Performance Report: Bennelong Australian Equities Fund

19 Aug 2019 - Australian Fund Monitors

The Bennelong Australian Equities Fund rose +3.11% in July, outperforming the ASX200 Accumulation Index and taking annualised performance since inception in January 2009 to +13.83% versus the Index's +11.26%.

19 Aug 2019 - Performance Report: Bennelong Australian Equities Fund

By: Australian Fund Monitors

Report Date	19 August 2019
Manager	Bennelong Australian Equity Partners (BAEP), a Bennelong boutique
Fund Name	Bennelong Australian Equities Fund
Strategy	Equity Long
Latest Return Date	July 2019
Latest Return	3.20%
Latest 6 Months	16.45%
Latest 12 Months	4.83%
Latest 24 Months (pa)	16.44%
Annualised Since Inception	13.83%
Inception Date	30 January 2009
FUM (millions)	AU$535.06
Fund Overview	Bennelong Australian Equity Partners (BAEP) is a boutique asset manager offering Australian equities solutions for institutional and retail clients. The business was founded in 2008 by Paul Cuddy and Mark East, in partnership with Bennelong Funds Management. Prior to establishing BAEP, Paul and Mark were Co-Heads of Australian Equities at ING Investment Management. The Bennelong Australian Equities Fund seeks quality investment opportunities which are under-appreciated and have the potential to deliver positive earnings. The investment process combines bottom-up fundamental analysis with proprietary investment tools that are used to build and maintain high quality portfolios that are risk aware. The investment team manages an extensive company/industry contact program which helps identify and verify various investment opportunities. The companies within the portfolio are primarily selected from, but not limited to, the S&P/ASX 300 Index. The Fund may invest in securities listed on other exchanges where such securities relate to the ASX-listed securities. The Fund typically holds between 25-60 stocks with a maximum net targeted position of an individual stock of 6%.
Manager Comments	The Bennelong Australian Equities Fund rose +3.11% in July, outperforming the ASX200 Accumulation Index and taking annualised performance since inception in January 2009 to +13.83% versus the Index's +11.26%. The Fund's up-capture and down-capture ratios since inception indicate that, on average, the Fund has outperformed in both rising and falling markets. As at the end of July, the Fund's weightings had been increased in the following sectors: Health Care, IT, Communication and Materials. Portfolio weightings had been decreased in the following sectors: Discretionary, REITs, Consumer Staples, Industrials and Financials. The Fund's top three holdings are CSL, BHP Billiton and Aristocrat Leisure. The Fund aims to invest in high quality companies with strong growth and outlooks and underestimated earnings momentum. The Fund's portfolio characteristics, as detailed in the latest report, indicate that the Fund is in line with the manager's investment objective.
More Information	Fund Profile Manager's Report

Performance Report: Harvest Lane Asset Management Absolute Return Fund

19 Aug 2019 - Australian Fund Monitors

The Harvest Lane Absolute Return Fund returned +1.23% in July. Since inception in July 2013, the Fund has returned +8.50% p.a. with an annualised volatility of 6.92%.

