The fund will be managed by the co-CIO of Janus Capital Management, Jonathan Coleman and Dan Riff, the current co-Portfolio Managers of the equivalent US fund.
Janus said it will be a moderately positioned large cap growth equity portfolio, based on the domestic fund which was launched in 1970 and, according to the company, has returned an average of 12.06% per annum, compared with 9.76% by the S&P 500 Index.
Its investment objective will be to generate long-term capital growth over the full market cycle through investment in a portfolio of diversified, moderately large cap growth stocks. It will focus on buying stocks with “durable franchises” and a consistent, growing free cash flow and diversified revenue streams, underpriced by the market.
The portfolio will be built using Janus’ fundamental bottom up stock picking approach, with between 60 and 80 stocks domiciled predominantly in the US. It can also invest up to 10% in non-US companies.
“Our fundamental bottom-up unconstrained research approach at Janus informs us of established companies that are often mispriced by the market,” said Coleman. “We ask three questions about every stock we consider: How do they create value? What is our differentiated view? What is the business worth under a range of scenarios? We continually believe taking a balanced approach to portfolio construction is what suits us best and has contributed to the long-term performance of the large cap fund in the US.”
