Lombard Odier Investment Managers (Lombard Odier IM) has agreed with Credit Suisse Asset Management the transfer to Lombard Odier IM of a high-conviction global equity strategy investing in companies offering luxury or prestige products and services with premium brands.
An agreement between the two firms will see Lombard Odier IM launch LO Funds – Global Prestige on 26 June. The EUR 236m Credit Suisse (Lux) Global Prestige Equity Fund will subsequently transfer into this fund. Juan Mendoza will join Lombard Odier IM as senior portfolio manager to run the fund.
Following his appointment at Lombard Odier IM, Juan Mendoza will run Global Prestige with the same investment objective, policy, and approach taken at Credit Suisse Asset Management since 2009. Juan will be supported by Ingrid Nouhaud, Analyst in Lombard Odier IM’s High Conviction Equity team.
Didier Rabattu, head of equities at Lombard Odier IM, said: “We are delighted to add the Global Prestige strategy to our high conviction equity offering. The strategy is well aligned with our Discounted Excess Economic Return (DEER) investment philosophy. Global Prestige is a strong complement to our well-established expertise in thematic investing, which includes capabilities in the brand, luxury and consumer-related sectors. Juan is a top-ranked portfolio manager with a strong track record in running the investment strategy behind Global Prestige during his tenure at Credit Suisse Asset Management.”
Michel Degen, head of Credit Suisse asset management Switzerland and EMEA, added: “Our industry is continuously evolving. Partnering with other firms is crucial if we are to meet the needs of clients and thrive as an industry. We are pleased to join forces with Lombard Odier IM to achieve this fund merger.”
Global Prestige will be invested in a concentrated portfolio of 30 to 40 stocks of companies with the ability to generate sustainable excess economic returns with strong market positions, high pricing power and promising growth prospects. The fund will aim to deliver maximum capital appreciation by offering investors the opportunity to benefit from structural long-term growth trends such as emerging consumers, millennial spending and other consumer-related trends.