Foreign Equities

Natcan offers a variety of small- and large-cap international equity investment solutions spanning global and regional mandates. Our clients benefit from our investment professionals’ 50+ years of combined experience, as well as insights gathered through detailed research efforts, including over 500 company management meetings each year.

U.S., International, and Global Large-Cap Equities

Management Approach

We are bottom up stock pickers, searching for secular growth opportunities that are reasonably priced.

Preference is given to sectors offering sustainable growth and low volatility. The managers seek out and invest in the best business models globally: companies generating stable and persistent earnings growth, expanding and above-average profit margins, and high returns on capital. This combination of attractive characteristics provides a margin of safety and a cushion against a host of inevitable economic and business uncertainties.

Management Process

The first step of the management process consists in creating a universe of companies that meet our investment criteria. This pre-selected universe is the cornerstone of our bottom-up approach, and is indicative of our focus on security selection. To build our portfolios, we segment the investment universe in two categories:

• The best business models in the world. Built from all sectors and regions, this list changes marginally over time. It is the primary list from which our managers draw to build their portfolios.
• High-quality companies. This category includes high-quality companies that do not meet every one of our investment criteria. The underlying businesses remain exceptional in the context of the large investment universe from which they are drawn. Investments in these companies may be more tactical or driven by special considerations.

Rigorous fundamental analysis is at the heart of our process, and the means by which we identify the world’s best business models. Focus is placed on each company’s ability to generate and properly deploy free cash flow.
 
Other key metrics include the quality of management, in terms of leardership, stability, and the ability to balance profitability and growth.

Also of clear importance are the specific characteristics of a company’s business model as well as the underlying trends of the industry in which it operates.

This selection process leads to portfolios composed of a limited number of conscientiously selected mid- and large-cap stocks.

Our process is continuous. Our ultimate goal is to understand and determine the driving factors behind our investment’s excellent business models and their sustainability.

Management Team

Natcan’s Global Equity team is comprised of sector and region specialists with over 50 years of combined investment experience. Much of this experience has been cumulated as a team at Natcan and at previous investment firms.

Led by Lambros Piscopos, the team is further comprised of Markus Köbler, Justin Nightingale, Fatoumata Barry, Karl Pereira, and Usman Chohan.

Products

Strategy	Description	Availability
Natcan Global Equity Fund	The objective of the Global Large-Cap Equity portfolio is to achieve a rate of return that exceeds that of the MSCI World ex-Canada Index.	Pooled Fund
Natcan U.S. Equity Fund	The objective of the U.S. Large-Cap Equity portfolio is to achieve an annualized rate of return that exceeds the return of the S&P 500 Index.	Pooled Fund Segregated Fund
Natcan International Equity Fund	The objective of the International Large-Cap Equity portfolio is to achieve a rate of return that exceeds that of the MSCI EAFE Index.	Pooled Fund

Please note we also manage index mandates and regional mandates, such as emerging market funds, European funds, and Asian funds. We also offer an absolute return fund, the Natcan Global Focused Fund. You will find further details under Alternative Investments.

For up-to-date information on performance and strategies, we invite you to visit the Natcan Quarterly Bulletins section.

Global Small-Cap Equities

To learn more about our global small-cap strategies, please refer to the section exclusively dedicated to small-cap equities.