UBS Asset Management launches the Future Leaders Small Cap Strategy in Australia 

Alison Telfer

UBS Asset Management (‘UBS AM’) is pleased to announce the launch of the Future Leaders Small Cap Strategy in Australia.

This actively managed global strategy of 40 to 60 small cap “future leader” stocks is designed to provide investors with exposure to high quality companies, selected around three long-term thematic categories, including digital transformation, heath and societal transformation, and sustainable transformation. The strategy seeks to identify winners early and capture emerging and durable growth.

UBS defines future leaders as smaller companies with the potential to disrupt traditional business models, capitalise on emerging trends, and have the potential to create new markets or transform legacy businesses. These companies are often in the introduction and growth stages of their lifecycle and have accelerating sales and earnings growth, expanding margins, and improving financial profiles. Future leaders are also often competitively differentiated, target large market opportunities and are supported by an entrepreneurial culture.

Co-Portfolio Manager of the Future Leaders Small Cap Strategy and Senior Investment Analyst, David Sullivan, said: “This is an exciting addition to the portfolio of strategies that UBS Asset Management offers investors in Australia. Small caps are a great asset class to build a thematic strategy from given the wide breadth of opportunities in the universe, their high exposure to investment themes and the potential for these companies to maintain strong growth profiles for sustained periods of time.  This strategy benefits from our global team of portfolio managers and analysts who conduct in-depth company research to select our pool of diverse and innovative companies.”

Country Head of UBS Asset Management Australia & New Zealand, Alison Telfer, said: “We are delighted to offer the Future Leaders Small Cap Strategy in Australia. This strategy provides our clients access to a best-in-class UBS global offering. In a first for UBS Asset Management Australia, we have collaborated with our global wealth and advisory business to draw on their insights into what clients here and around the world are seeking from an investment product – both financial and non-financial goals.

“This collaboration has also informed the selection of our long-term investment themes of transformation across the categories of digital, heath, societal, and sustainable change. Our ability to understand the goals of our end clients in combination with the investment expertise of our asset management business is an exciting step further into demand driven investing and speaks so well to the breadth of the UBS global service platform.

“Beyond this current launch, we will also debut in Q4 2022, three more strategies that we believe harness UBS’s proven global expertise tailored to the needs of our local market. This ‘local with global’ approach is a wonderful opportunity to solidify our position as a client focused global asset manager here and bring a broader opportunity set to our Australian investors.”