19 Aug 2019 - Performance Report: Harvest Lane Asset Management Absolute Return Fund

By: Australian Fund Monitors

Report Date	19 August 2019
Manager	Harvest Lane Asset Management
Fund Name	Harvest Lane Asset Management Absolute Return Fund
Strategy	Equity Market Neutral
Latest Return Date	July 2019
Latest Return	1.23%
Latest 6 Months	0.94%
Latest 12 Months	5.23%
Latest 24 Months (pa)	10.51%
Annualised Since Inception	8.50%
Inception Date	01 July 2013
FUM (millions)	AU$13.1
Fund Overview	The Fund aims to deliver a return of greater than 10% p.a. after all fees and charges over a 3 year period with low or no correlation to the Australian equity market. By focusing on select takeover and corporate activity the fund aims to achieve this whilst also exhibiting lower than average volatility than the market. Harvest Lane Asset Management employs a conservative, highly selective and opportunistic approach. Using their extensive knowledge in the area of corporate actions, the Fund's managers assess each opportunity based on a thoughtful, diligent and disciplined process and invest where they believe an opportunity exists to generate above average investment returns relative to the risk incurred. Investment decisions are made without speculating on market direction, with rigid risk controls enforced to minimise the risk of large losses of investor capital. The Fund invests in securities that are predominantly listed on the ASX and occasionally in those listed in other developed markets. Equity swaps and other derivatives may be used at times to reduce risk. The fund typically holds high levels of cash in the absence of sufficiently attractive opportunities to deploy investor capital in accordance with its objectives.
Manager Comments	The Harvest Lane Absolute Return Fund returned +1.23% in July. Since inception in July 2013, the Fund has returned +8.50% p.a. with an annualised volatility of 6.92%. By contrast, the ASX200 Accumulation Index has returned +10.62% p.a. with an annualised volatility of 10.75% over the same period. The Fund's Sortino ratio of 1.60 versus the Index's 1.21, average negative return of -1.45% versus the Index's -2.45% and down-capture ratio of -35.58% highlight the Fund's focus on avoiding the market's negative months. Harvest Lane noted there were some meaningful individual contributors and interesting corporate activity during the month, much of which they believe highlights the latent potential currently residing in the portfolio. They added that deal flow is showing no sign of slowing down with the latter half of July seeing several prospective opportunities announced, allowing Harvest Lane to invest in new opportunities and reinvest the proceeds of completed transactions.
More Information	Fund Profile Manager's Report

Hedge Clippings | 16 August 2019

16 Aug 2019 - Australian Fund Monitors

Turmoil in equity markets as bond yields invert, triggering recession fears. Turmoil on the streets of Hong Kong as protesters up their anti-mainland push. Turmoil amongst sections of the financial sector as AMP turns the screws on advisors.

16 Aug 2019 - Hedge Clippings | 16 August 2019

By: Australian Fund Monitors

Hedge Clippings | Friday 16 August, 2019

Turmoil takes hold!

Turmoil in equity markets as bond yields invert, triggering recession fears. Turmoil on the streets of Hong Kong as protesters up their anti-mainland push. Turmoil amongst sections of the financial sector as AMP turns the screws on advisors.

Let's take the inverted bond yield and the potential for a recession first:

Inversion in bond markets has preceded the last nine US recessions, hence the panic on equity markets. However, it's not a failsafe indicator, as shown in 1966 and again in 1998. On this occasion there are other forces at play - both for and against - which may confirm or deny the norm. We're in an unprecedented environment of ultra-low and, in many parts of the world, negative interest rates, hence it's no wonder that 10 year bond rates are so low. On the other hand, inflation at close to zero, China's inevitable slowdown after over 2+ decades of mega growth, the US/China tariff standoff, and the risk of that spilling into a currency war, and the potential for a "no deal" Brexit have all added to the seeming inevitability of the "R" word recurring.

Expect the turmoil to continue. Inflation doesn't look like re-appearing in a hurry, central banks are more likely to cut rates before they raise them again, and neither Trump nor Xi can afford to lose their credibility, or lose face. If anything, this is looking like a slow train wreck in motion.

Our friends at Longview Economics in the UK published a piece last week outlining Charles Kindleberger's "Framework for Defining Asset Price Bubbles" which lists his four factors for defining a bubble, and which we've taken the opportunity of including below:

1. Cheap money underpins and creates the bubble;
2. Debt is taken on during the bubble build-up, which helps fuel much of the speculative price increases (e.g. buying on margin);
3. Once a bubble is formed, the asset price has a notably expensive valuation; and
4. There's always a convincing narrative to 'explain away' the high price. Reflecting that, there's a wide acceptance in certain quarters that the price is rational (and that 'this time it's different').

Sobering stuff.

Hong Kong's turmoil however is travelling at a much faster pace, and one wonders how much longer the Chinese government will resist the inevitable crackdown if the protesters don't back down. Once again there's credibility at stake, with significant economic damage gathering pace.

