blend of alpha sources: market allocation and stock selection

Investment Objectives

  • Long-term growth through investments in equity securities listed on European stock exchanges
  • Return Objective: MSCI Europe Index + 2-4% per annum over a market cycle
  • Risk Objective: 2-4% tracking error relative to the MSCI Europe Index

Philosophy

  • Added value can be achieved through fundamental research, macro-liquidity insights and active portfolio management
  • Seek companies with durable growth, generating high ROIC and earnings momentum
  • Maximize exposure to the best market opportunities while keeping within acceptable risk tolerance levels and ensuring diversification
  • Focus on economic profit analysis allows us to consistently avoid companies underperforming over the long term

Process

  • Interpret structural and cyclical liquidity fueled themes
  • Disciplined combination of country and regional analysis coupled with bottom-up stock selection based on economic profitability
  • Three key research components:
    • Stock: EVA® methodology is used to identify companies with strong fundamentals, high return on invested capital and attractive valuation
    • Country: Country and regional analysis encompassing macro-economic analysis with focus on liquidity as well as an assessment of political risk
    • Sector & Industry: As a function of stock selection, global industry analysis is used to identify companies likely to benefit from structural changes in the market
  • Risk Controls – Liquidity analysis meters aggressive/defensive positioning. Risk attribution system quantifies stock, sector and regional allocations
Quick Facts
Inception Date August 31, 1992
All data as at: Feb 22, 2018
Geographic Mix
% of Portfolio
United Kingdom 25.65%
France 18.89%
Switzerland 12.03%
Germany 11.16%
Netherlands 9.96%
Sweden 5.29%
Belgium 5.20%
Ireland 4.59%
Spain 2.44%
Finland 1.98%
Norway 1.49%
Italy 1.33%
Sector Allocation
% of Portfolio
Industrials 24.63%
Financials 19.73%
Materials 11.93%
Consumer Staples 9.47%
Information Technology 9.00%
Health Care 8.35%
Energy 6.74%
Consumer Discretionary 5.45%
Telecommunication Services 2.43%
Real Estate 1.56%
Cash 0.71%
Utilities 0.00%

Contact Us

+44 (0) 203-535-8100
Connor, Clark & Lunn Financial Group home page