Upload
others
View
1
Download
0
Embed Size (px)
Citation preview
JOHCM Global Income Builder FundA core income and total return solution
Rankia Funds Experience Lisbon 2019
Robert HordonSenior Fund Manager
Introduction – JOHCM Global Income Builder Strategy
An integrated team that invests across the capital structure
Bottom-up asset allocation that does not rely upon top-down macro/market calls
Strong and stable income anchors total return for cautious investors
Flexible global value approach can take advantage of stress in different markets
A conservative, differentiated strategy to deliver income and total return
2
A nimble, autonomous team supported by a global network
J O Hambro at a glance
Founded in London in 1993, we have offices in London, Boston, New York, Singapore and Prague
High-conviction alpha seeking strategies
Experienced fund managers with full intellectual freedom
Experienced fund managers with long-term track record given full intellectual freedom
We focus on delivering outperformance through high conviction and high-active-share approach
• 16 distinct investment teams• 40 investment professionals • Capacity management enhances performance
• No house view or CIO• Investment professional have stakes in their strategies
Global expertise at a local level
• Structured as a boutique of boutiques
A seasoned, purpose-built team of global value investors…
Giorgio CaputoSenior Fund Manager & Head of Multi-Asset Value
Robert HordonSenior Fund Manager
Lale TopcuogluSenior Fund Manager & Head of Credit
Remy GicquelInvestment Analyst
Hugues Le BrasInvestment Analyst
• 23 years experience• Former Portfolio Manager since inception of the First
Eagle Global Income Builder Strategy
• 23 years experience• Former Portfolio Manager since inception of the First
Eagle Global Income Builder Strategy
• 21 years experience• Former Global Head of Alternative Corporate Credit and Co-
Portfolio Manager of the Goldman Sachs Income Builder Strategy
• 13 years experience• Former Senior International Analyst at Harris Associates
• 6 years experience• Former Research Analyst at Paradigm Capital AG
3
Benchmark-agnosticism– the willingness to avoid certain asset classes entirely
Time horizon arbitrage – over/under-valuations can persist for years
Avoid the permanent loss of capital – Warren Buffet’s “Rule #1” is our primary focus as well
Searching for value across geographies and asset classes
Bottom-up investors that invest across the capital structure are rare in today’s
age of specialization
Most professionals are assigned to particular market niches, as in ‘I work in the equity
department’ or ‘I’m a bond manager.’
Who, then, makes and implements the decisions that would drive out relative mispricings
between asset classes?
Howard Marks, The Most Important Thing
The JOHCM Global Income Builder Strategy employs a bottom-up, value
philosophy
Invest with a margin of safety – Protect capital from impairment and exploit mispricing
4
Value investing is a philosophy, not a style
Seeking both income and long-term capital appreciation
5% yield target compatible with capital preservation:
Bottom-up portfolio construction targeting:
Global diversification across asset classes and sectors:
› Permits principal growth in real terms over time
› Avoid reaching for yield
› Dividend-paying equities
› Corporate credit
› Gold and other reserve assets
› Seek attractively priced securities attached to resilient businesses
› ~100 individual holdings typically sized at 50-200 bps each*
Appreciation-oriented strategiesDistribution-oriented strategies
Traditional Fixed
Income
Corporate Debt & High
Yield
Equity Income
Equity Appreciation
JOHCM Global Income
Builder
5
A moderate risk strategy for the core of a diversified portfolio
*Excludes Treasury Bills and ETFS Metal Securities Ltd.
A flexible approach that invests across the capital structure
*Including sovereign debt and gold-related investments.
