New Perspective strategy | Capital Group

The New Perspective Strategy:

Built for an Evolving World

The prospects for global integration have become less certain amid rising populism and geopolitical tensions. Technological revolution, another disruptive trend, has also profoundly impacted individuals as well as industries and economies. Changes like these created a spectrum of challenges, but at the same time brought about investment opportunities.

Capital Group's New Perspective strategy, which has experienced more than four decades of market cycles, is well positioned to benefit from these changing patterns of world trade.

Globalisation at a turning point

The pace of globalisation is gaining speed and cutting through market and political noises around the world. Here are the key trends that the New Perspective managers are keeping a close eye on.


As at 30 June 2017. Source: Capital Group. Past results are not a guarantee of future results. Investment involves risks. The value of an investment and the income received from it can go down as well as up.

Positioned to benefit from the changing face of globalisation

In the current economic environment, it is important to not just benefit from growth in world trade, but also to benefit from changing patterns of world trade. To do that, the New Perspective strategy invests in global companies that are well positioned to take advantage of secular growth trends and innovation.


The digital transformation knows few boundaries and are changing the economics of doing businesses across borders. Beneficiaries of this investment theme are companies that can benefit from the development of the global digital economy and the 'Internet of Things':

  • Social media and advertising company Facebook
  • Technology giant Alphabet
  • Media and e-commerce conglomerate Naspers


Source: TeleGeography, Global Bandwidth Forecast Service


E-commerce, powered by the rapid rise in technology, is reshaping the supply chains of companies and forcing them to be located near end markets. The New Perspective portfolio managers like companies with distribution networks that cannot be replicated as well as unique brands that have high barriers to entry:

  • Online retailer Amazon
  • Online travel services company Priceline


Sources: Cyber Monday and Black Friday figures via Adobe Digital Insights and Singles' Day’s figures via CNBC/Alibaba, as at Nov 2016


The new global consumer has spending power and is changing consumption patterns across the world. China, the largest e-commerce market in the world, is one important market that the New Perspective strategy is focused on. The strategy invests in companies that are well positioned to capture the growing demand of global consumers and changing consumer behaviours:

  • Consumer goods giant Nestlé
  • Insurer AIA
  • Cruise operator Norwegian Cruise Line


Source: Capital Group internal sources and Starbucks, as at December 2016


People are living longer and the world is ageing. The demand for medical drugs and treatments continues to grow and this is a multi-decade investment theme. Companies that fit into this theme focus on areas of unmet medical need that have leading drugs or treatments with long growth runways, and have track records in drug innovations:

  • Innovative biotechnology and pharmaceutical companies such as Incyte and Regeneron Pharmaceuticals


Sources: Historical population data and projections (1950-2050) were accessed via OECD's Demography and Population database at on 29 August 2016 and Euromonitor (spending power of consumers aged 60 and older)

Capital Group New Perspective Fund (AU): A time-tested approach capturing the potential of global secular themes


  • A global approach
    The fund's global mandate allows portfolio managers to pursue pockets of growth, secular trends and global trade patterns wherever these may occur.
  • Multinational bias
    We think the best way to capture these trends is by investing in quality companies across the market cap spectrum that we believe have the potential to develop into leading multinationals.
  • Multiple perspectives
    Capturing these trends require globally integrated research and multiple perspectives. Our organisation is aligned to this and our portfolio is built with only our highest-conviction ideas.


Click here to learn more.

  1. Source: TeleGeography, Global Bandwidth Forecast Service.
  2. Sources: Cyber Monday and Black Friday figures via Adobe Digital Insights and Singles' Day's figures via CNBC/Alibaba, as at  Nov 2016.
  3. Source: Capital Group internal sources and Starbucks, as at December 2016.
  4. Sources: Historical population data and projections (1950-2050) were accessed via OECD's Demography and Population database at on 29 August 2016 and Euromonitor (spending power of consumers aged 60 and older).


This communication is intended for advisors and professional investors only, and should not be relied upon by retail investors. Past results are not predictive of future results. This information is neither an offer nor a solicitation to buy or sell any securities or to provide any investment service. It has not been reviewed by any regulator.
The statements included here are the opinions and beliefs of the individuals identified and do not necessarily reflect the view of Capital Group or its affiliates. While Capital Group uses reasonable efforts to obtain information from sources which it believes to be reliable, Capital Group makes no representation or warranty as to the accuracy, reliability or completeness of the information.

This communication is of a general nature, it is not intended to be comprehensive or to provide investment, tax or other advice. It has been prepared for multiple distributions and does not take account of the specific investment objectives of individual recipients and it may not be appropriate in all circumstances.

This communication has been prepared by Capital International, Inc., a member of Capital Group, a company incorporated in California, United States of America. The liability of members is limited. In Australia, this communication is issued by Capital Group Investment Management Limited (ACN 164 174 501 AFSL No. 443 118), a member of Capital Group, located at Level 18, 56 Pitt Street, Sydney NSW 2000 Australia.

All Capital Group trademarks are owned by The Capital Group Companies, Inc. or an affiliated company in the US, Australia and other countries. All other company and product names mentioned are the trademarks or registered trademarks of their respective companies.

© 2017 Capital Group. All rights reserved.