Introduction to Legg Mason

Transcription

1 Introduction to Legg Mason Legg Mason Global Funds plc August 2013 This document is for Asset Managers, Fund Distributors and Authorised Intermediaries. Not for use by Private Individuals.

2 Investment Driven Our vision is to be a proven leader in global asset management, by delivering specialised investment solutions that meet our clients objectives Dedicated to money management US$ $645 billion under management and singularly focused on managing money Assets Under Management by Asset Class (USD) 19 th largest asset management firm in the world* 38% of assets from clients domiciled outside of the US Founded in 1899 Global presence with local capabilties Approximately 3,100 employees with 31 offices around the world including New York, Miami, London, Dubai, Tokyo, Singapore, Hong Kong and Australia On-the-ground presence in key locations with a global product set that spans cross border and local fund ranges Liquidity 20% Fixed Income 54% Equity 26% Source: Legg Mason as at 30 June 2013 *Source: Pensions & Investments, as at 31 December Page 1

3 Strength Across Multiple Perspectives 1 Unique structure around wholly owned, specialist investment management companies Legg Mason houses a network of leading investment management subsidiaries with time-tested experience and investment independence They focus on the opportunities that best reflect their individual expertise and specialisation 2 Focus on active management We are passionate about the power of active management to generate value Each of our investment management companies has a focus on active investing 3 Global depth across the investment spectrum Investment capabilities that span global markets Expertise across equity, fixed income, alternatives and money market investments 4 Global presence with local capabilities On-the-ground presence in key locations with a global product set that spans cross border and local fund ranges 31 offices worldwide 5 Client centric focus On-the-ground presence worldwide drives a deep understanding of our clients needs Page 2

4 Independent Expertise. Singular Focus. One of the world s largest global asset managers, Legg Mason combines expertise in a wide range of investment disciplines with a singular focus on delivering powerful financial solutions for both individuals and institutions. Our network of independent investment managers currently manages over $645bn* for clients in six continents Source: Legg Mason, as at 30 June Each of the above investment management companies is affiliated with Legg Mason Investments through common control and ownership by Legg Mason. Page 3

5 Global Connectivity Global Presence in Key Markets Investment Centre/ affiliate office Distribution Location Kitchener Toronto Montreal Warsaw Frankfurt Zurich San Francisco Pasadena London Boston Chicago Stamford Philadelphia New York Paris Cincinnati Wilmington Baltimore Madrid Miami Naples Luxembourg Nassau Milan Taipei Tokyo Dubai Hong Kong Santiago São Paulo Singapore Sydney Melbourne Source: Legg Mason, as at 31 December 2012 Page 4

6 Global Scale and Breadth Managers by Worldwide Assets Rank Firm AUM ($bn) 1 BlackRock 3,792 2 Vanguard Group 2,215 3 State Street Global 2,086 4 Fidelity Investments 1,888 5 PIMCO 1,624 6 JPMorgan Asset Mgmt 1,426 7 BNY Mellon Asset Mgmt 1,386 8 Deutsche Asset 1,244 9 Prudential 1, Capital Research 1, Amundi Goldman Sachs Franklin Templeton Northern Trust Wellington AXA Investment MetLife Invesco 688 Top Worldwide Institutional Managers Rank Firm AUM ($bn) 1 BlackRock 2,593 2 State Street Global 1,671 3 PIMCO 1,428 4 Vanguard Group 1,331 5 BNY Mellon Asset Mgmt 1,254 6 Fidelity Investments JPMorgan Asset Mgmt Prudential Amundi Wellington AXA Investment Legal & General Invst Capital Research Northern Trust Legg Mason Legg Mason 649 Source: Pensions & Investments, as at 31 December 2012 Page 5