This competition powers our flexible, tactical approach to bottom-up asset allocation
~100 holdings (by issuer) across equity and fixed income balance diversification and conviction
Equities must compete for capital with our fixed income base
The contractual return we can earn from our fixed income base serves as our hurdle rate. Riskier investments such as equities must offer superior risk-adjusted returns to attract more capital
EquityEquity
40% to 65%
Fixed Income
35% to 50%
Reserve buying power*
5 to 15%
Contributes to income and drives long-term growth of capital to protect and enhance purchasing power
Underpins income generation and provides stable returns that define our cost of capital
Cash and hedge assets to take advantage of market volatility
Fixed income base
Equity-oriented
risk assets
Fixed income defines our
“hurdle rate”
• Generate as much income as we can while insisting on a substantial margin of safety
• Define hurdle rate or cost of capital for riskier investments
• Seek high and/or growing income and attractive risk/reward
• Require a margin of safety to help protect capital and drive upside
6
Dynamic asset allocation driven by bottom-up opportunities
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
"Risk On" "Risk Off"
Market Environment
Equities Fixed Income
CyclicalIG
HY
Cyclical
Defensive
HY
IG
Defensive
Equities
• Income generative equities and certain debt instruments with equity-
like risk/return characteristics
• Valuations for cyclical stocks may become more interesting than
defensives in periods of market stress
Fixed Income Base
• Exposure to both high yield and investment grade debt
• Respond to the impact of risk perceptions on spreads and underlying
rates
Cash and hedge assets
• Cash, U.S. Treasury instruments, gold-related investments
• Portfolio protection in difficult environments
• Capital that can be deployed to take advantage of market dislocations
Cash & hedge assets
7
Capital moves from lower risk to higher risk investments when market sentiment translates into greater margin of safety
The strategy’s capital deployment
8
(6.00)
(4.00)
(2.00)
0.00
2.00
4.00
6.00
US Equity International Equity Corporate Debt Reserve Buying Power
2018 Q4
2019Q1
2019 Q2
2019 Q3
Double-digit equity increase in Q4 panic
Monetizing gains as markets recover
Q2 sales focused on quality compounders which appreciated sharply
Capital focused on specific air pockets
Source: JOHCM, Bloomberg. Represents estimated capital shifts net of asset class performance and is based on the US mutual fund.
Assess businesses for persistence and value
Scoring Persistence Assessing Margin of Safety
Financial leverage
Operating leverage
Cyclicality
ESG / Disruption Risks
Management quality
Secular growth
Barriers to entry
Estimating intrinsic value (IV) is at the core of what we do:
• Look for economic reality beneath accounting surface
• Normalized earnings and free cash flow• Private market signals• Hidden assets/liabilities
Margin of safety (MOS) is the bufferbetween intrinsic value and market price:
• Downside protection from analytical errors and adverse business developments.
• Upside potential from convergence of price with IV
1
2
3
4
5
6
7
9
Our largest positions offer the most attractive blend of persistence and margin of safety
Refining the target universe
*Provided as an illustrative example. Yields available with a margin of safety appropriate to business persistence depend on credit spreads and underlying interest rates and can vary over time. Source: Bloomberg, Bank of America. Analysis as of October,11 2017.
Equity universe
Initial universe of ~3500 equities
• >$1B market value• >3% dividend yield
Persistence criteria - reduce universe to ~500
Actively monitor watch list of ~200 eligible equities
Fixed income universe
Indicative universe of ~500 issuers• 1-10 year maturity• BB-BBB Ratings• Yields between 4% and 7%*
Actively monitor watch list of ~100 issuers
Focus on best risk-reward leads to
<50 holdings
Margin of safety and income sustainability typically reduce this to
<100 holdings
Target issuers with resilient cash flows, significant asset value and prudent
management teams
10
A diversified but carefully curated portfolio of individual securities
11
Playing defense first with an opportunistic offense
Source: *Bloomberg as at December, 31 2018.
2
21
2017 2018
A nimble, integrated team can act quickly
• Differentiated from typical top-down, committee
and/or sleeve-based approaches
MSCI ACWI Index - Number of days with a decline greater than 1%* 1
2
3
Bottom up approaches can be focused on
the best opportunities
Security-level due diligence builds
conviction to buy in times of stress
Volatility has risen A flexible, bottom-up strategy can take advantage of volatility
Appendix
Positioning as of 30 September 2019
Global Income Builder Strategy
Source: JOHCM/Bloomberg as of 30 September 2019. Please note that due to rounding totals may not add to 100%. *Other equities include: Japan, North America and Emerging Asia.
