To select a portfolio of equities in the Asia Pacific ex Japan region which have the ability to grow their dividends over the time. A particular emphasis is placed on identifying those companies with exceptional franchises, annuity like cash flows and pricing power which are trading at significant discounts to intrinsic value with limited downside risk. We have both absolute and relative targets: to generate 10-15% total returns with similar levels of volatility and also to outperform the MSCI Asia Pacific ex-Japan Index by 5-10% annually.
The process is both quantitative and qualitative with the latter dominating. We follow a rigorous investment process to identify stocks with the following characteristics: