Citywire Switzerland, Gstaad 2024

The Healthcare sector is known for its defensive characteristics, especially in volatile market environments. However, we believe many investors overlook the offensive role that a healthcare allocation can play in investor allocations. We believe that this unique combination of offensive and defensive characteristics is a necessary prescription for ongoing macroeconomic uncertainty. In our view, a business-based approach to investing in the healthcare sector can provide exposure to durable long-term growth opportunities and improve risk-adjusted performance for investors over time.

Workshop Objectives: In our view, a business-based approach to investing in the healthcare sector can provide exposure to durable long-term growth opportunities and improve risk-adjusted performance for investors over time.

Company Profile: AllianceBernstein is a leading investment-management firm with $759 billion in client assets under management, as of 31 March 2024. With a unique combination of expertise across equities, fixed-income, alternatives and multi-asset strategies, we aim to deliver differentiated insights and distinctive solutions to advance investors’ success. Across our global network, we’re fully invested in delivering better outcomes for our worldwide clients, including institutional, high-net-worth and retail investors. By embracing innovation, we seek to address increasingly complex investing challenges and opportunities. And we pursue responsibility at all levels of the firm—from how we work and act to the solutions we design for clients.

    Key Points:  
•    Global corporate profit margins remain healthy while leverage across many high yield debt issuers has fallen.
•    The high yield corporate debt sector has seen low levels of default in recent years in comparison to historical averages.
•     A short-dated approach can bring increased certainty when investing in high yield, helping investors to target more predictable outcomes.
Rising yields and modest default rates among corporate bond issuers look set to attract new investor interest to opportunities in the short-dated high yield debt market, says Insight Investment senior portfolio manager Uli Gerhard.

As global markets rebalance following a long period of low inflation and interest rates, fixed income markets are showing signs of marked recovery as investors target rising yields and seek to diversify their portfolios.

Workshop Objectives: Taking the fear out of high yield investment. How can a short-dated approach offer investment benefits?

Company Profile: Established in 1784, BNY Mellon is America’s oldest bank and the first company listed on the New York Stock Exchange (NYSE: BK). Today, BNY Mellon powers capital markets around the world through comprehensive solutions that help clients manage and service their financial assets throughout the investment life cycle. BNY Mellon had $47.8 trillion in assets under custody and/or administration and $2 trillion in assets under management as of December 31, 2023. BNY Mellon has been named among Fortune’s World’s Most Admired Companies and Fast Company’s Best Workplaces for Innovators. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation. Additional information is available on www.bnymellon.com. Follow us on LinkedIn or visit our Newsroom for the latest company news.

While inflation has proved stickier than expected, the question appears to have shifted to not if but when central banks will cut interest rates. Against that backdrop, and with yields at attractive levels, we make the case why diversifying your bond portfolio can be key to unlocking a higher income

Workshop Objectives: Learn how MSI’s balanced approach, with exposure across four key fixed income markets, provides a more durable long-term income solution

Company Profile: Capital Group is one of the oldest and largest asset management companies in the world, managing multi-asset, equity and fixed income strategies for different types of investors. 
Since 1931, Capital Group has been singularly focused on delivering superior, consistent results for long-term investors using high-conviction portfolios, rigorous research and individual accountability. We build our investment strategies with durability in mind, backed by our experience in varying market conditions. Fundamental proprietary research forms the backbone of our approach, provided by our integrated global network of more than 450 experienced investment professionals, with an average portfolio manager investment experience of 27 years. 
Today Capital Group works with financial intermediaries and institutions to manage more than US$2.7 trillion* in long-term assets for investors around the world.
*All data as at 31 March 2024

Corporate Japan has transformed from the market-share-chasing, low margin, high capex model of the 1980s, to one with a focus on shareholder returns and capital efficiency. We believe the market will benefit from sustained economic momentum for the next decade, driven by factors such as corporate governance reform, supportive monetary policy, and moderate inflation. In our CT (Lux) Japan Equities fund, we seek to build a concentrated, high-conviction portfolio invested in quality, attractively priced companies across the market capitalization spectrum. We believe our core investment style has ensured consistent alpha generation throughout the market cycles, while the experience and stability of our team has provided a solid backdrop for the consistency and repeatability of the investment process.

Workshop Objectives: Japan is in a transformational period and presents an increasingly compelling long-term investment opportunity for active investors. Learn why we are optimistic for shareholder returns in the upcoming decade.