Asset-region exposure Fixed Income exposure by rating
13
29%
10%
7%5%
19%
16%
8%
6%
U.S. Corporate Debt International Corporate DebtSovereign Debt and Cash Gold Related InvestmentsU.S. Equities European EquitiesAsian & Other Equities UK Equities
38%
18%
44%
BBB and above B
BB CCC & below
0%
Positioning as of 30 September 2019
Global Income Builder Strategy
Source: JOHCM/Bloomberg as of 30 September 2019. Please note that due to rounding totals may not add to 100%.
Equity exposure by sector Fixed Income exposure by sector
14
8%
4%
15%
10%
14%6%
11%
9%
9%
1%
13%
Energy MaterialsIndustrials Consumer DiscretionaryConsumer Staples Health CareFinancials Information TechnologyCommunication Services UtilitiesReal Estate
34%
14%13%
10%
12%
9%
6%2%
Consumer Staples Consumer DiscretionaryFinancials Health CareCommunication Services SovereignMaterials EnergyIndustrials (0%)
Holdings as of 30 September 2019
Global Income Builder Strategy
Source: JOHCM/Bloomberg as of 30 September 2019. Fund holdings are subject to change at any time and are not recommendations to buy or sell any security.
Top ten equity holdings %
1 Danone 1.39
2 Sekisui 1.33
3 Nestle 1.27
4 KDDI 1.23
5 BB&T 1.21
6 Microsoft 1.19
7 Allianz 1.19
8 Oracle 1.19
9 GlaxoSmithKline 1.06
10 Philip Morris 1.05
Top ten fixed income holdings %
1 US Treasury Notes 2.25% 03/31/2020 2.19
2 HCA Inc 4.75% 05/01/2023 1.75
3 Imperial Brands 4.25% 07/21/2025 1.70
4 US Foods 5.875% 06/15/2024 1.57
5 Berry Global 4.875% 07/15/2026 1.33
6 Bank of America Corp Perp 1.32
7 Cntrl Garden&Pet 5.125% 02/01/2028 1.30
8 Bacardi Ltd 4.45% 05/15/2025 1.25
9 Lamb Weston 4.625% 11/01/2024 1.23
10 Live Nation Ent 5.625% 03/15/2026 1.23
15
16
JOHCM Global Income Builder Fund
Net performance in EUR since inception to 30 September 2019
Past performance is not necessarily a guide to future performance
1 year to 30 Sept 2019 1 year to 30 Sept 2018 1 year to 30 Sept 2017 1 year to 30 Sept 2016 1 year to 30 Sept 2015
14.07 - - - -
JOHCM Global Income Builder Fund – 5 year discrete performance (%)
Source: JOHCM/MSCI Barra. NAV of share class A in EUR, net income reinvested, net of fees, as at 30 September 2019. The A EUR Class was launched on 30 April 2018. Performance of other share classes may vary and is available upon request.
2.36
5.26
20.00
14.07
12.05
0
5
10
15
20
25
1 Mth Q3 2019 YTD 12 Mths SI (p.a.)
JOHCM Global Inc Builder A €
Representative equity and debt investments
Company descriptionLeading commercial property landlord and developer in Hong Kong and Mainland China with differentiated expertise in luxury retail.
Investment thesisSignificant discount to private market value of real estate assets with robust cash flow growth expected due to market recovery and project maturation.
Asset class: EQUITY
Country: Hong Kong
Issue size: $10B USD
Industry: Real estate
Dividend yield: 4.6%
Persistence score: 2.4
Margin of safety: IV discount 40%+
Company descriptionConducts auctions in fine arts in a wide variety of collecting categories.
Investment thesisFinancially healthy, growing company with global footprint in attractive niche. Modest debt load, well-covered by real estate assets and long-term licensing fees.
