The California-headquartered investment giant is bringing its "new perspective" strategy from the US over to Europe and Asia.

Capital Group has launched a Luxembourg-domiciled fund to offer European and Asian investors exposure to companies that generate the bulk of their revenues outside their home market.

The launch of Capital Group New Perspective Fund (LUX) follows research by the group which found that companies domiciled in the UK generate on average 71 per cent of their revenues outside of the UK market, while Swiss companies listed on the SBI generate 93 per cent of their revenue outside of Switzerland. In the Netherlands, it found that 89 per cent of revenues generated by companies on the AEX Index come from outside the country.

“The analysis demonstrates that investors might benefit from using revenue, in addition to where a company is listed, as a proxy for where a company does business, and thus a company’s prospects,” said Rob Lovelace, portfolio manager for the fund. “In an integrated global economy, the beneficiaries of improving economic conditions may not necessarily be located in close proximity to that recovery.”

The UCITS fund will therefore consider the source of a company’s revenue streams, as well as the country of domicile, in order to better understand the investment opportunities and risks. With the launch, Capital Group's global equity strategy from the US will become available to European and Asian investors for the first time. As of the end of September, the strategy, which focuses on blue-chip quality companies around the world, has delivered a return of 4.8 per cent above the MSCI All Country World Index (net dividends reinvested) over its 42-year lifetime in the US.

“Capital is committed to Europe and Asia and we are particularly pleased that investors in these markets will be able to benefit from a strategy that has produced a track record of superior, consistent results for more than 40 years in the US,” said Kevin Clifford, head of global distribution at Capital Group.

Capital Group, which had $1.4 trillion of assets under management as of the end of June, recently opened an office in Zurich to boost growth throughout Europe and Asia.