Liontrust

DescriptionLiontrust is a specialist fund management company that launched in 1995 and was listed on the London Stock Exchange in 1999. We believe in the benefits of active fund management over the long term, and have nine equity, fixed income, sustainable and multi-asset teams. Each team has a distinct and rigorous investment process that ensures the way we manage money is predictable and repeatable. Our fund managers have the freedom to manage their portfolios according to their own views without being distracted by other day-to-day aspects of running a fund management company. We seek to manage the company sustainably and responsibly, and are committed to contributing to and benefiting the wider society.ApproachIdentifying emerging trends and long-term themes is the cornerstone of the investment process. The Liontrust Sustainable Investment team looks at the world through the prism of three mega trends – Better resource efficiency (cleaner), Improved health (healthier) and Greater safety and resilience (safer) – and then 20 themes within these. Cleaner: Using our resources more efficiently (water, increasing recycling of waste, lower carbon energy sources and energy efficiency). Healthier: Improving our quality of life through better education, healthier lifestyles and diet or better healthcare. Safer: Making the systems we rely on safer or more resilient. This includes car safety, keeping our online data safe with cybersecurity and spreading risk through appropriate insurance mechanisms. The team invests in well-run companies whose products and operations capitalise on these transformative changes and, therefore, may benefit financially. There are four stages: Thematic analysis: identifies companies with strong and dependable growth prospects due to alignment with the 20 themes. Sustainability analysis: focuses on companies with excellent management and core products or services that contribute to society or the environment. Analysis of business fundamentals: selects only those companies positioned to deliver high returns on equity. Valuation analysis: determining the company will be worth significantly more in the future.