Ausbil’s broad investment philosophy is that active management of our portfolios facilitates consistent and risk controlled outperformance. Rather than focusing just on growth or value investing, our investment approach allows us to exploit the inefficiencies across the entire market, at all stages of the cycle and across all market conditions.
We are a top down, bottom up investment manager. The basic premise of our philosophy is that stock prices ultimately follow earnings and earnings revisions. We believe that the market places excessive emphasis on the current situation and does not sufficiently take into account the likelihood of future changes to the earnings profile of individual companies and sectors.
Ausbil has a dedicated environmental, social and governance (ESG) research team who provide an in-house service. ESG research is incorporated in Ausbil's investment process. Ausbil believes that a consideration of ESG issues as developed by well-founded ESG research can identify mispriced stocks and assess a company's earnings sustainability. Similarly, engagement on ESG issues can drive long-term value and reduce the risk of value destruction.