Winnersrationale

As market volatility around supply chain headwinds and slower economic growth pressured the industry, 2022 proved particularly challenging for asset managers. But that did not slow their pace of pushing thematic strategies.

Pictet Asset Management in particular steadily ramped up its product shelf in providing thematic strategies. Since launching its first thematic strategy in 1995 — the Pictet-Biotech fund — the firm had no fewer than 13 thematic focused funds on its shelf as of the end of 2022, with total AUM surpassing US$64 billion.

Despite equities underperforming across the year in 2022, the cyclical and ESG themes were still able to gain traction in Asia, particularly in Greater China. The firm has enjoyed significant inflows into its thematic franchise in the Greater China region, especially with consumer strategies and environmental strategies.

As a pioneer in launching thematic strategies, Pictet Asset Management identifies investment ideas on the basis of growth drivers being underpinned by megatrends — groups of powerful social, demographic, environmental and technological forces of change that are reshaping the world.

Draws on the expertise of the Themactic Advisory Board, the fund Pictet – Water, for instance, was first launched in 2000 and is a high-conviction theme from Pictet Asset Management that has a strong focus on environmental issues. The fund invests in water technology, water supply, and environmental services. Before finally selecting 50 to 80 portfolio stocks, Pictet Asset Management will have gone through a number of concrete steps — idea generation within the whole investment universe; thematic screening; applying ESG factors and equity attractiveness; and finding top stocks.

Pictet Asset Management applies the Planetary Boundaries framework in reporting and includes an assessment of the United Nation’s Sustainable Development Goals during the investment process.

Thanks to Pictet AM strong PM team, the three-year cumulative return of Pictet – Water is 21.6%, outperforming its benchmark (MSCI AC World) and similar strategies on the market.

Congratulations to Pictet Asset Management for again winning Best Fund Provider – Thematic Provider in Asian Private Banker’s 2023 Asset Management Awards for Excellence.