Fleming Family & Partners, the multi-family office, has launched Global Select Equities, a fund designed to overcome the geographical and sector constraints seen in traditional, large capitalisation, actively-managed equity strategies, it said yesterday.

Stocks held in the fund are chosen from among the most liquid 10 per cent of listed stocks globally; this universe is further narrowed by a screening process which focuses on stocks with a high and sustainable return on equity, strong free cash flow generation and the capacity to perform across the market cycle.

From an initial universe of around 16,000, only 80 to 150 stocks will typically meet the required criteria; once the process is finished, the portfolio holds 40-60 stocks.

”We have been looking at this for about four years and we concluded that success in large capitalisation investment is highly dependent on the ability to navigate across geographies and sectors,” Arthur Grigoryants, head of investments at FF&P said.

The fund is accessible to existing FF&P clients and other investors through a UCITS structure. For current clients, there is a performance fee of 15 per cent but no management charge. Other investors will pay a base fee of 1 per cent and the same performance fee as existing FF&P clients.

FF&P now manages assets of around £4 billion ($6.08 billion) and beyond the founding Fleming family looks after an additional 50 core, discretionary clients.