JOHCM UK Dynamic fund manager Alex Savvides is a contrarian who targets companies undergoing a period of change – taking advantage of this transition to deliver long-term growth returns. When building a portfolio of 35-50 holdings, Alex looks specifically for companies which are well established, in a structurally sound market and pay a dividend. Having built up an excellent long-term track record, Alex’s process of investing in UK companies which are undergoing substantive positive changes – which has not been recognised in the share price – has shown itself to be successful in numerous market conditions.
What’s covered in this episode:
- Why the fund is much more than just a value-orientated vehicle
- Valuation did not disappear, it will always matter
- Our companies are not the most exciting – but they excite us
- How the business turnaround in energy supplier Centrica is the perfect example of how you can make exciting returns
- The importance of the “say do ratio” when assessing new management teams
- Why 3i and Electrocomponents are the best turnaround stories of Alex’s career – and a few he is bullish on in the future
- Why the strong levels of M&A activity seen in the past 18 months are unlikely to continue going forwards
- Why he was not happy with certain bids for companies in his fund and having to fight for fair value for long-term shareholders
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