7 Legg Mason: Our Investment-Managers Page 6

8 Legg Mason s Investment Managers LEGG PERMAL MASON HONG KONG* ONE OF THE LONGEST TRACK RECORDS IN THE FUND OF HEDGE HONG FUNDS KONG INDUSTRY & CHINA EQUITY Permal's value add is derived from its well-honed manager A selection dedicated and Hong risk Kong management and China processes, equities and investment its creative manager product committed engineering to and the ongoing generation asset and allocation delivery combined of alpha. with a top down world view. KEY COMPETITIVE STRENGTHS An The active, Permal non-style Group was biased, a pioneer bottom-up in the fundamental use of hedge-style research managers that within primarily multi-manager invests in funds mid- offering to large-cap investors Hong global Kong investment. and China stocks. A The long goal track of the record multi-manager since 1994 portfolios managing is assets to create in the and Hong maintain Kong markets. diversified portfolios of quality managers that provide safety of capital, excellent investor liquidity and above average returns with below average volatility when compared to traditional investments. WESTERN PRIVATE CAPITAL ASSET MANAGEMENTVALUE ORIENTATED US ALL CAP APPROACH GLOBAL SPECIALIST IN FIXED INCOME MANAGEMENT One of the world s leading fixed income managers, with experience Consistent across capital a wide appreciation variety of for fixed investors income through strategies a value-oriented with on-the-ground investment presence approach in that US, UK, is Japan, Singapore, grounded Hong in focus Kong, and Australia consistency. and Brazil. Headquarter in Pasadena. KEY COMPETITIVE STRENGTHS One With of over the 20 world s years leading of experience fixed income PCM achieves investment consistent managers. capital appreciation for investors through a unique investment approach that Focus emphasises on fixed preservation income management. of capital and appreciation; thereby significantly increasing the value of clients' portfolios. Seeks to identify undervalued sectors and issuers that will outperform over PCM the seeks longer to invest term. in companies that generate substantial cash flows discretionary cash flow. Long standing experience dating back to 1971, with expertise that extends PCM concentrates across all major on industries global fixed where income the investment sectors. team has either operating experience or domain expertise. Each of the above investment management companies is affiliated with Legg Mason Investments through common control and ownership by Legg Mason, Legg Mason provides its clients with access to such affiliates primarily through its Dublin domiciled and Luxembourg domiciled funds, in which such affiliates serve as investment manager or sub-investment manager. * Legg Mason Hong Kong (operating under both Legg Mason Asset Management Hong Kong Limited and Legg Mason International Equities (Hong Kong) Limited. Page 7

9 Legg Mason s Investment Managers BATTERYMARCH FINANCIAL MANAGEMENT GLOBAL EQUITY MANAGER INVESTING IN OVER 50 COUNTRIES BRANDYWINE GLOBAL CLASSIC VALUE INVESTMENT MANAGER A global investment manager using innovative strategies to invest across the world s markets. Founded in 1969 and headquarter in Boston. A value oriented equity and fixed-income manager with a long term track record in global fixed income, and with expertise in US equities. Founded in 1986 and headquarter in Philadelphia. KEY COMPETITIVE STRENGTHS Equity specialists managing US, International, Emerging Markets and Global portfolios. Combines the best of both quantitative approach that can evaluate a large number of stocks on a daily basis with the insights provided by the fundamental work of experienced portfolio managers. A flexible process is applied to all markets, customising its approach to reflect each market's stage of development. Emerging market equity experience goes back to KEY COMPETITIVE STRENGTHS Global fixed income Focus on classic value investing including the management of value based global fixed income strategies. A long term focus on government bonds, investing in those securities with the highest real yields. Investment philosophies tailored to the nature of the asset class. Over 25 years experience in managing European equities. Each of the above investment management companies is affiliated with Legg Mason Investments through common control and ownership by Legg Mason, Inc. Legg Mason provides its clients with access to such affiliates primarily through its Dublin domiciled and Luxembourg domiciled funds, in which such affiliates serve as investment manager or sub-investment manager. Page 8

10 Legg Mason s Investment Managers CLEARBRIDGE ADVISORS EXPERTISE ACROSS A DIVERSE ARRAY OF US EQUITY STYLES ROYCE & ASSOCIATES SMALL-CAP SPECIALIST Legg Mason s largest equity manager, known for its researchdriven approach in a broad range of market capitalisations and investing styles. Headquartered in New York. 40 years experience in US small-cap portfolios, managed through a disciplined value approach. Based in New York. KEY COMPETITIVE STRENGTHS Established in May 2006 from the former Citigroup Asset Management US Equity Group. Offers a bottom-up, primary research intensive and fundamental approach to security selection. Offers exposure to an assortment of investment styles, capitalisation and disciplines. KEY COMPETITIVE STRENGTHS Dedicated small-cap manager (US, Europe, Global). Chuck Royce is considered one of the pioneers of small-cap investing, with 49 years of investment experience and almost 40 years as a small cap value portfolio manager at Royce & Associates. Core philosophy is oriented toward understanding value, seeking valuation discrepancies, not just statistically inexpensive stocks, and seeking the right mix of financial characteristics versus price. Companies are selected on a rigorous analysis of fundamental company characteristics centering on strong balance sheets, high internal rates of return, and the ability to create cash flow. Each of the above investment management companies is affiliated with Legg Mason Investments through common control and ownership by Legg Mason, Inc. Legg Mason provides its clients with access to such affiliates primarily through its Dublin domiciled and Luxembourg domiciled funds, in which such affiliates serve as investment manager or sub-investment manager. Page 9 * Esemplia Emerging Markets, the trading name of Legg Mason International Equities Limited.