Asset class: CREDIT/HY
Country: USA
Issue size: $400MM USD
Industry:Auctions and brokerage
Yield to worst: 5.3%
Persistence score: 2.0
Margin of safety: Net debt/EV 29%
17
The information contained herein including any expression of opinion is for information purposes only and is given on the understanding that it is not a recommendation.
An intellectually consistent approach across asset classes
Representative equity and debt investments
Company descriptionThe leading foodservice distribution business in Holland with a growing presence in Belgium and in beverage.
Investment thesisA quality compounder whose divestiture of retail operations (EMTÉ) focuses the group on foodservice where management has a successful track record of growth by acquisition including the transformative Heineken acquisition.
Company descriptionEstablished global provider of outsourced cafeterias, concessions and facility services.
Investment thesisWell-entrenched operator in moderately growing end markets with low customer churn and high long-term earnings visibility. Moderate leverage with significant equity value beneath debt load.
Asset class: CREDIT/HY
Country: USA
Issue size: $1.15B USD
Industry:Food and facilities management
Yield to worst: 5.4%
Persistence score: 2.0
Margin of safety: Net debt/EV 36%
Asset class: EQUITY
Country: Netherlands
Issue size: $2B USD
Industry: Foodservice distribution
Dividend yield: 4.3%
Persistence score: 2.1
Margin of safety: IV discount 20%
The information contained herein including any expression of opinion is for information purposes only and is given on the understanding that it is not a recommendation. 18
Two basic frameworks for investing across asset classes
• Allow advisers to outsource asset allocation if they prefer
• “Investment committee” approach can provide stability
• Siloed approaches with more resources, but less integrated risk management and decision-making
Top-down
• Nimble and opportunistic in response to market dislocations
• Focused on key opportunities within asset classes rather than broader asset class
• Opportunities can be easier to quantify with higher conviction
Bottom-up
19
Top-down and bottom-up can be complementary
Integrated approach across the capital structure can yield synergies
+ Focus on business quality, valuation and margin of safety (MOS) can be additive to more metrics-based credit approaches
+ More ongoing and often higher-level access to company management teams
+ Robust ecosystem of 3rd party/industry research
− “Unlimited upside” can lead to undue optimism, herd behaviour and pronounced valuation bubbles
Equity
+ Downside-orientation: upside in fixed income is limited, so avoiding loss is key
+ Incremental insight from businesses with unlisted equity; different perspectives on market liquidity
+ Contractual nature of fixed income provides explicit price of risk
− Focus on leverage metrics and trailing cash flow can de-emphasize business quality and important forward-looking factors.
Fixed Income
20
A clear contrast with “specialized” siloed approaches
Assessing business persistence
Financial Leverage• Debt magnifies business risks and can lead to dilutive rights offerings,
equity raises and debt restructuring; focus on debt ahead of our claim1
Operating Leverage• Significant fixed costs can render operating profits more volatile, and
require an appropriately conservative capital structure2
Cyclicality• Strong businesses with solid balance sheets can improve competitive
positions in a cyclical downturn, but the cycles must be managed3
ESG/ Disruption Threat
• Review of disruptive technologies that risk disintermediation of the
enterprise and assessment of social licence and ESG risks4
Management Quality
• Poor capital allocation can impair essentially any investment
• Management’s operating skill is a key risk that must be assessed as well5
Barriers to Entry• The key to earning returns above the cost of capital; also evidenced by
strong market share, profit margins, value chain dominance 6
Secular Growth• Favourable long-term growth dynamics can create a tailwind for business
persistence, while headwinds can lead to damaging pressure7
21
22
Danone vs. Flowserve: a persistence case study
Category Danone assessment Score Flowserve assessment Score
Financial Leverage More elevated post Whitewave acquisition 3 Somewhat elevated for a cyclical business 3
Operating LeverageVariable costs and substantial advertisingexpense can mitigate revenue declines
2Substantial. 50% incremental margins in ‘07-’08 and ‘14-’16. Aftermarket service growth and plant realignment can reduce this
5
Cyclicality Stable, growing global food business 1Provider of equipment to energy and other capital intensive sectors. Service growth can moderate this as well
4
ESG / DisruptionTrend to plant based nutrition is both a threat and an opportunity. Danone is a B-corporation
2Disruption risk is modest. Fluid dynamics governed by laws of physics. Petroleum supply chain risk
3
Management Quality
CEO Faber (ex-Bain) has potential. Break from Riboud past may be healthy. Focus on cost improvement with reinvestment of some savings into growth
3
CEO Rowe is new, but company and board are focused on cost reductions and footprint re-alignment. Services growth is also a positive strategic decision.
