Newton Investment Management is a London-based, global investment management subsidiary of The Bank of New York Mellon Corporation. With assets under management of over £47bn (as of 30 June 2011), Newton provides a broad range of award-winning investment products and services to a wide range of clients, including pension funds, charities, corporations and individuals.
Their global, thematic approach to investment has been highly regarded for over 30 years and has proved to be invaluable in overcoming the short-term uncertainties that afflict financial markets and challenge investors. As well as their goal of delivering strong risk-adjusted returns, their approach has involved a transparency that is essential in the building of longstanding relationships with their clients around the world.
The key benefit of their global, thematic approach is that it allows us to gain long-term perspective on global financial markets and economies. There is no shortage of information in the modern world, but information without perspective lacks resonance. Perspective is a defining feature of their investment process; it helps us to anticipate how the world will change and it identifies areas of risk and opportunity across the globe.
A central tenet of their approach, which dates back to the inception of the firm, is that 'change leads to opportunity'. The world is changing constantly and it follows that, to be fruitful, an investment approach must be dynamic enough to take advantage of such change. In recent times, the model-driven approaches of some investors, which rely upon backward-looking data, have proved to be unreliable. Their approach, by contrast, is forward-looking and, because it seeks to anticipate change, it is much less likely to be caught out by change.
Their key to preserving perspective is their structure. Their investment managers are backed by strong teams and, in particular, they employ highly qualified career analysts, many of whom have direct experience in the global sectors for which they are responsible. Their global analysts and investment managers sit mainly in one location, London, rather than being spread around the world, and this collaborative arrangement promotes perspective on the investment landscape, strong idea generation and the swift implementation of investment ideas.