Willis Towers Watson names tenth stock picker for Alliance trust

investmentweek.co.uk:

'Following extensive corporate governance reforms, we believe the Japanese corporate sector is on the cusp of a long-term revival.'

Dalton will receive a 4% allocation of capital, which will be funded through a reallocation of the portfolio from the existing nine stock pickers, Alliance said in a trading update today (24 July).

As a result, the trust will now have ten stock pickers, including Dalton.

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The overall exposure of the portfolio will remain neutral to style, section and region in order to generate market outperformance from stock selection.

However, the introduction of Dalton means the portfolio will have a marginal overweight position in Japan relative to its benchmark.

Craig Baker, chair of WTW's investment committee, said: «Following extensive corporate governance reforms, we believe the Japanese corporate sector is on the cusp of a long-term revival, but it is a unique market which requires specialist, active manager skills to navigate and tap its potential.

»Dalton is a value-focused, employee-owned manager that looks to exploit mispricing opportunities in the most under-researched companies in Japan, which generally steers its focus to small and mid-cap companies. WTW believes that the appointment of Dalton will bring a differentiated approach to the Alliance trust portfolio, providing further diversification and outperformance potential."

Value back on top in FE fundinfo Crowns rebalance