“Our positions in European banks are a good example of our investment style, where we look to invest in high quality companies, buy them at bottom quartile valuations and then benefit from the growth over the longer term as the market conditions turn in their favour.”
Director Distribution Luke Cheetham speaks to Co-Portfolio Manager John Whelan about European banks and the role these positions have played in our Global Companies Fund.
Key points in their discussion include:
- An overview of the largest holding in our Global Companies Fund
- Three changing conditions that have created an inflection point for European Banks
- The keys drivers of earnings for European banks, and how these differ to Australian Banks
- PM Capital’s current views on valuations and ‘where to from here’ for the sector
- How PM Capital’s view of European banks has differed from that of the market
This Insight is issued by PM Capital Limited ABN 69 083 644 731 AFSL 230222 as responsible entity for the PM Capital Global Companies Fund (ARSN 092 434 618) the "Fund". It contains summary information only to provide an insight into how we make our investment decisions. This information does not constitute advice or a recommendation, and is subject to change without notice. It does not take into account the objectives, financial situation or needs of any investor which should be considered before investing. Investors should consider the Target Market Determinations and the current Product Disclosure Statement (which are available from us), and obtain their own financial advice, prior to making an investment. The PDS explains how the Fund's Net Asset Value are calculated. Past performance is not a reliable guide to future performance and the capital and income of any investment may go down as well as up.
