Mirabaud UK Equity High Alpha

UK Equities

Mirabaud UK Equity High Alpha

A fully unconstrained, highly focused UK equity strategy, integrating ESG and climate change risks and leveraging the existing market opportunity.

Our Approach

25-35 stock high conviction and "UK best ideas" approach

We follow a high conviction, unconstrained approach to build a distinctive and focused portfolio of between 25-35 UK companies.

Our Approach

Mid-cap tilt

The strategy’s mid-cap bias is the result of an unconstrained bottom-up approach.

Our Approach

Highly flexible style

Flexibility to invest across the market-cap spectrum. We don’t distinguish between traditional value and growth definitions - we consider any quality company that has growth potential.

Our Approach

Robust focus on sustainability

Enjoys one of the highest Morningstar Sustainability ratings in its sector. We combine hard exclusions with bottom up ESG integration into the investment process. We want to ensure the companies we own for the long term are fair to all stakeholders. This is augmented with proprietary tools to highlight climate change risk in portfolios, and active ownership.

We don’t distinguish between traditional ‘value’ and ‘growth’ definitions - we consider any quality company that has growth potential
Jeremy Hewlett
Portfolio Manager

Our approach

UK Equities

Our approach

Value is the gap between quality and price

Where there is a disconnect between the quality of an asset and its price – our definition of a ‘value’. We are seeking quality franchises where the current price understates its quality.

Balancing conviction and diversification

At least 50% of the portfolio is concentrated into the 10 highest conviction positions with the least downside risk. The balance consists of smaller position sizes to provide sufficient scope for diversification.

Being disciplined in what we own

We invest in companies that we can understand and value. In certain companies, such as in sectors like banks or biotech, we take a cautious approach in how we value them.

We focus on our three pillars of quality

Scale: we focus on companies that have the ability to scale. They share important key attributes: asset light, large addressable markets, digitally enabled and they enjoy recurring revenues.

Optionality: we look for companies where intrinsic value is not recognised by the market through characteristics such as unidentified revenue opportunities, cross-sell potential and assets or cash on the balance sheet.

Low risk: the price we pay is our key measure of risk. We are focused on owning cash generative companies with strong balance sheets, solid management and esg integrity, where price has not been fully recognised by the market.

UK Equities