2
Barriers to EntryStrong BTE. Customer captivity through taste habituation. Distribution economies-of-scale in Europe and now US
2Mission critical parts where plant failure is costly. Customer captivity from service network and reputation for quality
2
Secular GrowthAligned with health trends. Plant-based nutrition is a growth area and natural hedge to animal protein concerns
2FLS claims infrastructure spending deficit will drive >4% growth, but revenues tied to petroleum supply chains are at risk
3
Overall ScoreDanone benefits from stable, growing end markets and modest operating leverage
2.1Operating leverage, cyclicality and debt penalize an otherwise persistent business
3.2
Assessing margin of safety across the capital structure
• Margin of safety (MOS) represents the difference between intrinsic value and market value, based on the attachment point to the capital structure
• Emphasis on MOS is both defensive and offensive
› Provides valuation cushion in the event of adverse business developments or analytical errors
› Opportunity for upside potential from temporarily underappreciated securities
• More persistent businesses often require lower discount rates and trade at higher cash flow multiples
› Avoid securities where perception exceeds reality
• We are willing on occasion to own businesses with lower persistence when appropriately compensated for the risk
• MOS criteria makes it difficult to own equity in levered capital structures
We generally require a 20% margin of safety with more needed for businesses with lower persistence
Intrinsic enterprise value estimated at 6x EBITDA
0
1
2
3
4
5
6
All Equity Levered Firm
Secured Debt Unsecured Debt Equity
Do not invest unless valuation is 4.8x or less for 20% MOS
Levered firm requires 60%
equity discount!
But both debt tranches are
covered
23
*We have not quantified an absolute limit to our potential exposure to businesses with lower persistence scores, as there may be marketenvironments where opportunities of this sort abound and may offer the prospects of extraordinary risk adjusted returns. Exposure ofgreater than 25% of assets would however trigger heightened scrutiny.
BBs offer an attractive risk-reward over the long term…
Source: Bloomberg
…and benefit from lower default rates…
0.0
0.5
1.0
1.5
2.0
2.5
1 Year 3 Years 5 Years 15 Years
High-yield bonds US BB-rated US B-rated US CCC-rated
Sharp
e R
atio (
Retu
rn/V
ol) Rating
Historical 5Y Average Default Rates
1989 1999 2008
Aaa 0.0% 0.0% 0.0%
Aa 0.1% 0.0% 0.3%
A 0.2% 0.1% 0.4%
Baa 0.9% 0.6% 0.4%
Ba 4.5% 2.1% 1.7%
B 7.6% 7.3% 4.4%
Caa-C 11.1% 9.6% 8.2%
All SG 6.2% 5.8% 4.7%
…while showing resilience in times of market stress…
(12%)
(21%)
(34%)(39%)
(50%)
(40%)
(30%)
(20%)
(10%)
0%
Global financial crisis (9/1/2008-3/31/2009)
ICE BofAML BB US High Yield ICE BofAML US High Yield
ICE BofAML CCC US High Yield MSCI World
(3.0%)(5%)
(10%)
(13%)
(20%)
(15%)
(10%)
(5%)
0%
Powell mini-panic (9/1/2018-3/31/2019)
ICE BofAML BB US High Yield Index ICE BofAML US High Yield Index
ICE BofAML CCC US High Yield Index Global Equities
Source: JP Morgan, as of December 31, 2018. Source: Morgan Stanley
Source: Bloomberg
BB
HY
CCCEquity
BBHY
CCC
Equity
All credit is not created equal
24
Team biographies
JOHCM Global Multi-Asset Value Team
Giorgio CaputoSenior Fund Manager and Team Head23 years of industry experience, joined JOHCM in August 2017Giorgio is a Senior Fund Manager and Head of JOHCM's Multi-Asset Value team. He was most recently employed as Portfolio Manager and Senior Analyst by First Eagle Investment Management, where he co-managed the First Eagle Global Income Builder Fund. Giorgio joined First Eagle in September 2009 as a Research Analyst and member of the firm’s Global Value Team, supporting the First Eagle Global Fund. Prior to First Eagle, Giorgio was a Managing Director and Industry Generalist Investment Analyst at JANA Partners LLC, a value and event-driven hedge fund, and an Investment Banking Associate at Credit Suisse First Boston. Before graduate school, he was a Quantitative Analyst and the Interest Rate Trader for the Equity Derivatives Group at Lehman Brothers. He has a BS in Operations Research, with minors in German Literature, Italian Literature and Applied and Computational Mathematics, from Princeton University, as well as an MBA in Finance with Honours from Columbia Business School. Giorgio speaks fluent German and Italian.
