NEWS
11 Oct 2019 - Hedge Clippings | 11 October 2019
|
||||
|
If you'd like to receive Hedge Clippings direct to your inbox each Friday
|
11 Oct 2019 - Performance Report: DS Capital Growth Fund
| 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 investment team looks for industrial businesses that are simple to understand; they generally avoid large caps, pure mining, biotech and start-ups. They also look for: - Access to management; - Businesses with a competitive edge; - Profitable companies with good margins, organic growth prospects, strong market position and a track record of healthy dividend growth; - Sectors with structural advantage and barriers to entry; - 15% p.a. pre-tax compound return on each holding; and - A history of stable and predictable cash flows that DS Capital can understand and value. |
| Manager Comments | Over the quarter the Fund rose +3.75% versus the Index's +2.37%. DS Capital noted the main influence on stock markets during the quarter continued to be interest rates, ongoing trade negotiations between the US and China and the slowdown in global economic growth. Most of the Fund's holdings delivered good results during reporting season that were in line with DS Capital's expectations. The Fund's cash level finished the quarter at 19%. DS Capital believe central banks will continue trying to stimulate growth by cutting rates, however, they noted, with most official rates at almost zero, rates are seemingly less effective at stimulating growth and therefore other forms of stimulus may be required. DS Capital are working on several new opportunities that they hope to progress to investments for the Fund and will provide more information on these in forthcoming updates. |
| More Information |
10 Oct 2019 - Three Seismic Tremors in September
8 Oct 2019 - Performance Report: Cyan C3G Fund
| 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 | Cyan C3G Fund is based on the investment philosophy which can be defined as a comprehensive, clear and considered process focused on delivering growth. These are identified through stringent filter criteria and a rigorous research process. The Manager uses a proprietary stock filter in order to eliminate a large proportion of investments due to both internal characteristics (such as gearing levels or cash flow) and external characteristics (such as exposure to commodity prices or customer concentration). Typically, the Fund looks for businesses that are one or more of: a) under researched, b) fundamentally undervalued, c) have a catalyst for re-rating. The Manager seeks to achieve this investment outcome by actively managing a portfolio of Australian listed securities. When the opportunity to invest in suitable securities cannot be found, the manager may reduce the level of equities exposure and accumulate a defensive cash position. Whilst it is the company's intention, there is no guarantee that any distributions or returns will be declared, or that if declared, the amount of any returns will remain constant or increase over time. The Fund does not invest in derivatives and does not use debt to leverage the Fund's performance. However, companies in which the Fund invests may be leveraged. |
| Manager Comments | There were numerous positive contributors to performance and few detractors in September. Seven of the Fund's holdings rose more than 30% over the course of the month and another 6 delivered impressive double-digit percentage gains. Top contributors included Alcidion (+65%), Oventus (+49%), Quickstep (+44) and Quickfee (+31%). Cyan noted external factors such as global political uncertainty and trade wars continue to cause bursts of volatility in equity markets. Their view is that, with historically low interest rates, investors are simply not being rewarded for conservative investment decisions. They added that, whilst the market may be trading at a slight premium to long term averages in terms of price to earnings ratios, low interest rates support company valuations and thus Cyan continue to see excellent investment opportunities at the smaller end of the market. |
| More Information |
4 Oct 2019 - Hedge Clippings | 04 October 2019
|
||||
|
If you'd like to receive Hedge Clippings direct to your inbox each Friday
|
4 Oct 2019 - Performance Report: Spectrum Strategic Income Fund
| 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 | |
| Manager Comments | Spectrum noted the portfolio remains well diversified with a spread of securities by industry sector and legal structure. Bank T2 capital remains at 24% whilst senior unsecured remains at 37%. The Fund continues to maintain a healthy 9% in ASX listed securities. The portfolio continues to maintain an average credit rating of A-. Top 10 holdings as at the end of August included National Australia Bank, DBS Group Holdings, AAI Ltd, QPH Finance Co Pty Ltd, Paccar Financial, Suncorp Metway, Toyoto Finance Australia, Multiplex Sites Trust and Bank of Queensland. The Fund's cash position was 12.7%. Spectrum believe the cash position of 12.7% puts the Fund in a good position to take advantage of movements in spreads or rates. They added that this cash position also offers a level of protection during times of uncertainty. |
| More Information |
3 Oct 2019 - Presentation - Gyrostat Absolute Return Income Equity Fund
2 Oct 2019 - Performance Report: Bennelong Concentrated Australian Equities Fund
| 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 overriding objective of the Concentrated Australian Equities Fund is to seek investment opportunities which are under-appreciated and have the potential to deliver positive earnings, while satisfying our stringent quality criteria. Bennelong's investment process combines bottom-up fundamental analysis together with proprietary investment tools which are used to build and maintain high quality portfolios that are risk aware. The portfolio typically consists of 20-35 high-conviction stocks from the S&P/ASX 300 Index. The Fund may invest in securities listed on other exchanges where such securities relate to ASX-listed securities. Derivative instruments are mainly used to replicate underlying positions and hedge market and company specific risks. |
| Manager Comments | As at the end of August, the Fund's weightings had been increased in the Health Care, Consumer Staples, IT, Industrials, Communication and Financials sectors, and decreased in the Discretionary, REIT's and Materials sectors. Top holdings included CSL, Reliance Worldwide and Aristocrat Leisure. |
| More Information |
1 Oct 2019 - Performance Report: DS Capital Growth Fund
| 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 investment team looks for industrial businesses that are simple to understand; they generally avoid large caps, pure mining, biotech and start-ups. They also look for: - Access to management; - Businesses with a competitive edge; - Profitable companies with good margins, organic growth prospects, strong market position and a track record of healthy dividend growth; - Sectors with structural advantage and barriers to entry; - 15% p.a. pre-tax compound return on each holding; and - A history of stable and predictable cash flows that DS Capital can understand and value. |
| Manager Comments | The Fund's Sharpe and Sortino ratios for performance since inception, 1.73 and 3.58 respectively, by contrast with the Index's Sharpe of 0.79 and Sortino of 1.17, highlight the Fund's capacity to achieve superior risk-adjusted returns whilst avoiding the market's downside volatility. The Fund's down-capture ratio of 22.00%, average negative return of -1.25% versus the Index's -2.51% and maximum drawdown since inception of -8.80% versus the Index's maximum drawdown of -13.73% over the same period collectively demonstrate its capacity to outperform and thus protect investor capital in falling markets. The Fund aims to deliver an average return of at least 10% p.a. through the economic cycle, with a focus on capital preservation. The Fund comprises a concentrated portfolio of small and mid-cap investments selected through a process of quantitative and qualitative analysis. |
| More Information |
1 Oct 2019 - Why Invest With Insync
|
Damen Purcell, National Manager Distribution at Insync Fund Managers, gives a brief overview of what Insync looks for when choosing companies to invest in. |