Closer to home turmoil in the financial services sector continues unabated with both NAB, and particularly AMP, moving to restructure their advice and distribution businesses. Although this may seem to be a tipping point, the move from the aligned to a more independent advice model has been gathering pace for some time. Driven in part by regulatory change, in part by the fallout from the Hayne Royal Commission, partly by the high cost of retail distribution channels (which at the end of the day the investor often ends up paying for) and partly by the rise of technology, the trend is going to continue.

Change, they say, is inevitable - if you don't embrace it before it occurs it is likely to devastate you. Throw in a solid dose of turmoil, and the odds get shorter that it will.

If you'd like to receive Hedge Clippings direct to your inbox each Friday

JOIN OUR MAILING LIST

Fund Review: Bennelong Kardinia Absolute Return Fund July 2019

16 Aug 2019 - Australian Fund Monitors

The latest Fund Review for the Bennelong Kardinia Absolute Return Fund is now available. The Fund is a long-biased, research driven, active equity long/short strategy which invests in listed ASX companies with track records greater than 10 years.

Commonwealth Bank's FY19 Result: Trench Warfare Ahead

15 Aug 2019 - Marcel von Pfyffer, Arminius Capital

The Commonwealth Bank of Australia ("CBA") is Australia's largest bank at $140.6 billion, and the most expensive of the Big Four, in terms of P/E, dividend yield, and price to book ratio. As such, its disappointing result for the year...

Fund Review: Bennelong Twenty20 Australian Equities Fund July 2019

15 Aug 2019 - Australian Fund Monitors

The latest Fund Review on Bennelong Twenty20 Australian Equities Fund is now available. The Fund invests in ASX listed stocks, combining an indexed position in the Top 20 stocks with an actively managed portfolio of ex-20 stocks.

Performance Report: Glenmore Australian Equities Fund

14 Aug 2019 - Australian Fund Monitors

The Glenmore Australian Equities Fund rose +7.71% in July, outperforming the ASX200 Accumulation Index by +4.77%. Since inception in June 2017 the Fund has returned +33.47% per annum versus the Index's +12.87%.

14 Aug 2019 - Performance Report: Glenmore Australian Equities Fund

By: Australian Fund Monitors

Report Date	14 August 2019
Manager	Glenmore Asset Management Pty Ltd
Fund Name	Glenmore Australian Equities Fund
Strategy	Equity Long
Latest Return Date	July 2019
Latest Return	7.71%
Latest 6 Months	40.04%
Latest 12 Months	31.37%
Latest 24 Months (pa)	34.82%
Annualised Since Inception	33.47%
Inception Date	06 June 2017
FUM (millions)	AU$7.7
Fund Overview	The Fund is index unaware with an absolute return focus. The Fund seeks to invest in companies generating strong cashflows at attractive valuations. In absence of attractive investments being identified, the fund will hold cash. Glenmore will use a fundamental, research driven investment process to identify undervalued securities. The main driver of identifying potential investments will be bottom up company analysis, however macro-economic conditions will be considered as part of the investment thesis for each stock.
Manager Comments	The Glenmore Australian Equities Fund rose +7.71% in July, outperforming the ASX200 Accumulation Index by +4.77%. Since inception in June 2017 the Fund has returned +33.47% per annum versus the Index's +12.87%. The Fund's up-capture and down-capture ratios, 213.45% and 71.10% respectively, indicate that the Fund has significantly outperformed in both rising and falling markets on average. Top contributors included Phoslock Environment Technologies, Magellan Financial Group, Dicker Data, People Infrastructure, AP Eagers, Alliance Aviation Services and Fiducian Group. Key detractors included Stanmore Coal and Jumbo Interactive. Glenmore noted they were surprised by the magnitude of the rebound in 2019. They believe the most likely driver of the rebound is the view that we will have continued low inflation and low interest rates for the foreseeable future. Glenmore's approach in this environment has been to sell or trim holdings where they believe valuations have become stretched and remain very selective with regards to the quality of businesses they are invested in.
More Information	Fund Profile Manager's Report

Performance Report: NWQ Global Markets Fund

14 Aug 2019 - Australian Fund Monitors

The NWQ Global Markets Fund returned +2.92% in July, taking cumulative performance since inception in September 2018 to +5.28%.

