Merian North American Equity Fund R GBP Acc

US Equities

Update: 20 February 2020: Merian North American Equity placed under review
Full details can be found here.

Rated Fund 2014-20. Identifies market trends to 'follow the money'       

This fund won Money Observer's Best North America Fund award in 2013 and 2014, and was highly commended in 2016. It has marginally underperformed peers and the MSCI North American index over one and three years, but it retains Rated Fund status on the basis that it offers a genuinely different approach. Managers Ian Heslop, Amadeo Alentorn and Mike Servant "follow the money" - by ascertaining what type of stocks other investors are buying and then buying the best ones in those categories.

The team assess companies on the basis of their stock price, balance sheet, growth characteristics, use of capital, analyst sentiment and market trends. Analysis then produces a single return forecast for each stock. The team proceeds to build a diversified portfolio of around 350 shares it expects to outperform. Stock weightings depend on historical factors and prevailing conditions.

The managers have proved their ability to perform well during difficult periods. Morningstar analyst Fatima Khizou says: "The flexibility and dynamic nature of the approach has helped the team steer away from areas prone to overcrowding and mitigate downside risk in falling markets. As such, the fund has managed to successfully navigate several of the most recent challenging periods for active managers."

Narrative and ratings content all as of January 2020.  

See all Money Observer rated funds
Name
Merian North American Equity Fund R GBP Acc
Manager
Merian Investment Management Limited
Type
Open Ended Investment Company
ISIN
GB00B1XG9G04
Sector
North America
Launched
05/04/2012
OCF
0.95 %
Risk Rating
3
3 Year Sharpe
0.52
3 Year Alpha
-2.76
Yield
0.5 %
Benchmark
MSCI North America NR USD
The Fund seeks to achieve capital growth by delivering a return, net of fees, greater than that of the MSCI North America Index with net dividends reinvested over rolling 3 year periods. The fund primarily invests (at least 70%) in a diversified portfolio of North American equities. North American equities are those of companies that are domiciled, incorporated or listed in North America, or that conduct a significant part of their business in North America. The fund may also invest in other transferable securities, units in collective investment schemes (including those managed or operated by the ACD or an associate of the ACD), warrants, money market instruments, deposits and derivatives, and may hold cash.
Holding %
Microsoft Corp 3.62 %
Apple Inc 3.30 %
Amazon.com Inc 2.80 %
JPMorgan Chase & Co 2.36 %
Facebook Inc A 2.19 %
Visa Inc Class A 2.19 %
Mastercard Inc A 2.12 %
Procter & Gamble Co 1.95 %
Verizon Communications Inc 1.75 %
Alphabet Inc A 1.72 %
Region %
United States 94.97 %
Sector %
Technology 24.46 %
Financial Services 17.99 %
Healthcare 14.44 %
Consumer Cyclical 9.23 %
Industrials 7.31 %
Consumer Defensive 5.78 %
Energy 5.66 %
Name
Merian Investment Management Limited
Address
EC4P 4GG, London, United Kingdom
UCITS
Yes
Legal Structure
Open Ended Investment Company

Managers

Ian Heslop
Joined 12/01/2004

Ian joined Merian in 2000 and is head of global equities. He manages a range of hedge and retail funds and segregated mandates, including market neutral and long only funds. Ian boasts more than 20 years of investment experience and the team has won numerous awards for its funds. Prior to joining the business, Ian was a UK quantitative fund manager at Barclays Global Investors. He holds an MA in chemistry from the University of Oxford and a PhD in medicinal chemistry, University of Edinburgh. He is an associate of the Society of Investment Professionals.

Amadeo Alentorn
Joined 12/01/2004

Amadeo joined Merian in 2005 and is a fund manager and head of research in the global equity team. Prior to joining the business he developed simulation models for systemic and liquidity risk for the Financial Stability Group at the Bank of England, and worked as a software developer for CAD systems and for robotic applications. He holds a BEng in robotics from the University of Plymouth, an MSc in computer science, and a PhD in computational finance from the University of Essex. He is a CFA charterholder.

Mike Servent
Joined 12/01/2004

Mike joined Merian in 2004 and co-manages a range of funds within the global equity team. He joined from Barra International where he was a senior consultant specialising in the implementation of multi asset-class risk systems. Prior to this he spent five years with COR Risk Solutions, which developed the optimisation, back-testing and modelling software currently used by the global equity team. Mike has an MA in physics from the University of Oxford.

Data provided by Morningstar.

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