manager craig ellis aims to run a portfolio of 30-50 large-cap stocks using a growth bias
Neptune Investment Management has launched a US Opportunities fund run by former Paine Webber manager Craig Ellis.
Ellis, who joins as head of US equities, is looking to run a portfolio of 30-50 mainly large cap stocks, aiming to outperform the S&P 500.
It will be run with a growth bias. Ellis' investment process will draw heavily from his own proprietary valuation and risk assessment model, which looks to minimise risk through identifying those companies most certain to meet their earnings forecasts.
He said: 'We estimate forward risk by assessing future earnings and cash flow assumptions in the market place and estimate the risk of those earnings being attained or exceeded.
'In turn, the model is valuable in assigning target multiples relative to growth rates as compared against our benchmark of the S&P 500.'
US Opportunities carries a 5% front load with an annual management fee of 1.6% for retail investors and 1.1% for institutional clients. Intermediary commission is payable at 3% initial and 0.5% trail.
Neptune is confident now is a good time to buy into the US market.
Ellis said: 'We believe we are finally at an earnings inflection point in the market so that there is now a much larger universe of companies with predictable earnings growth and stable fundamentals going forward.'
Ellis previously worked at Orbitex with Neptune's managing director and chief investment officer, Robin Geffen.
The launch gives Neptune equity coverage in all of the major markets.
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