MONDRIAN

Investment Capabilities

Mondrian is an active defensive manager. All of our investment products utilize income-oriented value disciplines that have been successfully applied since our founding in 1990.

ESG Integration

Mondrian believes that the inclusion of ESG factors is essential in understanding risk-adjusted returns for both dedicated ESG and standard strategies. Mondrian’s long-term, fundamental research process has always demanded that analysts strive to consider all material risks that could influence a security’s valuation, including those factors rooted in environmental, social and governance concerns. For more information, please see ESG at Mondrian.

Equity Philosophy

In the management of equity assets, we invest in securities where rigorous dividend discount analysis identifies value in terms of the long-term flow of income. Dividend yield and future real growth play a central role in our decision making process and over time the dividend component is expected to be a meaningful portion of the expected total return. Our methodology is applied consistently to individual securities across all markets and industries. Mondrian’s investment approach seeks to generate three specific investment benefits.

An approach that seeks to provide a rate of return meaningfully greater than the client’s domestic rate of inflation
Client portfolios that aim to preserve capital during protracted global market decline
Portfolio performance that has been less volatile than the relevant benchmark and most peers in the universe

Fixed Income Philosophy

We invest in global bond markets that best compensate for inflation and sovereign credit risks, measured by a market’s Prospective Real Yield (PRY). We define PRY as the 10-year government bond yield minus Mondrian’s inflation forecast minus Mondrian’s sovereign credit adjustment. Our approach to currency is based on Purchasing Power Parity (PPP) supplemented by our sovereign credit analysis. For non-government sectors, we use our valuation metrics to appraise opportunities in credit sectors, sub-sectors and individual issues.

For over three decades, our disciplined investment philosophy and process has delivered strong long-term performance with clear characteristics
Stable, well-resourced team with expert knowledge of our asset classes
A quantitative-led approach within all of our research areas – inflation, sovereign credit, PPP and corporate credit – provides structure and discipline to our investment process