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Investment
Fidelity launches global fund

Fidelity International has launched an actively-managed global fund that invests in small- to mid-caps.

The Fidelity Global Future Leaders Fund is jointly run by portfolio managers James Abela and Maroun Younes.

The portfolio managers look to invest in up to 70 small- to mid-cap global companies that have a market capitalisation between US$1 billion and US$40 billion.

The fund charges a management fee of 1.10% per annum and is benchmarked against the MSCI World Mid Cap Index. The minimum initial investment is $25,000.

The fund managers said there is a lot more to global investing than the mega-household names like Apple and Amazon.

"The small- and mid-cap portion of the market offers investors exposure to inefficiently priced or undiscovered companies in their earlier stages of growth or maturity, and the associated upside growth prospects," they said.

The process involves Younes and Abela narrowing down the universe to 1000 stocks, which are then allocated to four segments: quality, value, transition and momentum.

The strategy is based on the existing Fidelity Future Leaders Fund, which is managed by Abela.

"In effect, we are looking for the stars of tomorrow, today - attractively valued companies with strong competitive positioning and sound company management.

"Our aim is to own a balance of stocks across these four segments which we believe can deliver more consistent returns through different market cycles," they said.

Fidelity has about US$565.7 billion in total assets under management.

Read more: Fidelity InternationalJames AbelaFidelity Global Future Leaders FundMaroun YounesAmazonAppleMSCI
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