Sprint Asset Management engages in global investment activities through a focused portfolio of public companies in which we have strong convictions. We assert that integrating sustainability analysis into every investment decision is crucial for achieving enduring success.
This sustainability viewpoint enables us to develop a comprehensive understanding of the companies we select for investment. Our dedication to a long-term investment strategy allows us to exercise patience in identifying firms that feature outstanding management teams and sustainable business models.
Moreover, we emphasize the importance of acquiring global investments at suitable valuations and require a significant margin of safety in all cases. We perform thorough research to effectively implement our investment strategy. Our portfolios are composed of sustainable companies, supported by the confidence derived from extensive research and analysis.
A sustainable company is characterized by its independence from future earnings to sustain current profits, its sustainability initiatives that enhance performance and competitive advantage, and its provision of products and services that align with a net-zero, prosperous, equitable, healthy, and safe society. Additionally, such companies prioritize long-term issues in their external communications.
Our analysis focuses on two essential dimensions of quality: the attractiveness and resilience of a company’s business model, known as Business Quality, and the effectiveness of its management and governance, referred to as Management Quality. These criteria inform the selection of a Focus List of companies, which forms the basis of our concentrated portfolio. As dedicated investors, we concentrate our efforts on a carefully selected group of companies, closely monitoring them to understand the intricate details of their operations.
Broadening Investment Opportunities
Investing in foreign equities enhances the range of investment options available to investors. By exploring markets outside of their home country, investors can access industries and sectors that may be underrepresented or entirely missing, thus integrating the advantages of prominent global companies into their investment portfolios. It is our conviction that this increased exposure can improve the potential for returns and create avenues for growth.
Risk Diversification
Investing in shares of global companies facilitates the distribution of risk across different geographic areas and economic environments. This approach to diversification can mitigate the impact of local economic recessions or sector-specific difficulties on an investor’s overall portfolio.
By spreading investments across various nations and industries, investors can diminish the risks associated with reliance on a singular market or sector. Clients considering investments in international equities can harmonize their preferences for particular brands with their investment strategies, while simultaneously benefiting from the potential of risk diversification and broader investment prospects.
As emerging sectors like artificial intelligence evolve, global investors can engage in the opportunities that arise as international firms develop these groundbreaking technologies. A lack of diversification can heighten risk for investors, as their entire portfolio may become tied to the performance of a single market or economy. A heavy reliance on domestic investments can make a portfolio more susceptible to economic downturns or crises that are unique to that area.
By investing in some of the largest multinational corporations, one can gain wider exposure to a range of markets and economies, each with its own unique characteristics and influences.
