| Report Date | |
| Manager | |
| Fund Name | |
| Strategy | |
| Latest Return Date | |
| Latest Return | |
| Latest 6 Months | |
| Latest 12 Months | |
| Latest 24 Months (pa) | |
| Annualised Since Inception | |
| Inception Date | |
| FUM (millions) | |
| Fund Overview | The Fund's discretionary investment strategy commences with a macro view of the economy and direction to establish the portfolio's desired market exposure. Following this detailed sector and company research is gathered from knowledge of the individual stocks in the Fund's universe, with widespread use of broker research. Company visits, presentations and discussions with management at CEO and CFO level are used wherever possible to assess management quality across a range of criteria. Detailed analysis of company valuations using financial statements and forecasts, particularly focusing on free cash flow, is conducted. Technical analysis is used to validate the Manager's fundamental research and valuations and to manage market timing. A significant portion of the Fund's overall performance can be attributed to the attention and importance given to the macro economic outlook and the ability and willingness to adjust the Fund's market risk. |
| Manager Comments | Top contributors in July included Harvest Technology, Fortescue, Kogan, Breville Group and Exore Resources. Key detractors included Paradigm, Flight Centre, Polynovo and Worley. Given the rally in the market, the Short Book detracted -102 basis points from the Fund's return, largely driven by a short position in Share Price Index Futures contracts. Kardinia's net market exposure at month-end was 72.1% (77.1% long and 5.0% short), with the key changes being the removal of the short position in Share Price Index Futures. Other key changes to the portfolio included new long positions in Aroa Biosurgery, Exore Resources and Temple and Webster, as well as increased weightings in Commonwealth Bank, James Hardie, National Australia Bank and West African Resources. This was partially offset by reduced positions in Alumina, Boral and REA Group. Kardinia continue to watch the actions of governments and central banks global in response to the COVID-19 pandemic as they believe these are the key drivers of markets. In particular, they are monitoring negotiations around the second stimulus bill in the US as well as the lead up to the US election. The Fund's key holdings are in technology, gold and yield stocks. |
| More Information |
