Harrington Cooper brings Japanese value fund to UK market

investmentweek.co.uk:

The portfolio is comprised of 30-40 holdings with a focus on the mid-cap space and has a constraint of around $600m due to opportunity set and universe liquidity.

Managed by Eizo Tomimura, Thornbridge Nissay Japan Contrarian Value Equity will offer investors access to the strategy that has been running since July 2019 in a UCITS-compliant fund.

The fund will be available to investors for a founder fee of 0.4% annual management charge during an offer period.

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Thornbridge Nissay Japan Contrarian Value Equity seeks to invest in high-quality businesses at cheap valuations by focusing on forward-looking measures, including discounted cash flows and perception gaps.

The portfolio is comprised of 30-40 holdings with a focus on the mid-cap space and has a constraint of around $600m due to opportunity set and universe liquidity.

Tomimura has also managed Nissay's Concentrated Value fund since 2011, which is run according to the same principles but holds a focus on smaller, less liquid stocks.

Tomimura said: «Japanese equities are valued cheaply relative to developed markets, trading more than two thirds lower than US equities. Crucially though, Japan is benefiting from a number of trends that should ultimately drive share price re-ratings.

»Besides low inflation and recent governance reforms, Japanese businesses are benefiting from ‘friend-shoring' by the US and other major countries, which are securing supply chains with key allies amid elevated geopolitical tensions."

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Harry Dickinson, managing partner of Harrington Cooper, added: «Eizo benefits from the support of one of the market's largest and most experienced investment teams,