020 7189 9999
Bestinvest rating
LOOMIS SAYLES US EQUITY LEADERS I/A (GBP)

LOOMIS SAYLES US EQUITY LEADERS I/A (GBP) - Overview

Overview of LOOMIS SAYLES US EQUITY LEADERS I/A (GBP) Buy in ISA Buy in Investment Account

The investment objective of the fund is to achieve long-term growth of capital by investing in a focused portfolio of mainly large US companies. The fund is actively managed with a long-term, private equity approach to investing. The fund's manager seeks to achieve its objective by adding value through bottom-up selection of a limited number of securities. The fund defines risk as permanent loss of capital, not tracking error or short-term relative underperformance.

  • Standard Initial Charge 1.00%
  • Initial charge via Bestinvest 0.00%

Fund summary

Sector North America
Structure OEIC
Launched June, 2013
Size £555m
Yield 0.5%
Charging basis Income
Dividends paid Acc units only

Charges

Standard initial charge 1.00%
Initial charge via Bestinvest 0.00%
Additional bid/offer spread 0.00%
Annual management charge 0.80%
Ongoing charges figure 0.80%

Risks

Before investing make sure you have understood the risks relevant to the fund by reviewing our Risk Warnings section. Further information on the risks are contained in the fund's Key Information Investor Document, which we make available to you before you make a decision to invest, alternatively it is available on request.

Bestinvest view

The Boston-based team undertake their own extensive stock research and rigorous in-house peer review. Companies that pass their strict quality and growth requirements are added to their "bench" of stocks to watch until the price is right - ie where valuation is compelling. Unlike many others, price to earnings ratio is not a metric that appears in their investment lexicon, preferring to look at: barriers to entry, profit margin, top line revenue growth, free cash flow, return on invested capital. We like the outcome of this process: a concentrated portfolio of high quality, high growth stocks, trading at a discount to intrinsic value, with low portfolio turnover and significantly different from the benchmark US index.

Portfolio

Allocation Proportion(%)
Equity 97
High yield bonds 0
Quality bonds 0
Property 0
Commodities 0
Hedge 0
Fund cash 3
Allocation Proportion(%)
UK 0
Europe 7
North America 87
Japan 0
Pacific 0
Emerging Markets 6
Allocation Proportion(%)
Large Caps 87
Mid Caps 13
Small Caps 0
View all performance data for this fund

Investment process

The 7-person investment team has a collegiate stock selection and portfolio review process. Analysts are sector specialists and they do not use "screens" to select investments. Instead they look at the whole value chain in an industry to see which point in the chain gets the most value. This throws up stock ideas for further investigation. Each stage in the seven-step research framework is critiqued by peers before progressing to the next step. Analysts first spend up to 2 weeks on a "quality report" for a new stock idea covering: the target company's competitive advantage, its competitors, financials and managerial strength. The final 3 steps are covered in a "growth report" which takes a further 2-4 weeks, looking at secular drivers within the industry. Scenario analysis produces a range of outcomes for a company's "intrinsic value" given different assumptions in their models. This gives a Base, Bear, Best and Worst case for each stock & corresponding upside from the current share price. A company may stay on the "bench" until the price is right. Currently there are 130 companies on the bench. They buy when a stock trades near its bear or worst case and trim as it nears its best case scenario. Typically only 1 or 2 new names get into the portfolio each year. PE ratio is not a metric they look at. Instead they look at margins, top line growth, free cash flow and return on invested capital.

Live feed

Bid price(inc) 247.96p
Accum units 247.96p
Fund commentary 16/10/15
Fund data updated on 22/10/18

Asset allocation

Allocation Proportion(%)
Equity 97
High yield bonds 0
Quality bonds 0
Property 0
Commodities 0
Hedge 0
Fund cash 3

Equity Geographic

Allocation Proportion(%)
UK 0
Europe 7
North America 87
Japan 0
Pacific 0
Emerging Markets 6

Equity Capitalisation

Allocation Propor
tion(%)
Large Caps 87
Mid Caps 13
Small Caps 0

Top 10 holdings

As at: 31/08/2018
7.9% Amazon.com Inc
6.1% Visa Inc
5.6% Facebook Inc
5.2% Alibaba Group Hldg Ltd
4.7% Oracle Corp
4.4% Autodesk Inc
3.6% Monster Beverage Corp
3.6% Regeneron Pharmaceuticals Inc
3.5% Microsoft Corp
3.2% Qualcomm Inc
Source: Trustnet

Sector breakdown

Information Technology 43%
Health Care 14%
Consumer Discretionary 13%
Consumer Staples 13%
Industrials 7%
Financials 5%
Energy 3%
Cash & Cash Equivalents 2%

Portfolio details

As at 30/04/15: 34 holdings across 22 different business drivers. Average 38% discount to intrinsic value. 12% portfolio turnover just by names.

Constraints

30-40 stocks. Max 8% individual stock weight.
The portfolio usually has very little commonality with the benchmark and so performance can be expected to differ markedly on occasions.

Average monthly relative returns Bestinvest MRI
13/14 14/15 15/16 16/17 17/18   3 years 5 years Career 3 years 5 years Career
-0.23% 0.39% 0.58% 0.06% -0.03%   0.20% 0.15% 0.27% 80.00% 83.40% 98.30%
Performance figures are based on the average of monthly percentage returns relative to the benchmark index.

Aziz Hamzaogullari

Manager. Hamzaogullari is a vice president of Loomis, Sayles & Company and lead portfolio manager of the Loomis Sayles large cap growth strategies, including the Loomis Sayles Growth Fund. He has 18 years of investment management experience and joined Loomis Sayles in 2010 from Evergreen Investments, where he was the senior portfolio manager of the Evergreen Omega and Large Company Growth Funds. Hamzaogullari joined Evergreen in 2001, was promoted to director of research in 2003 and portfolio manager in 2006. He was head of Evergreen's Berkeley Street Growth Equity team and was the founder of the research and investment process. Prior to joining Evergreen he was a senior equity analyst and portfolio manager for Manning & Napier Advisors. He received a BS from Bilkent University, Turkey, and an MBA from George Washington University.

Track record

Aziz Hamzaogullari has 12.3 years experience of managing mutual funds in this sector. Over this period the average monthly return relative to the benchmark index has been +0.27%. During the worst period of relative performance (from September 2016 - December 2016) there was a decline of 6% relative to the index. The worst absolute loss has been 39%. Statistically, we estimate the probability that this fund manager is adding value, rather than being lucky, is 98%.

Periods of worst performance
Absolute -39% (October 2007 - February 2009)
Relative -6% (September 2016 - December 2016)

Other funds managed

  Start Date
LOOMIS SAYLES US EQUITY LEADERS N/AApr 2013

Sector record since July 2006 (12 yrs)




About the MRI

Our unique indicator: the Bestinvest Manager Record Index (MRI) measures the likelihood that the fund manager is adding value through their decisions. It is based on their performance record over the course of their career, adjusted for the amount of risk taken. MRI is an important contributor to our fund rating system but it is also vital to take account of qualitative factors. It is also very important to select funds to form a cohesive portfolio with an appropriate overall risk level.

Your Session will expire soonclose overlay

As you have been inactive for nearly 15 minutes you will soon be logged out of the secure area of our website. Click OK to remain logged in.