Polar Capital Global Financials Trust Plc GBP · LSE:PCFT
Polar Capital Global Financials Trust Plc GBP — Polar Capital Global Financials Trust — Investor Presentation (May 2024)
20 slides from Polar Capital Global Financials Trust Plc GBP's investor presentation, May 2024
Slide 1: Polar Capital Global Financials Trust
Polar Capital Global Financials Trust May 2024 polarcapitalglobalfinancialstrust.com This is a marketing communication. This presentation is for use with non-US investors only. Please This refer to the presentation is Important Information for use with at the end non-US investors only.ofPlease this
Slide 2: Financials Team – 90+ Years Of Experience
Financials Team – 90+ Years Of Experience Well-resourced and experienced team • Joined Polar Capital in 2010 Nick Brind • 30 years of industry experience Fund Manager • HIM Capital, New Star Asset Management, Exeter Asset Management, Capel-Cure Myers • Joined Polar Capital in 2010 George Barrow • 16
Slide 3: Polar Capital Global Financials Strategies
Polar Capital Global Financials Strategies Polar Capital Financial Credit Strategy Polar Capital Global Financials Trust (PCFT) Polar Capital Financial Opportunities Strategy Launched 2023 Launched 2013 Launched 2011 • Open-ended • Closed-ended • Open-ended • High level of income • Income and growth
Slide 4: Broad Exposure To The Global Financials Sector
Broad Exposure To The Global Financials Sector Examples of companies we own Banks Insurance Diversified Financials FinTech J.P. Morgan Chubb Ares Management MasterCard ICICI Bank Arch Capital Berkshire Hathaway Moneybox UniCredit Munich Re ICG NU Bank OSB Group Beazley Interactive Brokers VEF Source
Slide 5: Polar Capital Global Financials Trust
Polar Capital Global Financials Trust Attractive returns despite challenging conditions for the sector Performance Since Inception1 Since Corporate Action2 Cumulative Compound Annual Cumulative Compound Annual Growth Rate Growth Rate PCFT Net Asset Value (net asset value) 152.4% 8.9% 93.3% 17.8% Ben
Slide 6: Discrete Performance (%)
Discrete Performance (%) Past performance is not indicative or a guarantee of future results Financial 28.04.2023 29.04.2022 30.04.2021 30.04.2020 30.04.2019 YTD 30.04.2024 28.04.2023 29.04.2022 30.04.2021 30.04.2020 Ordinary Share Price (TR) 19.65 20.86 -7.12 -2.71 70.29 -25.06 NAV per Share (TR) 1
Slide 7: Key Themes For 2024
Key Themes For 2024 Differentiated exposures in the portfolio Ares Alternative Asset Managers – Structural Tailwinds Blue Owl Partners Group ICG Management Reinsurers – Hard Market Munich Re Arch Capital RenaissanceRe Everest KB Financial Emerging Markets – Growth and Reform ICICI Bank NU Bank Tokio
Slide 8: Alternative Asset Managers – Structural Tailwinds
Alternative Asset Managers – Structural Tailwinds Attractive returns and increased allocations Strong growth in all categories of private markets Polar Capital Global Ares Blue Owl Partners Group ICG KKR Macquarie Financials Trust : Management Past performance is not indicative or a guarantee of fut
Slide 9: Reinsurers
Reinsurers Some of the best underwriting market in over a decade Reinsurance prices have increased meaningfully 300 250 Rate-On-Line Index Value 200 150 % Change 100 50 0 -50 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Slide 10: Emerging Markets – Growth And Reform
Emerging Markets – Growth And Reform Reform provides a catalyst for rerating1 South Korea has many stocks trading at low valuations relative to other countries2 80 68.8 70 % of companies with trailing 60 P/B less than 1x 50 47.4 40 30 22.8 20 10 4.8 0 1 2 3 4 South Korea Japan Emerging Markets USA (
Slide 11: Small And Midcap – Opportunities
Small And Midcap – Opportunities Deep industry expertise allows us identify attractive SMID cap opportunities Small cap valuations are compelling compared to history1 Expectations for increased M&A offer optionality2 Past performance is not indicative or a guarantee of future results. Source: 1. MSC
Slide 12: Banks – Selective Approach
Banks – Selective Approach Improved capital allocation is driving large returns to shareholders European Banks 50% 40% Average: 29.6% 30% 20% 10% 0% Banco BPM AIB ING Erste Bank Commerz BKIR Santander Natwest Sabadell Nordea Barclays Intesa UniCredit Bankinter SEB UBS SocGen Crédit Ag KBC STAN BBVA
Slide 13: Banks – Selective Approach
Banks – Selective Approach Remain very focused on banks with high asset quality US bank exposure to Commercial Real Estate (CRE) loans 40 36 35 30 25 20 18 % 15 12 10 5 4 2 2 0 Large Mid Small CRE % loans Office CRE % loans Past performance is not indicative or a guarantee of future results. Source:
Slide 14: Global Banks Valuations Implies Upside
Global Banks Valuations Implies Upside Higher inflation/stable regulatory environment suggests shift towards pre-global financial crisis valuations 125% Pre Global Financial Crisis 75% 25% Current P/B 0.5 1 1.5 2 2.5 3 3.5 -25% Post Global Financial Crisis 2005-2007 Global Financial Crisis Returns -
Slide 15: Portfolio Statistics
Portfolio Statistics Portfolio biased towards faster growing more profitable but lower levered businesses1 Price to earnings Price to book Long term growth Return on Equity Return on Assets Equity/Assets Dividend Yield Ratio Ratio EPS Portfolio 10.7x 1.4x 13.7% 27.3% 6.3% 18.6% 3.1% Benchmark3 11.7x
Slide 16: Polar Capital Global Financials Trust
Polar Capital Global Financials Trust Sector exposure (%) Top 15 holdings (%) Financial Services 36.7 JPMorgan 6.7 Banks 35.2 Mastercard 5.4 Chubb 3.6 Insurance 21.1 Wells Fargo 2.9 Fixed Income 7.0 Visa 2.6 Gearing Ratio1 3.6 UniCredit 2.5 Goldman Sachs Group 2.3 Citigroup 2.3 Barclays 2.2 ICICI Ba
Slide 17: Why Polar Capital?
Why Polar Capital? Focused team of specialists Experienced and well-resourced team operating in a nimble environment Capitalising on stock picking record across global financials High conviction portfolios taking advantage of exciting opportunities Source: Polar Capital, March 2024. This presentatio
Slide 18: Important Information
Important Information Polar Capital, 16 Palace Street, London SW1E 5JD Important Information: This is a marketing communication. Please refer to the Polar Capital Global Financials Trust plc offer document and to the KID before making any final investment decisions. This document is provided for the
Slide 19: Important Information Cont.
Important Information Cont. Polar Capital, 16 Palace Street, London SW1E 5JD Benchmarks: The following benchmark index is used: MSCI ACWI Financials Net Total Return Index (in Sterling). This benchmark is generally considered to be representative of the Financial Equity universe. This benchmarks is
Slide 20: Important Information Cont.
Important Information Cont. Polar Capital, 16 Palace Street, London SW1E 5JD Allocations: The strategy allocation percentages set forth in this document are estimates and actual percentages may vary from time-to-time. The types of investments presented herein will not always have the same comparable
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