11 The Scope of International Distribution EUROPE AMERICAS ASIA LEGG MASON INTERNATIONAL DISTRIBUTION LOCATIONS UK Germany Spain Italy France Poland USA Canada Hong Kong Singapore Taiwan Switzerland Chile Japan Australia COUNTRIES OF CLIENT COVERAGE Austria, Belgium, Denmark, Finland, France, Germany, Greece, Iceland, Italy, Luxembourg, Netherlands, Norway, Poland, Portugal, Spain, Sweden, Switzerland, UAE and UK Mexico, Costa Rica, Panama, Guatemala, Colombia, Venezuela, Brazil, Peru, Chile, Argentina, Uruguay, Cayman Islands, Bermuda, Puerto Rico, Canada, USA and Ecuador Hong Kong, Singapore, Taiwan, Australia and Japan PRODUCTS SOLD Cross-Border Funds Local Funds (UK, Poland) Cross-Border Funds Local Funds (Canada) Cross-Border Funds Local Funds (Singapore, Hong Kong, Japan and Australia) DISTRIBUTION CHANNELS Insurance Private Banks Retail Sales Asset Managers Fund of Funds IFAs Platforms Page 10

12 Our Global Distribution Footprint Specialists and locations worldwide Sales Client Service Marketing Product Fully aligned to local client requirements given location and focus Full understanding of local market dynamics and trends impacting distribution at local level International offices staffed by local professionals US UK France (Including French speaking countries) Spain Italy Germany Switzerland Luxembourg Hong Kong Singapore Taiwan Japan Australia Canada Miami (covers NRA* and Latin America) Note: London based marketing staff support European activities Source: Legg Mason as at 31 December *Non-Resident American Accounts. Page 11

13 Legg Mason: Marketing Support Supporting Technology / interactive Fact sheets, product commentaries, sales aids, roadshows Public websites, video and marketing Thought leadership Thought Leadership Website launched in January 2012 Four specialists dedicated to the production of thought leadership content Strong thought leadership ethos at Legg Mason Internet: Informationsmaterialien (Beispiele) Monthly fund commentries Perspectives Flash Global Bond Review Alpha Edge Recent examples of value added activities New technologies Legg Mason App Events Legg Mason Investment Conference Legg Mason Think Symposium Portfolio Manager Roadshows Value Dagen Honister Capital- Annual Conference Il Salone Del Risparmio FONDS professionell Kongress Citywire Berlin PIP Investor Geneva AWD CdV Conference Webcasts & video - interactive content Access to technology and preferred vendors to provide online events and webcasts Utilised to provide product updates and training and to push out important content Ability to track interactions Page 12

14 Appendix Page 13

15 Global Scale and Breadth Largest Small Cap Mutual Fund Managers Largest Hedge Fund of Funds Rank Firm AUM ($bn) 1 Fidelity Vanguard DFA T Rowe Price Royce & Associates Columbia Neuberger Berman Baron Cap Mgmt Invesco Allianz Global Inv 7.7 Rank Firm AUM ($bn) 1 Blackstone HSBC UBS Goldman Sachs Grosvenor Permal BlackRock Pacific Alternative Asset Mesirow Morgan Stanley 13.4 Source: Strategic Insight, 30 June Data includes US domestic open-end small cap mutual funds Source: InvestHedge, December 2011 Top US Based Fixed Income Managers Rank Firm AUM ($bn) 1 BlackRock 1,368 2 Allianz/PIMCO 1,174 3 Prudential Vanguard Group BNY Mellon Asset Mgmt Legg Mason Goldman Sachs JP Morgan State Street Global Wellington 315 Top Active US Domestic Fixed Income Managers Rank Firm AUM ($bn) 1 PIMCO Prudential TIAA-CREF Legg Mason Loomis, Sayles & Co BlackRock JP Morgan Asset Mgmt Fidelity Investments Wellington ING US Invst Advisors 74.7 Source: Institutional Investor US Money Managers Ranking, 31 December 2011 Source: Pensions & Investments, as at 31 December 2012, US institutional tax-exempt assets Page 14