Robert Hordon, CFA Senior Fund Manager23 years of industry experience, joined JOHCM in October 2017Robert is a Senior Fund Manager for JOHCM's Multi-Asset Value team. Previously, Robert worked at First Eagle Investment Management which he joined in 2001. He was Portfolio Manager of the First Eagle Global Income Builder Fund since its inception in 2012 and also a Senior Analyst on the First Eagle Global Value team which he joined in 2008. From 2001 to 2008, Robert worked on a wide range of event-driven investments as an Analyst with the firm’s Risk Arbitrage group. Prior to attending business school, he worked as a Research Associate in the Equity Research department of Credit Suisse First Boston. Robert holds a BA in Politics from Princeton University and an MBA from Columbia Business School. He also holds the Chartered Financial Analyst (CFA) designation.
Lale TopcuogluSenior Fund Manager and Head of Credit21 years of industry experience, joined JOHCM in September 2017Lale is a Senior Fund Manager and Head of Credit for JOHCM's Multi-Asset Value team. She comes to JOHCM after spending 17 years at Goldman Sachs in various leadership roles, where she invested across credit and equity markets. Prior to joining JOHCM, she was the Global Head of Alternative Corporate Credit and the portfolio manager for corporate credit exposures in multi-asset class fixed income and equity commingled Income Builder portfolios at Goldman Sachs Asset Management (GSAM). Her previous roles at GSAM included co-head of Global investment Grade and Senior Analyst on the Bank Loan team. She started her career as a sell-side research analyst in 1999 at Goldman Sachs, covering Cable, Satellite and Wireless Towers Sectors in both credit and equity research. She was named Managing Director in 2010. Lale earned a BA in Economics and Politics, cum laude, from Mount Holyoke College.
26
JOHCM Global Multi-Asset Value Team
Rémy Gicquel, CFA Analyst13 years of industry experience, joined JOHCM in September 2017Rémy is an Analyst for JOHCM’s Multi-Asset Value team. He comes to JOHCM after spending four years at Harris Associates as Senior International Investment Analyst. Prior to Harris Associates, Remy was a member of the European equity research team for six years at DNCA Investments, a Value Asset Manager based in Paris. Remy received a Masters in Finance from Skema Business School. He holds the Chartered Financial Analyst (CFA) designation. He is fluent in French.
Hugues Le BrasAnalyst6 years of industry experience, joined JOHCM in September 2017Hugues is an Analyst for the Multi-Asset Value team. Hugues was most recently employed as a Research Analyst for Paradigm Capital AG, a Munich-based investment firm focused on European small and mid-cap companies. He also interned at First Eagle Investment Management in both 2012 and 2013 and Plymouth Lane Capital in 2016. He received a Masters in Tax, Law and Accounting from Aix-Marseille University and his MBA with Honours from Columbia Business School, where he was part of the Value Investing Program. He is fluent in French.
