We pride ourselves on our fund research process, which we consider to be superior to most other fund managers’ research techniques.
Why do I make such a bold statement? Well I know it is early days as The CCM Intelligent Wealth Fund has only been trading for less than three months but the return to date has been an excellent 7.32% and the fund has grown in size to £7.3 million.
We created a 21 point checklist for 21st century companies. What is unique about our checklist is that it doesn’t rely solely on financial data, the hard facts, it puts a lot of emphasis on non-financial data, the soft facts, too.
Amongst the soft facts we are particularly interested in is how well each company treats its stakeholders by which I mean its staff, its customers and its suppliers. The reason this is important is because a comp au that pays scant regard to its stakeholders is in grave danger of suffering substantial financial damage at some stage in the future.
Just take the example of Tesco. It is well known that Tesco, like other leading supermarket companies has been treating its suppliers, especially farmers, really poorly for years. What happened two years ago? It got into serious financial difficulty!
How about Walmart in the US? This is the world’s most successful high street retailer yet it has lost its way in recent years since Sam Walton, its founder, died. Its management didn’t realise that the company stood for looking after its customers. They thought its raison d’etre was to be a discount store. As a result its levels of customer service have dropped and it’s performance has suffered greatly.
A company like Apple on the other hand has an exceptional level of customer service in the Apple Stores. How well is Apple doing as a company? Very well indeed. So which of these 3 examples is in our fund? Why only Apple of course.
Companies have to be innovative and disruptive aswell otherwise they will not feature in our fund but do they have to be profitable? Not necessarily in the short term but definitely in the long term.
So if you want to improve your investment returns why not invest into the CCM Intelligent Wealth Fund? Contact us for details. You know it makes sense.