16 Global Scale and Breadth Top Closed End Fund Managers US Domestic Rank Firm AUM ($bn) 1 State Street $ Legg Mason BlackRock BNY Mellon Asset Mgmt Northern Trust Goldman Sachs JPMorgan Asset Mgmt PIMCO HSBC Global Asset Morgan Stanley 20.6 Source: Pensions & Investments, as at 31 December 2012 Largest Retail SMA Managers Rank Firm AUM ($bn) 1 Nuveen Investments $ BlackRock Eaton Vance Allianz Global Inv Legg Mason Invesco Cohen & Steers First Tr Adv Virtus Invst Ptnrs Gabelli 6.3 Source: Strategic Insights, 30 June Page 15

17 Legg Mason: Selected Fixed Income Funds * This is a guideline only and is subject to change. ** Not all share classes are available in all combinations - see prospectus for a full list of share classes available. *** Delta adjusted exposure 1 Attempt to hedge all non- USD. 2 At the time of purchase any such security must be rated Investment Grade, and the long-term sovereign debt of the Emerging Market Country in which the security s issuer is located must also be rated Investment Grade. 3 Provided that such debt securities are denominated in US Dollars and such issuers are domiciled in or have their principal activities located in OECD member countries.. All information as at 31 March NOT ALL SHARE CLASSES ARE AVAILABLE IN ALL JURISDICTIONS. CONTACT YOUR LEGG MASON REPRESENTATIVE FOR Page 16 FURTHER DETAILS ON FUND AND SHARE CLASS REGISTRATIONS. Please refer to the important information section in the back of this presentation for further information.

18 Legg Mason: Selected Total/Absolute Return Funds All information as at 31 March Class A Distr (M) USD. 2 Class A Distr (D) USD. 3 Class A Distr (A) USD. NOT ALL SHARE CLASSES ARE AVAILABLE IN ALL JURISDICTIONS. CONTACT YOUR LEGG MASON REPRESENTATIVE FOR FURTHER DETAILS ON FUND AND SHARE CLASS REGISTRATIONS. Please refer to the important information section in the back of this presentation for further information. Page 17

19 Legg Mason: Selected US Equity Funds All information as at 31 March Please refer to the important information section in the back of this presentation.. *Bill Miller is the portfolio manager of the Opportunity Trust and Same Peters is the portfolio manager of the Value Trust. Both are US mutual funds that serve as master portfolios for the value and opportunity equity strategies styles, including the Legg Mason Capital Management Value Fund and Legg Mason Capital Management Opportunity Fund. ** As at 31 December The Funds mentioned are offered solely to non-us investors under the terms and conditions of the relevant prospectus. Page 18

20 International Product Range: Legg Mason Global Funds plc All information as at 31 March This is not a complete list of funds or share classes, for a full list of our funds and share classes please read the Prospectus. Not all of the share types included in this document are active. Please contact your local sales representative for further information. This information has been prepared from sources believed reliable but is not guaranteed by Legg Mason and is not a complete summary or statement of all available data. Individual securities mentioned are intended as examples of portfolio holdings and are not intended as buy or sell recommendations. Opinions expressed are subject to change without notice and do not take into account the particular investment objectives, financial situation or needs of individual investors. Please refer to the important information section in the back of this presentation for further information. Page 19

21 International Product Range: Legg Mason Global Funds plc All information as at 31 March This is not a complete list of funds or share classes, for a full list of our funds and share classes please read the Prospectus. Not all of the share types included in this document are active. Please contact your local sales representative for further information. This information has been prepared from sources believed reliable but is not guaranteed by Legg Mason and is not a complete summary or statement of all available data. Individual securities mentioned are intended as examples of portfolio holdings and are not intended as buy or sell recommendations. Opinions expressed are subject to change without notice and do not take into account the particular investment objectives, financial situation or needs of individual investors. Please refer to the important information section in the back of this presentation for further information. Page 20

