Pharus launches the Pharus Sicav Equity Leaders
05 September 2022 _ News
Pharus Sicav Equity Leaders is not a new sub-fund of Pharus.
Launched back in 2010, it underwent a profound strategic restructuring starting from March 13, 2021, and from today it changes its name to better reflect its investing nature.
Pharus Sicav Equity Leaders is an international equity Fund investing in leading global companies operating in high quality businesses.
These are companies that enjoy a competitive and/or evolutionary advantage, characterized by high returns on invested capital, low debt and earnings growth, which allow them to take advantage of the positive effect of the earnings reinvestment. The power of compound interest is profound and the expected returns over time from these companies are enormous.
The selection philosophy is linked to the principle that share prices follow the company's earnings trend, and to the belief that leading companies with high-quality businesses can more easily provide long lasting earnings growth.
The selection approach therefore aims to identify companies with earnings growth that are not accurately reflected in the current market valuation.
The investment process is based on a Quantamental approach, which blends fundamental analysis (Bottom up) with the quantitative one.
These criteria allow to select companies:
- With a clear and broad competitive and/or evolutionary advantage;
- Resilient and protagonists of technological and digital innovation.
- With stable and above the market cash flows and returns on capital;
- A valuation considered interesting by the management team, also considering the intangible assets;
- Who do not need excessive debt and financial leverage to grow;
- Characterized by a transparent management and with an excellent track record.
The goal is the long-term buy-and-hold investment. The management team does not believe, as also claimed by Warren Buffet, that it is possible to find an excellent investment idea, and therefore a leading company, every week or every month or every year, so operations are limited, trying to exploit the compound appreciation effect of the selected companies.
A strategy that has so far proved to be successful, thanks to the quality of the assets in the portfolio, able, especially in the last period of uncertainty, to outperform the market.
Information message - The information in this message is produced for information purposes only and therefore does not qualify as offer or recommendation or solicitation to buy or sell securities or financial instruments in general, financial products or services or investment, nor an exhortation to carry out transactions related to a specific financial instrument.
The contents of this informative message are the result of the free interpretation, evaluation and appreciation of Pharus Asset Management SA and constitute simple food for thought.
Any information and data indicated have a purely informative purpose and do not in any way represent an investment advisory service: the resulting operational decisions are to be considered taken by the user in full autonomy and at his own exclusive risk.
Pharus Asset Management SA dedicates the utmost attention and precision to the information contained in this message; nevertheless, no liability shall be accepted for errors, omissions, inaccuracies or manipulations by third parties on what is materially processed capable of affecting the correctness of the information provided and the reliability of the same, as well as for any result obtained using the said information.
It is not permitted to copy, alter, distribute, publish or use these contents on other sites for commercial use without the specific authorization of Pharus Asset Management SA.
The contents of this informative message are the result of the free interpretation, evaluation and appreciation of Pharus Asset Management SA and constitute simple food for thought.
Any information and data indicated have a purely informative purpose and do not in any way represent an investment advisory service: the resulting operational decisions are to be considered taken by the user in full autonomy and at his own exclusive risk.
Pharus Asset Management SA dedicates the utmost attention and precision to the information contained in this message; nevertheless, no liability shall be accepted for errors, omissions, inaccuracies or manipulations by third parties on what is materially processed capable of affecting the correctness of the information provided and the reliability of the same, as well as for any result obtained using the said information.
It is not permitted to copy, alter, distribute, publish or use these contents on other sites for commercial use without the specific authorization of Pharus Asset Management SA.
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