A rare interview with early global growth investor, Simon Hallett, Chief Investment Officer of Harding Loevner, manager of five highly-rated mutual funds.
Simon Hallett: Global Search For Growth
It has been nearly a decade since the subprime mortgage crisis reared its devastating head in the summer of 2007. As noted economists, Carmen Reinhart and Kenneth Rogoff predicted in their ground breaking 2009 book This Time Is Different: Eight Centuries of Financial Folly, the impact of a crisis of that magnitude would be years of subpar economic growth, especially without substantial reductions in the historically high levels of government debt, which we have not seen.
Gates Capital Management's ECF Value Funds have a fantastic track record. The funds (full-name Excess Cash Flow Value Funds), which invest in an event-driven equity and credit strategy, have produced a 12.6% annualised return over the past 26 years. The funds added 7.7% overall in the second half of 2022, outperforming the 3.4% return for Read More
The result is the U.S. and other developed economies remain in a slow growth environment with no end in sight. Average annual real GDP, that’s adjusted for inflation, has declined from an average of 3% plus since World War II to below 2% over the last decade. The subpar performance has been a major concern of central bankers around the world who have kept interest rates lower for longer than most forecasters, including them, ever imagined.
We have been reporting for years on one of the investment consequences, the global search for income. This week we are discussing another consequence, the global search for growth. We’ll hear from Simon Hallett, Chief Investment Officer of Harding Loevner, a global money manager which has concentrated on buying high quality growth companies since its inception in 1989.
Hallett joined the firm in 1991 as a Portfolio Manager, and assumed the Chief Investment Officer role in 2012. With over $40 billion in assets under management the firm’s core business is institutional with 40% of its clients overseas, but Harding Loevner also runs 5 highly-rated mutual funds: Global Equity, Emerging Markets,International, International Small Companies andFrontier Emerging Markets.
Hallett will also share his “One Investment” idea. This week it’s about the importance of investors learning how to make better decisions. Plus, in myAction Point I have a book recommendation for anyone interested in behavioral economics and decision making. As always, if you miss the show on Public Television, you can watch it on ourwebsite.
Have a great summer weekend and make the week ahead a profitable and a productive one.
Read Daniel Kahneman’s Phenomenal, Eye Opening And Extremely Entertaining Book “Thinking, Fast And Slow”
Simon Hallett: Improve Decision Making
Invest in decision-making processes
Learn how you make decisions
Learn how to discipline your investing process
Harding Loevner’s Chief Investment Officer, Simon Hallett has lived in the U.S. for more than a quarter of a century but in recent years he has found himself drawn back to the country of his birth and specifically to the county where he grew up, Devon County, England.