Company Profile: At Columbia Threadneedle Investments, we invest to make a difference in your world, and the wider world. Millions of people rely on us to manage their money and invest for their future; together they entrust us with $ 642 billion*. We are globally connected with a team of over 650 investment professionals providing diverse expertise, spanning almost every asset class and market. We are intense about research as we believe that original independent research makes investment decisions smarter. We have a responsible ethos as investment decisions today help define the future we all seek. Every day, we’re looking for opportunities to improve how we invest and what our clients experience; our focus on continuous improvement means that we never stand still. Whatever world you want, our purpose is to help you achieve it.
*Data as of 30 June 2024

The onset of COVID-19, which carried temporary albeit painful implications for Middle East and North Africa region, brought forward the urgency to pursue unprecedented reforms to stabilize short-term growth and restore long-term confidence in the sustainability of these economies. The strategic response has underpinned record debt and equity issuances and pivoted MENA+ economies into mainstream allocations across broader emerging and developed market benchmark indices. The successful execution of multi-year reforms carries strong prospects for rating upgrades and attractive total return opportunities across the capital structure and maturity spectrum. 

This presentation aims to provide a glimpse of the broader MENA+ region particularly the fixed income universe and how Emirates NBD Asset Management is positioned to facilitate access to discerning investors to this attractive opportunity set.

Workshop Objectives: MENA region continues to offer discerning investors an attractive opportunity set to benefit from the secular growth in the region across asset classes and risk profiles. We will look to highlight the opportunities and exhibit Emirates NBD Asset Management’s strength as being the gateway to benefit from this opportunity.

Company Profile: Emirates NBD Asset Management is owned by Emirates NBD Bank PJSC (Moodys A+), one of the largest financial institutions in the Middle East and is regulated by the Dubai Financial Services Authority. The company provides a wide range of investment solutions, from in-house managed public funds to tailor made discretionary solutions across MENA equities, fixed income and global risk profiled solutions, on either a Shari’a-compliant or conventional basis. The company is also Fund Manager for ENBD REIT, one of only two publicly traded real estate investment trusts in the UAE.

One of the largest asset managers in the Middle East, the company’s trusted, experienced and specialized team has a long track record of operating in the MENA region.

The US domestic economy is set to benefit from unique tailwinds over the next few years: infrastructure spend, reshoring, pent-up demand for housing and improving labour force productivity. With a clear domestic focus, US small- and mid-cap companies should be outsized beneficiaries of these trends.
2023 and early 2024 have seen a narrow market driven by a combination of excitement around the prospects for large cap tech and fears of an economic slowdown. This has created a uniquely attractive entry point into an overlooked asset class which now appears well positioned from both a cyclical and structural perspective.
Mark will lay out the value he sees in the asset class and the way the strategy is positioned to benefit from some of these attractive dynamics.

• Discover the reasons for a structural allocation to US SMID within your portfolios
• Learn about the particular valuation opportunity we see in US SMID currently.
• Discover which sectors may see the strongest growth potential.

Company Profile: Federated Hermes is guided by the conviction that responsible investing is the best way to create long-term wealth. We provide specialised capabilities across equity, fixed income and private markets, in addition to multi-asset strategies and liquidity-management solutions. Through pioneering stewardship services, we engage companies on strategic and sustainability concerns to promote investors’ long-term performance and fiduciary interests. Our goals are to help people invest and retire better, to help clients achieve better risk-adjusted returns and, where possible, to contribute to positive outcomes that benefit the wider world.

Matt Jones will introduce Fidelity’s Absolute Return Global Equity strategy, a market neutral long-short portfolio, highlighting its use case in helping investors improve their efficient frontier within a wider portfolio. He will present its innovative and repeatable investment process using a highly differentiated approach, showing investors how proprietary research insights can be harnessed quantitatively to guide stock selection in an alpha seeking strategy. Demonstrating the strategy’s diversification benefits and negative correlation to other asset classes, this comprehensive overview will highlight why this type of approach could be a compelling choice for investors.

Workshop Objectives: The workshop aims to demonstrate the benefits of an equity market neutral approach, whereby proprietary research is used to build an alpha seeking long-short global equity portfolio.

Company Profile: Fidelity International offers investment solutions and services and retirement expertise to more than 2.8 million customers globally. As a privately held, purpose-driven company with a 50-year heritage, we think generationally and invest for the long term. Operating in more than 25 countries and with $862 billion in total assets, our clients range from central banks, sovereign wealth funds, large corporates, financial institutions, insurers and wealth managers, to private individuals.
By combining our asset management expertise with our solutions for workplace and personal investing, we work together to build better financial futures. Data as at 30 June 2024. Read more at: www.fidelity.ch

First Trust specialist Gregg Guerin will discuss why we believe the Smart Grid may be a multi-trillion-dollar investment opportunity
between now and 2050 as well as detailing the First Trust AI Framework. This is an investment at the intersection of two of the biggest and most discussed megatrends, AI and the Energy Transition.

