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NS Partners International Equity

Highlights

  • Unique Investment Philosophy: Emphasizes inflection points in liquidity conditions and stocks with improving economic profitability
  • Differentiated Investment Process: Designed to steer fundamental stock selection to countries with a favourable market environment
  • Focused Risk Management: Employs a factor risk model designed to avoid unintended country, sector or company exposure

Objectives

  • Long-term growth through investments in equity securities listed on foreign stock exchanges
  • Return Objective: MSCI EAFE Net Index + 2%-4% per annum over a market cycle
  • Risk Objective: 2%-4% average tracking error per year over a market cycle

Investment Philosophy

  • Country selection matters – excess money moves both asset markets and economies
  • Economic profitability drives stock selection – securities generating high or improving economic profitability relative to the market will outperform
  • Peer review discipline – revalidate, continually test convictions, ensure tight capital discipline

Investment Process

  • Macroeconomic and Liquidity Analysis
    • Changes in liquidity conditions influence security prices
  • Country Selection
    • Country weights based on conviction, relative return opportunity and risk
  • Stock Selection
    • Focus on securities expected to have improving economic profitability
  • Portfolio Construction
    • Macroeconomic liquidity analysis provides the framework for portfolio construction
    • Portfolio of 70 – 90 securities
  • Portfolio Risk and Review
    • Formal monthly meetings to peer review portfolio
    • Employ a factor risk model to avoid unintended country, sector or company exposure
Quick Facts
Inception Date September 30, 1981
All data as at: Aug 02, 2021
Geographic Mix
% of Portfolio
Japan 17.33%
United Kingdom 13.48%
Switzerland 12.95%
France 11.45%
Australia 6.20%
Spain 5.44%
Ireland 4.63%
Hong Kong 4.49%
Netherlands 4.46%
Germany 4.19%
Italy 3.28%
Norway 1.84%
Belgium 1.82%
Taiwan 1.72%
Denmark 1.70%
Singapore 1.23%
China 1.01%
Greece 0.94%
Austria 0.83%
India 0.30%
Korea, Republic of 0.20%
Thailand 0.13%
Brazil 0.09%
Russian Federation 0.09%
Philippines 0.04%
Vietnam 0.04%
Malaysia 0.03%
Indonesia 0.02%
United States 0.01%
South Africa 0.01%
Chile 0.01%
Hungary 0.01%
Poland 0.01%
Sector Allocation
% of Portfolio
Consumer Staples 17.35%
Health Care 16.11%
Information Technology 14.92%
Financials 14.81%
Industrials 14.08%
Consumer Discretionary 10.76%
Materials 5.37%
Utilities 2.53%
Communication Services 2.08%
Real Estate 1.90%
Energy 0.07%
Cash 0.03%

Contact Us

+44 (0) 203-535-8100
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