22 International Product Range: Legg Mason Global Funds plc All information as at 31 March This is not a complete list of funds or share classes, for a full list of our funds and share classes please read the Prospectus. Not all of the share types included in this document are active. Please contact your local sales representative for further information. This information has been prepared from sources believed reliable but is not guaranteed by Legg Mason and is not a complete summary or statement of all available data. Individual securities mentioned are intended as examples of portfolio holdings and are not intended as buy or sell recommendations. Opinions expressed are subject to change without notice and do not take into account the particular investment objectives, financial situation or needs of individual investors. Please refer to the important information section in the back of this presentation for further information. Page 21

23 International Product Range: Legg Mason Global Funds plc All information as at 31 March This is not a complete list of funds or share classes, for a full list of our funds and share classes please read the Prospectus. Not all of the share types included in this document are active. Please contact your local sales representative for further information. This information has been prepared from sources believed reliable but is not guaranteed by Legg Mason and is not a complete summary or statement of all available data. Individual securities mentioned are intended as examples of portfolio holdings and are not intended as buy or sell recommendations. Opinions expressed are subject to change without notice and do not take into account the particular investment objectives, financial situation or needs of individual investors. Please refer to the important information section in the back of this presentation for further information. Page 22

24 Institutional Product Range: Legg Mason Global Funds plc All information as at 31 January This is not a complete list of funds or share classes, for a full list of our funds and share classes please read the Prospectus. Not all of the share types included in this document are active. Please contact your local sales representative for further information.. Page 23

25 Institutional Product Range: Legg Mason Global Funds plc TER refers to latest data available after reports and accounts have been audited for the fiscal year ended 28 February Minimum Initial Investment ,00 USD (or currency equivalent) This is not a complete list of funds or share classes, for a full list of our funds and share classes please read the Prospectus. Not all of the shre types included in this document are active. Please contact your local sales representative for further information. This information has been prepared from sources believed reliable but is not guaranteed by Legg Mason and is not a complete summary or statement of all available data. Individual securities mentioned are intended as examples of portfolio holdings and are not intended as buy or sell recommendations. Opinions expressed are subject to change without notice and do not take into account the particular investment objectives, financial situation or needs of individual investors. All information as at 31 January This is not a complete list of funds or share classes, for a full list of our funds and share classes please read the Prospectus. Not all of the share types included in this document are active. Please contact your local sales representative for further information.. Page 24

26 International Product Overview (Cross Border Dublin) Extensive share class options and broad based country registrations create a truly global product set The Legg Mason Global Funds ( LMGF ) umbrella offers a multitude of funds of varied strategies and asset classes Accumulating and distributing share classes of varied frequencies Retail and institutional share classes Currency hedged share classes are currently available for many of the fixed income products and we are working towards a solution to offer hedging capabilities for our suite of equity funds Currency share classes AUD Australian Dollar CAS Canadian Dollar CHF Swiss Franc Euro GBP British Pound JPY Japanese Yen KRW Korean Won NOK Norwegian Krone RMB Chinese Yuan SEK Swedish Krona SGD Singapore Dollar USD US Dollar Countries of registration - LMGF* Austria Belgium Canada** Denmark Finland France Germany Great Britain Greece Hong Kong Ireland Italy Japan Luxembourg Netherlands Norway Singapore** Spain Sweden Switzerland Taiwan * This is not a complete list of countries. Not all funds or share classes are available in each country. Please refer to Legg Mason for the latest list of fund registrations. **Country restricted offer not public registration. Page 25