27
Contact & share class details
28
JOHCM Global Opportunities Fund
Bogdan Popescu
Director of European Sales
T: +44 (0) 20 7747 5610
M: +44 (0) 7966 349 097
Sales Contacts
ISIN SEDOL Bloomberg WKNInitialcharge
Annual chargeOngoing charge
Minimum investment*
A EUR Class IE00BFZWPD35 BFZWPD3 JOHGIAE A2JH74 Up to 5% 0.65% 1.15% £ 1,000
B EUR Class IE00BFZWPJ96 BFZWPJ9 JOHGIBE A2JH76 Up to 5% 1.75% 2.06% £ 1,000
Ongoing Charge is at 30 September 2019. *Or currency equivalents apply.
Share class details (Further details on additional share classes are available on request)
Valentina Maggio
Sales Support Assistant
T: +44 (0) 20 7747 5679
23 July 2019
THIS DOCUMENT IS FOR PROFESSIONAL INVESTORS ONLY.
The value of investments and the income from them may go down as well as up and you may not get back your original investment. The information contained herein including any expression of opinion is for information purposes only and is given on the understanding that it is not a recommendation.
The Fund’s objective is to offer monthly income generation consistent with long-term capital growth. Part of the dividend may be paid from capital and this will erode capital. In order to make monthly distributions, all or part of fees and expenses may be charged to the capital of the Fund. By charging the fees and/or expenses to capital, capital may be eroded and income will be achieved by foregoing the potential for future capital growth. The annual management charge is charged to the capital of the Fund.
The Investment Manager may undertake investments on behalf of the Fund in countries other than the investors’ own domicile. Investors should also note that changes in rates of exchange may cause the value of investments to go up or down. Telephone calls to and from JOHCM may be recorded. Information on how JOHCM handles personal data which it receives can be found in the JOHCM Privacy Statement on its website: www.johcm.com.
The information in this document does not constitute, or form part of, any offer to sell or issue, or any solicitation of an offer to purchase or subscribe for the proposed Funds described in thisdocument; nor shall this document, or any part of it, or the fact of its distribution form the basis of, or be relied on, in connection with any contract. Recipients of this document who intend tosubscribe to any of the proposed Funds are reminded that any such purchase may only be made solely on the basis of the information contained in the final prospectus, which may be different fromthe information contained in this document. No reliance may be placed for any purpose whatsoever on the information contained in this document or on the completeness, accuracy or fairnessthereof.
No representation or warranty, express or implied, is made or given by or on behalf of the Firm or its partners or any other person as to the accuracy, completeness or fairness of the information oropinions contained in this document, and no responsibility or liability is accepted for any such information or opinions (but so that nothing in this paragraph shall exclude liability for any representationor warranty made fraudulently).
The distribution of this document in certain jurisdictions may be restricted by law; therefore, persons into whose possession this document comes should inform themselves about and observe anysuch restrictions. Any such distribution could result in a violation of the law of such jurisdictions.
The information contained in this presentation has been verified by the firm. It is possible that, from time to time, the fund manager may choose to vary self imposed guidelines contained in thispresentation in which case some statements may no longer remain valid. We recommend that prospective investors request confirmation of such changes prior to investment. Notwithstanding, allinvestment restrictions contained in specific fund documentation such as prospectuses, supplements or placement memoranda or addenda thereto may be relied upon.
Investments fluctuate in value and may fall as well as rise and that investors may not get back the value of their original investment.
Investors should note that there may be no recognised market for investments selected by the Investment Manager and it may, therefore, be difficult to deal in the investments or to obtain reliableinformation about their value or the extent of the risks to which they are exposed.
Issued and approved in the UK by J O Hambro Capital Management Limited (“JOHCM”) which is authorised and regulated by the Financial Conduct Authority. Registered in England and Wales No: 2176004. Registered address: Level 3, 1 St James’s Market, London, SW1Y 4AH. The registered mark J O Hambro® is owned by Barnham Broom Holdings Limited and is used under licence. JOHCM® is a registered trademark of J O Hambro Capital Management Limited.
29
DISCLAIMER