Manager Profiles
| Andrew Couch BSc (Hon), PhD, ASIP | |
| Andrew began his investment management career in the City of London. Since 1990, he has worked for Fleming Investment Management, Guinness Flight and Newton Investment Management in senior positions and was a Director of both Guinness Flight and Newton. At Guinness Flight, he managed a team of fund managers that invested in 24 developed markets around the world (as defined by the MSCI World Index) and in developing markets such as China, Russia and China when they were in their infancy. At Newton, he managed large pension fund assets with international mandates and a value of US$3bn. Prior to starting his career in investment management, Andrew obtained a PhD in Physical Chemistry from Bristol University in the UK. | |
| Simon Wilson BCM, MBA, ASIP | |
| Simon Wilson began his investment management career in Edinburgh in 1999, where he worked as an equity portfolio manager for Edinburgh Fund Managers. He worked in a team of three, managing five Japanese equity funds (Institutional and Retail) with different performance objectives and risk profiles. In addition, Simon was a member of the global technology sector team and had responsibility for the risk management of the Japanese portfolios. In 2003, Simon returned to New Zealand to set up Salvus Asset Management Limited with Andrew Couch. Prior to joining Edinburgh Fund Managers he completed an MBA at the University of Edinburgh. | |
Investment Style
A long-term investment approach will be taken with the majority of investments. Investment selection will be guided by prospective investment returns and the risk profile of the investment rather than company size, market liquidity or benchmark weighting.
Particular attention will be paid to the evaluation of the predictability of a company's revenues and cash flows and a disciplined approach will be taken to the analysis of expected returns relative to current valuations. Emphasis will be placed on the risks to the investor under adverse scenarios with the intention of providing investors with a buffer against the unexpected.
Investment Process
The Manager's investment selection process includes the following steps:
Stock Selection Process
• An internal analysis of the company's business operations and prospects is undertaken.
• An external analysis is undertaken of the industry structure and the broader economic environment.
• Depending on the industry sector and the nature of the company, various valuation techniques are applied to determine at what price level investment may be attractive.
• A margin for the unexpected is then applied to this valuation to determine the price level at which SSI would be happy to invest.
• An assessment is made of the likely impact on the company's valuation assuming various "worst-case scenario" conditions.
• Prior to making an investment, a risk analysis is undertaken to assess the potential impact of the investment on the portfolio.
Portfolio Risk Analysis Process
• An assessment is made of the likely impact on the company's valuation assuming various "worst-case scenario" conditions.
• Prior to making an investment, a risk analysis is undertaken to assess the potential impact of the investment on the portfolio.
The Manager's investment approach is based on conducting its own detailed research and analysis of potential investee companies. This process involves regular management contact and company visits. The Manager will maintain close contact with those companies in which SSI has invested, as well as with a number of other companies where either a relationship with management is being developed or the above characteristics have been identified but the current share price is not sufficiently attractive. Some investments may be made in companies where SSI will become a cornerstone shareholder.