Lloyds Growth Equity UCITS ETF

Issuer: HANetf

Asset Class: Equity

TER: 50bps

Trading Currency: USD

Pays Income: False

Listing Date: 17 May 2024

Ticker: GEP

ISIN: IE00068IJAK0

This actively managed fund seeks to achieve long-term capital growth by investing in a concentrated portfolio of approximately 30-35 high-quality global companies. The investment philosophy is centered on identifying businesses with sustainable competitive advantages, exceptional management teams, and significant growth potential that the market has not yet fully appreciated. Through a rigorous, bottom-up fundamental analysis, the strategy focuses on durable companies that can generate high returns on capital and are positioned to benefit from long-term structural trends, irrespective of the broader economic cycle.

The investment process prioritizes companies demonstrating strong financial health, including robust balance sheets and the ability to generate significant free cash flow. The portfolio managers look for businesses that can consistently reinvest their earnings at high rates of return, thereby creating a powerful compounding effect over time. This high-conviction approach means that each holding can have a meaningful impact on overall performance, reflecting the managers' strongest investment ideas. The strategy deliberately avoids short-term market timing, instead opting for a patient, long-term holding period for its chosen securities.

This product is designed for investors with a long-term investment horizon who are seeking a focused global equity exposure that deviates significantly from passive market indices. It is suitable for those comfortable with the risks associated with a concentrated portfolio and an active management style. By providing access to a curated selection of what the managers believe to be exceptional growth companies, the fund aims to deliver compelling risk-adjusted returns and outperform the broader global equity market over a full market cycle.