TD Asset Management (TDAM), the manager of TD Mutual Funds, has launched the TD Global Equity Focused Fund, which will aim to capitalise on investment opportunities from global equity markets to deliver above-average risk-adjusted returns.
According to TDAM, the Fund seeks to provide access to high quality global companies that, in the manager’s view, have excellent business models, underestimated cash flow generation and solid growth potential, in addition to a concentrated portfolio of fundamentally researched securities that seeks to deliver long-term capital appreciation and income growth.
The Fund also strives to optimise diversification by industry, country and cash flow type, while utilising options and defensive currency hedging strategies when appropriate.
“We are excited to offer a Fund for investors seeking equity growth opportunities from around the world. The Fund combines the benefits of global equity diversification with the potential for enhanced returns,” says lead Portfolio Manager, Damian Fernandes, Vice president and Director, TDAM. “Our innovative portfolio construction process is designed to help identify companies that reinvest free cash flow at high rates over time, as our research shows these companies are better positioned to generate solid long-term returns. We believe optimal diversification can be achieved not only by investing across geographies and sectors, but also by introducing fundamental diversification, that is, diversifying across business models and sources of cash flow generation.”