Fund Overview

Fund Objective

• The S&W Matterley Undervalued Returns Fund is a UK based OEIC seeking to produce long-term capital growth through investing in UK equities

Core Strategy

• Identification of undervalued stocks through thorough analysis of the balance sheet
• Rigorously adhere to a proprietary investment process derived from balance sheet based metrics
• Specifically targets stocks where the market is undervaluing a company's asset base or its return on assets

Portfolio Construction

• Unconstrained by benchmark: our positions and their weights are conviction led, driven by potential upside to target price and liquidity, rather than the benchmark
• Unconstrained by size: we are prepared to invest in smaller companies, but only where there is sufficient upside and appropriate liquidity
• Overseas stocks: we will only invest in European stocks if they are materially cheaper than their UK peers. No more than 20% can be held in non-UK stocks

Position Guidelines

• Minimum of 40 stocks and maximum of 60
• Minimum position of 0.5% and maximum of 5% or twice the Index weight
• Absolute sector limit of 25%