Large gains from ‘brand’ investing

Investors would have seen a 97% return between 2007-2015 had they invested in an index related to the brand value of companies, the creators of the index claim. This compares to the average return of 49% for index funds linked to the S&P 500. The Solactive BrandFinance European Leaders Select 30 Index, and a low-risk variation of it, are launched by Frankfurt-based Solactive, an index provider, and BrandFinance, a brand consultant and valuation specialist. The firms say there is a strong link between brand value and stock market performance due to a link between a company’s brand, its pricing premium, customer loyalty and market share. Brand Finance said intangible assets – such as brand – account for 47% of a company’s total global enterprise value and 52% of total European enterprise value. “The brands selected for inclusion within the two indices are a clear indication that properly managed brands can become solid investment opportunities,” the firms say. ©2016 funds europe

Sponsored Profiles

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Portfolio Manager Davide Cataldo discusses the results of the Pioneer Investments’ survey on liquid alternatives and how investors can be encouraged to increase their allocation.

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Executive Interviews

CEO INTERVIEW: Munro gains three-year track record

Mar 16, 2017

Aviva Investors’ annual results this month were the third set since Euan Munro took over as CEO. Nick Fitzpatrick speaks to him about the ‘Aims’ fund at the heart of the firm’s outcome strategy.

DISTRIBUTION INTERVIEW: Tales of the unexpected

Mar 16, 2017

Laurence Terryn, a fund selector at Candriam, tells David Stevenson how the twists and turns of the past year’s macro environment flavoured her approach to fund selection.

Roundtables

ASSET SERVICING ROUNDTABLE: Under pressure

Mar 07, 2017

Funds Europe speaks to leading Luxembourg industry figures about the growing regulatory demands on asset servicers and how to remain profitable in spite of major investments in technology.

SEC LENDING ROUNDTABLE: Both a borrower and a lender be

Jan 11, 2017

Industry heavyweights, including agent lenders, discuss issues affecting the securities lending sector such as regulation and the types of collateral being used.