Our investment capability at a glance
We strongly believe in the importance of transparency throughout the investment process. That's why we've presented our process in this section in a clear and structured way so that you can not only find out how we invest, but also set us apart from other mainstream UK equity managers and specialist responsible investment houses. Click on the links below to learn about:
Our investment capability
The Co-operative Asset Management manages a range of portfolios for retail, pension fund, life company and other institutional clients amounting to over £19 billion of assets.
The team comprises over 50 investment professionals, based in Manchester, including:
- equities, fixed income and ESG (environmental, social and governance) research analysts dedicated to researching UK companies
- fund managers focused on stock selection and constructing diversified portfolios which balance performance with risk and volatility
- operations and other experts supporting the investment process.
Our investment approach
The Co-operative Asset Management combines bottom-up stock selection with the application of carefully developed themes to construct detailed investment cases on mis-priced companies.
The investment approach for our core fund range is characterised by a number of features suited to long-term personal investors:
- Focused – The portfolio will typically have between 50-60 holdings and over 40% of assets in the top ten holdings
- Long-term – Investment holding periods of three to four years
- Stockpicking – We construct portfolios on a bottom up basis
- Responsible – Embedded environmental, social and governance (ESG) analysis provides a broader perspective and represents the views of our customers in the investment process.
Our investment approach is structured to consider companies at three levels to identify stocks which are mis-priced.
- Investment themes – The increasingly short-term nature of the investment industry, evidenced by declining stock holding periods, results in long-term opportunities being over-looked. We have adopted a long-term investment philosophy and evaluate the effect of long-term investment themes.
- Industry trends – The increasingly narrow focus of most investors has resulted in our broadening the scope of inputs beyond traditional investment research to identify wider industry trends or linkages between industries.
- Company specific – We believe that the market can inefficiently discount company specific events such as management change. Therefore we devote a large amount of analytical resource to changing company situations.