The Nasdaq® OMX Clean Edge® Smart Grid Infrastructure Index UCITS ETF has been one of the lower volatility clean energy investments over the last decade and many of its holdings have been implementing AI for years. A modernised grid is essential as renewable energy generation & data centres multiply, all whilst traditional energy demands persist. Gregg will highlight how this strategy can capitalise on upgrading the century-old electricity grid to power our future economy. 

Workshop Objectives:
•    Detail the Smart Grid Theme
•    Articulate the Stock Selection & Weighting Methodology
•    Illustrate potential reasons for the theme’s lower volatility than other broad-based clean energy investments
•    Discuss where we are in the “Broadening Out” Rally 

Since more than a decade Impax Asset Management has successfully been investing in the Global High Yield Space.

Impax follows the belief that the credit market is inefficient, leaving many attractive opportunities for disciplined investors.
We actively select undervalued credits where spreads are too high and where default risk is kept under control.
In the workshop we will explain how we find these undervalued credits and we will discuss supporting factors such as size, value, momentum and low risk.  

Workshop Objectives: We will explain how Impax Global High Yield identifies undervalued credits and creates a diversified unconstrained portfolio with attractive relative value characteristics

Company Profile: Impax was founded in 1998 and is a specialized asset manager with assets under management of 50 billion dollars (as of 31/03/2024). For 25 years, the company has been a pioneer in sustainability and focuses on generating strong, risk-adjusted returns with investments that support the
support the development of a more sustainable global economy. The range of investment solutions includes sustainable equity, bond and infrastructure strategies.

In an era defined by rapid global shifts and evolving societal values, savvy investors seek more than just financial gains; they seek sustainable, long-term growth. Today, we unveil CM-AM Conviction Euro and CM-AM Conviction USA, two innovative mutual funds poised to lead investors into the future. With a combined track record spanning over 33 years, these funds embody a commitment to harnessing global, structural, and sustainable trends for value creation. CM-AM Conviction Euro offers exposure to growth-oriented companies across all capitalizations, integrating ESG criteria for sustainability. Meanwhile, CM-AM Conviction USA targets high-quality growth companies in North America, aligning investments with major trends like innovation and sustainable economies. Embrace the future of investing with these funds, driving both profit and positive impact.

Workshop Objectives: Equip participants with a comprehensive understanding of how to leverage global, structural, and sustainable trends for long-term investment success with CM-AM Conviction Euro and CM-AM Conviction USA.

Company Profile: La Française and Crédit Mutuel AM are asset managers, members of Crédit Mutuel Alliance Fédérale.

Organized around two business lines, financial and real estate assets, La Française serves institutional and retail clients in France and abroad. La Française manages over €45 billion in assets and has operations in Paris, Frankfurt, Hamburg, London, Luxembourg, Madrid, Milan, Seoul and Singapore (30/06/2023).

Crédit Mutuel AM offers a wide range of funds and asset management solutions to third parties. Crédit Mutuel AM manages over €75 billion in assets and has recognized know-how in equity management, fixed income management, diversified management and formula funds. It also has recognized expertise in responsible finance, which reflects in a full range of responsible funds.
www.creditmutuel-am.eu

With geopolitics never far from investors’ minds, and the US economy looking potentially too hot for comfort, Amelie Chowna, Fixed Income Investment Specialist at LGIM, discusses the unusually volatile world of global bonds. Most notably, how does the team adapt to fast-changing market environments? And how much credit and interest rate risk we believe are relevant for differing points of the economic cycle?

With reference to the L&G Absolute Return Bond Plus Fund, Amelie will also discuss: 
•    Dynamism in duration management
•    Why we believe diversifying sources of alpha is key
•    Seeking to mitigate downside risks
•    The ESG considerations of this Article 8 fund 

The value of investments and the income from them can go down as well as up and you may not get back the amount invested.  

Workshop Objectives:

•    Dynamism in duration management
•    Why we believe diversifying sources of alpha is key
•    Seeking to mitigate downside risks
•    The ESG considerations of this Article 8 fund 

Company Profile: We are Legal & General Investment Management (LGIM), the asset management business of Legal & General Group. Our purpose is to create a better future through responsible investing. We strive to achieve this through a strong sense of partnership with our clients, working together to achieve positive long-term outcomes.

