Fidelity International has announced the Asia launch of a new global equity strategy focused on what the manager believes are “undiscovered opportunities” across markets, sectors and market cap spectrum.
The Fidelity Funds 2 – Global Discovery fund takes an opportunistic all-market-cap approach with a particular emphasis on quality companies, including small- and mid-cap stocks, that have the adaptability and agility to quickly respond to changing market conditions.
The equity investment strategy is sub-managed by an experienced team of portfolio managers at US-based Fidelity Investment, backed by teams of researchers and analysts, and is now available to clients of Fidelity International via a SICAV (UCITS) fund for the first time.
The fund is initially available in Singapore and Thailand, with Hong Kong and other markets to be added in due course.
Wildon Goh (pictured), head of wholesale distribution, Southeast Asia at Fidelity International, commented: “In times of uncertainty, investors are increasingly looking to build resilience into their portfolios and find uncorrelated and diversified sources of return. I am delighted that we are able to bring the best of Fidelity Investment’s capabilities and strategies to key clients in our region with the launch of the fund.”
The fund has a quality bias and strong valuation discipline as it seeks to deliver long-term relative and risk-adjusted returns, according to Fidelity. It invests in undervalued and under-researched stocks across the market cap spectrum, with lower drawdowns in periods of market volatility.
This risk-averse strategy also places emphasis on a margin of safety that has historically delivered lower absolute volatility to deliver better risk-reward outcomes. The opportunistic nature of the strategy has typically led to limited overlap with other strategies and is highly differentiated to popular global equity solutions focused on mega-caps, growth, or tech stocks, offering potential diversification benefits, said Fidelity.
Fidelity International is the management company of the fund, while Fidelity Investments is the sub-manager responsible for the investment strategy and the research.
