A diversified portfolio of 40-70 small-to-mid-cap global companies.
Uses a rigorous bottom-up stock selection process that focuses on finding attractively valued companies with strong competitive positioning and sound company management.
A strong emphasis on building a diversified and balanced portfolio that aims to deliver more consistent returns through different market cycles.
Access to 180+ analysts around the world working to uncover the next 'future leader'
Hand-picked from a universe of around 4,000 stocks, access a diverse and exciting array of industries and sectors
Experienced investment experts dedicated to investing in global small to mid-cap companies
James Abela and Maroun Younes, Co-Portfolio Managers for the Fidelity Global Future Leaders Fund reveal what drives their passion for investing, why global mid and small caps are an exciting place to be, and the benefits of the co-portfolio manager structure.
James and Maroun talk about how they uncover investment opportunities through the Fund's tried and tested approach
The fund had a really good quarter last quarter. The fund posted absolute return of 7.6%, outperforming the benchmark by almost 1.8%. It was a very strong quarter buoyed by increasing confidence, also buoyed by a reduction in interest rates.
And so, unsurprisingly, some of our key contributors for the quarter were interest rate sensitive stocks such as U.S. homebuilder NVR, CBRE, which is primarily exposed to commercial property, and James Hardie. In addition Applovin, one of our technology names, had really good back to back quarters both in Q1 and Q2 and on track to post about 40% revenue growth this year, which was far in excess of estimates.
Conversely, detractors primarily from the tech sector, as we see a broadening out of enthusiasm outside of AI and outside of the tech sector into more cyclically and interest rate exposed names.
So there's probably three big market observations. One is, sector leadership really is changing. The market has been driven for the last 12 months by consumer, technology, financials and industrials. And now it's really broadening out. So in the quarter the defensives have performed quite well relative to those sectors that have been the market leaders in the past. So that is definitely a change that we're now seeing in this quarter.
Secondly, the AI theme has definitely started to slow down. You had some really strong momentum stocks in the AI theme that have really come down in this quarter. So that's part of this broadening out of the thematic.
And lastly the valuation discipline has really started to improve. So the valuation discipline was very forgiving and now it's become very very focused. So quality stocks have rallied quite strongly as have momentum stocks but that is really being challenged right now.
So in terms of outlook for the market, the market has really been moving on earnings expansion but also multiple expansion and now it's going to be a lot more earnings focused because the multiple expansion has been going on for quite a long time.
So it's going to be earnings and very stock specific over the next 6 to 12 months.
Join Co-Portfolio Managers James Abela and Maroun Younes as they reflect on the main contributors and detractors to performance after a strong Q3, and how they are positioning the portfolio moving forward given recent market observations and thematics.
You can get more information about the Fund's top holdings here.
See for yourself how the fund has performed since inception. The chart below represents the value now of $10,000 invested in the Fidelity Global Future Leaders Fund in September 2020 compared with $10,000 invested in the MSCI World Mid Cap Index NR.
Chart as at: 30 November 2024
Total net returns represent past performance only. Past performance is not a reliable indicator of future performance. Returns of the Fund can be volatile and in some periods may be negative. The return of capital is not guaranteed. Benchmark: MSCI World Mid Cap Index NR: NR at the end of the benchmark name indicates the return is calculated including reinvesting net dividends. The dividend is reinvested after deduction of withholding tax, applying the withholding tax rate to non-resident individuals who do not benefit from double taxation treaties.
Net returns as at 30 November 2024
Timeframe | 1 yr % |
3 yr % pa |
5 yr % pa |
Since inception (28/09/20) % pa |
---|---|---|---|---|
Fund | 29.97 | 8.43 | - | 14.43 |
Benchmark | 28.04 | 7.50 | - | 12.87 |
Active return | 1.93 | 0.93 | - | 1.56 |
Total net returns represent past performance only. Past performance is not a reliable indicator of future performance. Returns of the Fund can be volatile and in some periods may be negative. The return of capital is not guaranteed. Benchmark: MSCI World Mid Cap Index NR: NR at the end of the benchmark name indicates the return is calculated including reinvesting net dividends. The dividend is reinvested after deduction of withholding tax, applying the withholding tax rate to non-resident individuals who do not benefit from double taxation treaties.
Net as at 30 November 2024
1 yr % |
3 yr % pa |
5 yr % pa |
Since inception (28/09/20) % pa |
|
---|---|---|---|---|
Total return | 29.97 | 8.43 | - | 14.43 |
Growth | 29.97 | 8.19 | - | 13.93 |
Income | - | 0.24 | - | 0.50 |
Growth return is the unit price movement on exit to exit basis. Income is expressed as Total Return less growth component.
Total net returns represent past performance only. Past performance is not a reliable indicator of future performance. Returns of the Fund can be volatile and in some periods may be negative. The return of capital is not guaranteed. Benchmark: MSCI World Mid Cap Index NR: NR at the end of the benchmark name indicates the return is calculated including reinvesting net dividends. The dividend is reinvested after deduction of withholding tax, applying the withholding tax rate to non-resident individuals who do not benefit from double taxation treaties.
Distribution | Distribution (CPU) | Reinvestment price |
---|---|---|
30-Jun-24 | 0.0000 | N/A |
As at 31 October 2024
As at 31 October 2024
As at 31 October 2024
% total net assets | |
---|---|
APPLOVIN CORP | 4.2% |
NVR INC | 3.9% |
BROWN & BROWN INC | 3.7% |
GRAINGER (W.W.) INC | 3.0% |
CBRE GROUP INC | 3.0% |
ARES MANAGEMENT CORP | 2.9% |
AUTO TRADER GROUP PLC | 2.8% |
CBOE GLOBAL MARKETS INC | 2.8% |
CDW CORP | 2.7% |
GARTNER INC | 2.7% |
As at 31 October 2024
Fund % | Benchmark % | Relative % | |
---|---|---|---|
APPLOVIN CORP | 4.2 | 0.3 | 3.9 |
NVR INC | 3.9 | 0.3 | 3.6 |
BROWN & BROWN INC | 3.7 | 0.2 | 3.5 |
AUTO TRADER GROUP PLC | 2.8 | 0.1 | 2.7 |
ARES MANAGEMENT CORP | 2.9 | 0.3 | 2.6 |
As at 31 October 2024
Fund % | Benchmark % | Relative % | |
---|---|---|---|
ONEOK INC | 0.0 | 0.6 | -0.6 |
TRADE DESK INC (THE) | 0.0 | 0.5 | -0.5 |
ROYAL CARIBBEAN CRUISES LTD | 0.0 | 0.5 | -0.5 |
FAIR ISAAC CORPORATION | 0.0 | 0.5 | -0.5 |
FASTENAL CO | 0.0 | 0.4 | -0.4 |
Organisation | Rating / Recommendation |
---|---|
Zenith | Recommended4 |
Lonsec |
Recommended5 |
Morningstar | Bronze6 |