27 International Product Overview (Cross Border Luxembourg) Luxembourg funds: Legg Mason Managed Solutions SICAV and Legg Mason Global Funds FCP (Luxembourg) are Luxembourg-domiciled mutual fund families Legg Mason Managed Solutions SICAV Legg Mason Global Funds FCP (Luxembourg) Legg Mason Euroland Equity Fund (Batterymarch Financial Management) Legg Mason Emerging Markets Equity Fund (Esemplia Emerging Markets 1 ) Legg Mason Euroland Cash Fund (Western Asset Management) Legg Mason Multi-Manager Conservative Fund (Euro) Legg Mason Multi-Manager Conservative Fund (USD) Legg Mason Multi-Manager Balanced Fund (Euro) Legg Mason Multi-Manager Balanced Fund (USD) Legg Mason Multi-Manager Performance Fund (Euro) Legg Mason Multi-Manager Performance Fund (USD) Legg Mason Managed Solutions SICAV and Legg Mason Global Funds FCP (Luxembourg) are Luxembourg-domiciled umbrella funds that have been established as open-ended investment companies with variable capital and are recognized by the FSA. Please note that these funds might not be registered in your jurisdiction. Please contact your local sales representative for more information. Page 26

28 Contact Details For more information on this fund or other Legg Mason products please visit us at or contact your local sales representative: UK/Scandinavia France & Benelux Germany & Austria Client Services +44 (0) Client Services Client Services Italy Switzerland Spain Client Services Client Services Client Services

29 Appendix Page 28

30 Important Information This information has been prepared from sources believed reliable but is not guaranteed by Legg Mason and is not a complete summary or statement of all available data. Individual securities mentioned are intended as examples of portfolio holdings and are not intended as buy or sell recommendations. Opinions expressed are subject to change without notice and do not take into account the particular investment objectives, financial situation or needs of individual investors. Legg Mason Global Funds plc is an umbrella fund with segregated liability between sub-funds, established as an open-ended investment company with variable capital and incorporated with limited liability under the laws of Ireland with registered number They qualify, and are authorised in Ireland by the Central Bank of Ireland as an undertaking for collective investment in transferable securities and is a section 264 Scheme as recognised by the FSA. The Legg Mason Global Funds FCP (Luxembourg) is an umbrella fund established as an open-ended investment company with variable capital incorporated with limited liability under the laws of Luxembourg. It qualifies and is authorised in Luxembourg by Commision de Surveillance du Secteur Financier (CSSF) as an undertaking for collective investment in transferable securities and is a section 264 Scheme as recognised by the FSA. Legg Mason Managed Solutions SICAV is an umbrella fund established as an open-ended investment company with variable capital incorporated with limited liability under the laws of Luxembourg. It qualifies and is authorised in Luxembourg by the Commision de Surveillance du Secteur Financier (CSSF) as an undertaking for collective investment in transferable securities and is a section 264 Scheme as recognised by the FSA. The Legg Mason ClearBridge US Aggressive Growth Fund, Legg Mason ClearBridge US Large Cap Growth Fund, Legg Mason Capital Management Growth Fund and Legg Mason Capital Management Value Fund may select fewer equities in which to invest a factor that may increase the risk profile of these sub-funds. The Legg Mason ClearBridge US Aggressive Growth Fund, Legg Mason Royce Smaller Companies Fund and Legg Mason Royce US Small Cap Opportunity Fund invest in companies with relatively small market capitalisations a factor that may increase the risk profile of these sub-funds. Please refer to the relevant full please refer to the KIID and Prospectus documentation for a full description of risk factors relating to the funds listed in this document. Some of the listed fixed income funds may invest in non-investment grade bonds, which carry a higher degree of default risk than investment grade bonds and some may invest in emerging markets that may be less liquid and may have less reliable custody arrangements than mature markets and may involve a higher degree of risk. These funds are offered solely to non-us investors under the terms and conditions of the Fund s current prospectus - please refer to the please refer to the KIID and Prospectus documentation, which describe the full risk factors associated with these funds. Before investing you should carefully read the Prospectus. Each of the investment managers mentioned here is affiliated with Legg Mason Investments through common control and ownership by Legg Mason, Inc.. Legg Mason Investments provides its clients with access to such affiliates primarily through its Legg Mason Global Funds plc and Legg Mason Institutional Funds plc fund ranges, in which such affiliates serve as investment manager or sub-investment manager. Some of the affiliates are not authorised to offer their investment advisory services in all European jurisdictions. Issued and approved by Legg Mason Investments (Europe) Limited, registered office 201 Bishopsgate, London, EC2M 3AB. Registered in England and Wales, Company No Authorised and regulated by the Financial Conduct Authority. Client Service January 2013 For use by Asset Managers, Fund Distributors and Authorised Intermediaries. Not for use by Private Individuals. P0338 Page 29