We draw on industry-leading expertise to innovate constantly across public and private assets, index and active strategies. And we are a responsible investor, rising to the challenges of a rapidly changing world. On behalf of savers, retirees and institutions worldwide, we manage £1.159 trillion in assets.*

European credit remains attractive for long term investors and a significant building block for European fixed income portfolios. Fundamentals, breakevens and valuations to the US remain compelling. Meanwhile the ability of European credit to outperform cash is increasing as the ECB embarks upon an easing cycle.
However, the significant rally in European credit spreads since last autumn reduces the upside for the asset class, especially outside of quantitative easing.  Meanwhile political risk in Europe and slowing US economy have created heightened volatility over the summer. All this means investors should expect less beta gains from spread tightening and focus instead on how strong research and active management can boost returns via security and sector selection.

Workshop objectives: We introduce our top performing MFS® Meridian European and Global Credit Funds and discuss our themes to add alpha and the sectors that provide the most opportunity. We also explain the potential risks and disruptions to the benign scenario currently priced by the market. 

Company Profile: In 1924, MFS launched the US’ first open-end mutual fund to give everyday investors access to the markets. One hundred years later, as a full-service global investment manager serving financial advisors, intermediaries and institutional clients, we celebrate a century of active management. Tested and refined across market environments, our investing approach combines collective expertise, long-term discipline and thoughtful risk management to create value responsibly for clients. Supported by our culture of shared values and collaboration, our teams of diverse thinkers actively debate ideas and assess material risks to uncover what we believe are the best investment opportunities in the market.

With markets operating in a space of uncertainty as intense inflation focus switches to rate-cut anticipation, making the right macro calls is critical to stay in the game. But credit selection still has a vital role to play and can prove the key to delivering attractive returns as we wait for greater economic clarity. 
Join Andrew Lake, Head of Fixed Income, to identify the most compelling fixed income opportunities in the market today and how to blend macro views with expert credit selection for optimised performance across a range of active fixed income solutions.

Company Profile: Mirabaud Asset Management is the independent asset management division of the Mirabaud Group focused on active investing across Fixed Income, Equities, Multi-Assets and Private Assets. A common philosophy applies across each of these areas of expertise, which is an active, high conviction approach to generating long term risk adjusted returns. A focus on managing risk and a commitment towards environmental, social and corporate governance principles are important constituents of Mirabaud AM heritage.
The firm operates in Europe’s key financial centres: London, Paris, Geneva, Zurich, Madrid, Milan and Luxembourg.

Emerging markets are becoming increasingly attractive to equity investors due to robust economic growth, strong domestic demand and low unemployment. In Latin America, Brazil, Chile and Colombia have led globally in cutting interest rates, which should support domestic equities. Southeast Asia is experiencing improved manufacturing activity and controlled inflation, while India and the Middle East are enjoying capex booms. These factors present exciting opportunities for bottom-up stock pickers.

Amid ongoing trends of market volatility, inflation and geopolitical uncertainty, many investors are seeking investment opportunities to help mitigate such downside risk, generate stable income, and deliver resilient returns. The PIMCO Private Diversified Lending Fund (“PDLF”) is a highly diversified private lending fund that leverages PIMCO’s position as a global fixed income leader with deep credit expertise. It seeks to provide income-driven returns by primarily investing in performing private credit across the residential, commercial, specialty finance and corporate sectors.

Workshop Objectives: Present PDLF as a strategy that provides investors access to the full spectrum of private credit opportunities in the current market environment, positioned to perform across different interest rate scenarios, offering attractive yields and potential for capital appreciation.

Company Profile: PIMCO is a global leader in active bond fund management with extensive expertise in both public and private markets. We invest our clients' funds across a broad spectrum of bond and credit markets, leveraging our decades of experience in navigating complex markets. Our flexible approach and close relationships with issuers have made us one of the world's largest providers of traditional and non-traditional investment solutions for companies seeking financing and investors looking for risk-adjusted returns. PIMCO is part of Allianz S.E., a leading global financial services provider.

The global financial crisis started a process of profound change in the European banking sector, putting it on the strongest footing we have seen for decades. Contingent Capital (CoCos), once seen as a nascent and niche asset class, has often been avoided due to its complex mechanics and lack of index inclusion. However, this $250bn asset class offers investors a unique opportunity to generate equity type returns in credit without moving down the issuer risk spectrum. For those investors willing to look through short term volatility this asset class offers investors the opportunity to enhance returns, particularly through active management, while gaining exposure to the sector most well placed to benefit from the current macroeconomic environment

Workshop Objective: Understand the opportunities and risks of this unique asset class and how these can be enhanced and mitigated through active management.