Performance Report: Cyan C3G Fund

13 Aug 2019 - Australian Fund Monitors

The Cyan C3G Fund returned +5.2% in July, outperforming the ASX200 Accumulation Index by +2.26% and marking 5 years since inception in August 2014. Over that time the Fund has achieved an annualised return of +19.99% versus the Index's +8.55%.

13 Aug 2019 - Performance Report: Cyan C3G Fund

By: Australian Fund Monitors

Report Date	13 August 2019
Manager	Cyan Investment Management
Fund Name	Cyan C3G Fund
Strategy	Equity Long
Latest Return Date	July 2019
Latest Return	5.18%
Latest 6 Months	15.86%
Latest 12 Months	4.60%
Latest 24 Months (pa)	12.28%
Annualised Since Inception	19.99%
Inception Date	24 July 2014
FUM (millions)	AU$35
Fund Overview	The Cyan C3G Fund operates as a wholesale unregistered managed investment scheme under a unit trust structure. The Fund primarily invests in ASX listed companies outside the ASX 100 and typically holds between 15-35 stocks. 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	The Cyan C3G Fund returned +5.2% in July, outperforming the ASX200 Accumulation Index by +2.26% and marking 5 years since inception in August 2014. Over that time the Fund has achieved an annualised return of +19.99% versus the Index's +8.55%. The Fund's Sharpe and Sortino ratios, 1.58 and 3.17 respectively, by contrast with the Index's Sharpe of 0.64 and Sortino of 0.88, highlight the Fund's capacity to achieve superior risk-adjusted returns whilst avoiding the market's downside volatility. The Fund's down-capture ratio since inception of -3.37% indicates that, on average, the Fund has risen during the months the market has fallen. Top contributors during the month included Alcidion, Quickfee, Readcloud, Atomos and PSC Insurance. Cyan noted very few of the Fund's holdings performed poorly in July. Cyan believe ongoing trade wars and associated currency fluctuations are likely to continue to drive sentiment in the short term. They noted that, rather than trying to pick short-term trading directions, they continue to invest on a stock specific basis through a well-diversified portfolio of around 30 companies. Cyan expect the market to focus more fully on individual company performance rather than macro events and short-term sentiment during reporting season.
More Information	Fund Profile Manager's Report

Fund Review: Bennelong Long Short Equity Fund July 2019

13 Aug 2019 - Australian Fund Monitors

Latest Fund Review for the Bennelong Long Short Equity Fund is now available. The Fund is a research driven, market and sector neutral, "pairs" trading strategy investing primarily in large-caps from the ASX/S&P100 Index...

Search for:
Fund:	Type a few letters to search
Manager:
Publish Dates:	From: To:

Fund Monitors Pty Ltd

News

NEWS

19 Aug 2019 - Performance Report: Bennelong Australian Equities Fund

19 Aug 2019 - Performance Report: Harvest Lane Asset Management Absolute Return Fund

16 Aug 2019 - Hedge Clippings | 16 August 2019

16 Aug 2019 - Fund Review: Bennelong Kardinia Absolute Return Fund July 2019

15 Aug 2019 - Commonwealth Bank's FY19 Result: Trench Warfare Ahead

15 Aug 2019 - Fund Review: Bennelong Twenty20 Australian Equities Fund July 2019

14 Aug 2019 - Performance Report: Glenmore Australian Equities Fund

14 Aug 2019 - Performance Report: NWQ Global Markets Fund

13 Aug 2019 - Performance Report: Cyan C3G Fund

13 Aug 2019 - Fund Review: Bennelong Long Short Equity Fund July 2019

Category

Search

Events Calendar