Equities

Philosophy

Equities make up the largest percentage of assets in our portfolio, reflecting our confidence in their ability to generate consistent returns over time.

We believe that markets are mostly efficient, but that temporary mispricings can be captured through active management and a dynamic and flexible investment process.

We have a culture of sharing knowledge and debating ideas within and across our teams, which supports the investment decision making process. For our actively managed public market mandates, we use fundamental analysis to select stocks and we are continuously exploring the latest technology to stay at the forefront of the industry. Our people are encouraged to be curious and to explore new ideas as they seek to generate alpha.

Humaid Salem Al Darmaki

Head of European Growth
Equities

Process

We invest in global equities through a combination of internal teams and externally managed funds.

ADIA's network of external managers invest actively in companies around the world, with an emphasis on quality, value, earnings growth potential and momentum.

We also employ a sizeable team of internal portfolio managers, with the autonomy to invest in ways that are appropriate to the specifics of their respective markets.

Our passively managed investments seek to replicate the performance of global market indices, while adding marginal value through prudent and selective trading activities.

The Equity Index universe has seen a dramatic increase in size and scope over the past decade, driven mainly by both cost and risk control. This, in turn, has resulted in the continued growth and evolution of alternative index products including ETF’s, Smart Beta, Sustainability and ESG products.

The Indexed Funds Department works closely with index providers, asset managers and our internal teams to take full advantage of these developments in alignment with ADIA’s mission.

Johnston Haire

Head of Indexed Equities
Indexed Funds

Structure

ADIA has two equities-focused departments: Indexed Funds and the Equities Department.

Indexed Funds

The Indexed Funds Department manages the largest proportion of ADIA’s equities with the objective of achieving index returns with the flexibility to add value within approved guidelines. These global index equity returns are achieved directly by a team within the Department and also indirectly through a group of international external index managers. The Department ensures that the appropriate risk controls and diversification are in place while continually seeking opportunities to generate marginal excess returns.
Equities

The Equities Department is an active investor in public equity markets across all major geographies through both internal teams and external managers. The Department focuses on identifying markets where it believes active management has a systematic advantage as well as selecting uniquely skilful managers with highly differentiated investment approaches. By applying this well-defined investment approach in a disciplined manner, the Department believes it will achieve its excess return objective over time

Our business model is focused on building strategic partnerships with a common purpose. After identifying the most attractive markets for active managers, we seek the strategies most likely to capture excess returns in those markets over time. But even then, it’s essential that we find partners whose interests and goals are aligned with ours, as this is most likely to result in shared success.

Brian Tipple

Global Head of External Equities
Equities