Liontrust Assessment of Value Report - Flipbook - Page 27
Liontrust SF European Growth Fund
The Fund aims to deliver capital growth over the long term (5
years or more) using the Sustainable Future investment process.
This process uses a thematic approach to identify the key structural
growth trends that will shape the global economy of the future
and the fund managers then seek to invest in well run companies
whose products and operations capitalise on these transformative
changes. The Fund invests in companies incorporated, domiciled
or which conduct significant business in the in the EEA (European
Economic Area) and Switzerland, and can invest up to 5% in UKlisted stocks.
Performance
We have assessed the investment performance of the Fund against both its stated investment
objective, as well as against the benchmarks that are set out in its prospectus. We considered
whether the Fund has performed how we and investors would expect it to, given the market
conditions it has been operating under and its investment philosophy, strategy and process.
We have concluded that the Fund has met or exceeded performance expectations and has
met its sustainability objectives. .
Quality of service
Our assessment has considered the range and quality of services experienced by investors.
We have concluded that the quality of services provided by Liontrust is better than or in
line with expectations across all the UK-domiciled funds. This has been evaluated through a
detailed review of the services we provide, our engagement with investors, communications
and governance, and confirmed through our investor survey.
General costs of authorised fund manager
We have reviewed the breakdown of the charges of the Fund’s Ongoing Charges Figure
(OCF) and our explicit transaction costs. Our assessment has concluded that the costs of
services provided to the Fund are being appropriately managed. The annual review of the
fixed Administration Fee for this Fund completed as part of our normal governance processes
has led to the reduction in its Administration Fee by 0.01%. Research costs have been
absorbed by Liontrust and are not charged to the Fund. We will continue to review the costs
and charges of the Fund at least annually.
Overall value
assessment
We have evaluated the Fund
against all seven criteria in
our assessment of the value
it provides to investors. We
have concluded that the Fund
has performed in line with
or exceeded expectations,
delivering overall value to
investors.
Comparable market rates
We have assessed the charges of this Fund against comparable funds in the market. Our
assessment has concluded that the charges of this Fund are in line with other comparable
funds available in the market. Furthermore, as a result of our annual reviews of fund charges,
the Administration Fees of the Fund were recently reduced.
Economies of scale
Our assessment has considered whether we are able to generate efficiencies to achieve
economies of scale and if such cost savings have been passed onto our investors. The
Fund benefits from a fixed Administration Fee model, which, as well as providing clarity
in relation to fund costs to investors, allows cost savings achieved from an increase in the
Fund’s size to be directly passed to investors through the application of a discount. As the
Fund grows in assets above £500 million, the fixed Administration Fees are reduced by up
to a maximum of 0.06% above £5 billion in assets. Overall, with the growth in Liontrust’s
assets under management over the past few years, our investors have been able to benefit
from the savings created.
Comparable services
There are no Comparable Services provided for this Fund.
Classes of shares or units
Our assessment has considered whether investors are invested in the most appropriate share
or unit class that is available to them. Based on the information available to us, our review
concluded that it is appropriate for investors in this Fund to be invested in the share class
they are currently invested in. We will continue to monitor the charges of our classes to
ensure they meet the needs of our investors.
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