Company Profile: RBC BlueBay Asset Management represents RBC Global Asset Management outside of North America and is an active asset manager with expertise across fixed income, equities and alternatives. Our solutions-driven approach means we endeavour to empower our clients with the knowledge they need to help shape their investment decisions. We work and evolve with our clients, creating and customising investment products that meet their needs.

We operate with total transparency throughout the business, providing clients with direct access to our investment teams and fostering a culture that encourages opportunity, resulting in a thoughtful and inclusive organisation that puts people first and delivers for clients.

Responsible investment is not just an investment focus; it is deeply ingrained into client experience and our work to deliver solutions that support real-world impact.

In a world of ongoing geopolitical and economic uncertainty, we remain focused on using our established investment process to generate alpha through bottom-up stock picking.  We believe that our approach of diversifying across a broad range of companies from different sectors and stages of their Life Cycle will allow us to consistently identify superior shareholder wealth creating companies with undervalued long-term cash flows.

Workshop Objectives: 

In this presentation, Matt Burgess, manager of the Royal London US Equity strategies, will discuss:
•    The analytical advantage of a Shareholder Wealth Creation assessment and valuation approach 
•    How Life Cycle balance in portfolio construction drives idiosyncratic risk and returns 
•    How the Corporate Life Cycle can be applied across Regional and Global Equity Portfolios

Company Profile: At Royal London Asset Management, we do things a little differently.

As an integral part of customer-owned mutual Royal London, we put our clients at the heart of what we do, with a longer-term approach to generating investment returns.

We’re committed to delivering outstanding active asset management value for clients around the world.

It’s asset management excellence with a longer-term perspective.

The outlook for global credit is favourable; major interest rates have likely peaked, and economic growth is supporting spreads. The diversification offered by fixed income and the high-quality nature of investment grade can provide attractive absolute yields, while proving resilience in a downturn. However, many managers struggle to consistently generate alpha.
Vanguard’s active global credit strategy is designed to capitalise on security selection to provide consistent alpha, manage downside risk, and keep beta close to one over time. The fund has outperformed by circa 1.3% annualised since inception.

Workshop Objectives:

•    Learn about our consistent, bottom-up approach to security selection in managing active credit 
•    Understand our approach to risk management given a backdrop of changing interest rate expectations

Company Profile: Vanguard is a different kind of investment company. It was founded in the United States in 1975 on a simple but revolutionary idea: that an investment company should manage its funds solely in the interests of its clients. This is a philosophy that has helped millions of people around the world to achieve their goals with cost-efficient investments. It's what we stand for: value to investors. Since establishing the first indexed mutual fund in the U.S. in 1976, The Vanguard Group Inc., has grown into one of the world’s largest and most respected investment management companies for both its active strategies and passive offering. Globally, Vanguard manages $9.0 trillion on behalf of 50 million investors worldwide (Source: Vanguard, 29 February 2024).

Looking ahead to the second half of 2024, we believe that market conditions for fixed income on the whole look favourable. Yields across the asset class remain high relative to recent history and central banks are on the cusp of delivering long-awaited interest rate cuts.

However, the global macro environment remains uncertain. There is a packed calendar of elections in the second half of the year with expected interest rate cuts still depend on hard-to-forecast data, and the fall in inflation also remains vulnerable to a volatile geopolitical backdrop.

George Curtis, Portfolio Management will discuss how a diversified portfolio is the best way of taking advantage of this situation and why investors will need to look across geographies for the best value income.

Workshop Objectives: To help the audience understand why now is the right time to allocate to fixed income, which parts of the fixed income market offer investors the most value and why staying in cash will ultimately cost you.  

Company Profile: TwentyFour Asset Management is a specialist fixed income fund manager, headquartered in the city of London and a boutique of the Swiss based Vontobel Group. Since inception in 2008, TwentyFour has built an enviable reputation for performance, expertise, and innovation in its chosen sector. 
We specialize in fixed income, nothing else. This focus means that all our resources and people are managing one asset class with no distractions. This allows us to concentrate on delivering the best outcomes for our clients. We currently have £18.6bn in assets under management (as at 31/03/2024). Our product offerings are for both professional and institutional clients, and our portfolio management teams cover three distinct business areas with a high degree of collaboration.