Smith & Williamson announced the launch of an actively managed global thematic Artificial Intelligence (AI) fund in June (subject to regulatory approval), enabling investors to gain exposure to those companies best placed to harness the transformational opportunities presented by AI.
Managed by former Pictet managers Chris Ford and Tim Day, the high-conviction global equity fund will offer investors access to a concentrated portfolio of companies that derive most or all of their revenues and growth from AI.
The fund will aim to capture the full extent of the impact of AI on the broader global economy, extending beyond AI subsets such as robotics. Unconstrained by a benchmark, it will be broadly diversified across economic sectors and global markets, holding around half of its positions outside the US.
The fund will itself use and benefit from AI being embedded within the investment process. This proprietary model will enhance the efficiency with which the managers can identify investable companies for the 30-35 stock portfolio.
The fund is the first launch for Ford and Day since they joined Smith & Williamson in 2015, having previously co-led Pictet Asset Management’s Global Equities business in London. Ford has two decades of experience in North American and Global equity markets, specialising in the technology sector. Day has three decades of experience in North American and Global equities.
Ford says: “The Smith & Williamson AI fund will seek to fully capture this opportunity by gaining exposure to the companies around the world which derive significant competitive advantages from their superior ability to harness AI.
“Embedding our own artificial intelligence into the fund’s investment process is a demonstration of our conviction in AI’s utility and we are excited to leverage its power as we seek to identify the business models most successfully profiting from this transcendent technology.”
Ed Rosengarten, head of funds at Smith & Williamson, says: “The opportunity in artificial intelligence is compelling and in Ford and Day we have a team with the expertise and track record to manage a thematic fund targeting the world’s leading AI-driven companies.
“As one of the leading global AI hubs, London is the ideal place from which to manage the fund and we look forward to offering investors access to one of the most exciting structural growth opportunities in world equity markets today.”