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.
Equity Investment Philosophy
In the management of international/global 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.
- Provide a rate of return meaningfully greater than the client’s domestic rate of inflation.
- Structure client portfolios that preserve capital during protracted international market declines.
- Provide portfolio performance that is less volatile than both benchmark indices and other managers.
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.
We have used the same, disciplined investment philosophy since our founding in 1990.
Our team is stable and experienced, with sovereign and credit capabilities.
We manage strategies for both developed and emerging bond markets.