Performance Report: NWQ Fiduciary Fund

18 Feb 2019 - Australian Fund Monitors

The NWQ Fiduciary Fund rose +0.44% in January, taking annualised performance since inception in May 2013 to +5.34% with an annualised volatility of only 4.92%.

18 Feb 2019 - Performance Report: NWQ Fiduciary Fund

By: Australian Fund Monitors

Report Date	January 2019
Manager	NWQ Capital Management Pty Ltd
Fund Name	NWQ Fiduciary Fund
Strategy	Multi Strategy
Latest Return Date	January 2019
Latest Return	0.44%
Latest 6 Months	-5.32%
Latest 12 Months	-3.50%
Latest 24 Months	8.02%
Annualised Since Inception	5.34%
Inception Date	01 May 2013
FUM (millions)	AU$76
Fund Overview	The NWQ Fiduciary Fund (Fund), managed by NWQ Capital Management, is a diversified multi-manager portfolio, modelled on NWQ's Fiduciary Model Portfolio. The principal investment objective of the Fund is to produce attractive positive returns irrespective of market direction. This is achieved through active allocations to selective fund managers that employ a variety of traditional and absolute return strategies. The Fund places emphasis on managers who demonstrate a rigorous and repeatable investment process that has delivered a strong track record. The Fund aims to produce returns, after management fees and expenses of between 8% to 11% p.a. over rolling five-year periods. Furthermore, the Fund aims to achieve these returns with volatility that is a fraction of the Australian equity market, in order to smooth returns for investors.
Manager Comments	The NWQ Fiduciary Fund rose +0.44% in January, taking annualised performance since inception in May 2013 to +5.34% with an annualised volatility of only 4.92%. By contrast, the ASX200 Accumulation Index has returned +6.71% p.a. with an annualised volatility of 11% over the same period. The Fund's Sortino ratio (1.12 versus the Index's 0.62), in conjunction with its average negative return of -0.96% versus the Index's -2.52% and down-capture ratio of 6.79%, together indicate that the Fund has successfully avoided much of the market's downside volatility over the long term. NWQ noted there was a distinct shift in sentiment from 'risk-off' to 'risk-on' with the US Federal Reserve signalling that it would hold off on further rate rises, reversing a position it took less than two months prior. This shift in sentiment was an indiscriminate tailwind for stocks and this, NWQ say, provided its own set of challenges for the long/short strategies of the Fund's underlying managers. Against this backdrop, the Fund's underlying managers positioned their portfolios to generate modest positive returns and are well positioned for when company fundamentals - as opposed to market sentiment - become the primary driver of stock returns as is most often the case following reporting season.
More Information	Fund Profile Manager's Report

Performance Report: Glenmore Australian Equities Fund

15 Feb 2019 - Australian Fund Monitors

The Glenmore Australian Equities Fund rose +2.84% in January, taking annualised performance since inception in June 2017 to +18.91% per annum versus the ASX200 Accumulation Index's +5.63%.

15 Feb 2019 - Performance Report: Glenmore Australian Equities Fund

By: Australian Fund Monitors

Report Date	January 2019
Manager	Glenmore Asset Management Pty Ltd
Fund Name	Glenmore Australian Equities Fund
Strategy	Equity Long
Latest Return Date	January 2019
Latest Return	2.84%
Latest 6 Months	-6.19%
Latest 12 Months	0.36%
Latest 24 Months
Annualised Since Inception	18.91%
Inception Date	06 June 2017
FUM (millions)	AU$5.4
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 +2.84% in January, taking annualised performance since inception in June 2017 to +18.91% per annum versus the ASX200 Accumulation Index's +5.63%. The Fund's Sharpe and Sortino ratios for performance since inception, 1.33 and 2.03 respectively, by contrast with the Index's Sharpe of 0.51 and Sortino of 0.66, highlight the Fund's capacity to achieve superior risk-adjusted returns whilst avoiding the market's downside volatility. In addition, 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. Top contributors included Worley Parsons (+21.5%), Magellan Financial Group (+21.2%), NRW Holdings (+19.2%), Bravura Solutions (+13.5%), Arena REIT (+11.6%) and Jump Interactive (+10.6%). The only detractor of note was Navigator Global Investments (NGI) which Glenmore decided to exit given NGI's recent earnings update; earnings guidance for FY19 10-15% below the market's expectations.
More Information	Fund Profile Manager's Report

Bennelong Twenty20 Australian Equities Fund January 2019

15 Feb 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: Loftus Peak Global Disruption Fund

14 Feb 2019 - Australian Fund Monitors

The Loftus Peak Global Disruption Fund rose +7.77% in January, outperforming AFM's Global Equity Index by +3.13% and taking annualised performance since inception in November 2016 to +19.54%.

14 Feb 2019 - Performance Report: Loftus Peak Global Disruption Fund

By: Australian Fund Monitors

Report Date	January 2019
Manager	Loftus Peak
Fund Name	Loftus Peak Global Disruption Fund
Strategy	Equity Long
Latest Return Date	January 2019
Latest Return	7.77%
Latest 6 Months	-2.44%
Latest 12 Months	4.69%
Latest 24 Months	40.38%
Annualised Since Inception	19.54%
Inception Date	15 November 2016
FUM (millions)	AU$60.4
Fund Overview	The fund aims to deliver a return over the MSCI All Countries World Index (net dividends reinvested) in AUD over the medium to long term by bringing a disciplined investment process to listed global companies impacted by disruption. The investment process involves a combination of top-down analysis with fundamental bottom-up qualitative and quantitative research to derive a risk-adjusted discounted cash flow (DCF) valuation of companies in the target universe. The investment team will generally buy stocks from the pool of securities that are trading below Loftus Peaks' valuation and sell them when they are trading above Loftus Peak's valuation. The approach allows for both fundamental accounting information as well as market-oriented inputs to be factored into the portfolio construction process. Loftus Peak's model typically does not rely on leverage to deliver investment returns and specifically takes into account risk in the valuation process. Capital preservation can be managed by holding up to 50% cash. Index and currency options and futures may also be used to manage risk.
Manager Comments	The Loftus Peak Global Disruption Fund rose +7.77% in January, outperforming AFM's Global Equity Index by +3.13% and taking annualised performance since inception in November 2016 to +19.94% versus the Index's +12.93%. The Fund's up-capture and down-capture ratios since inception, +133% and +96.5% respectively, indicate that, on average, the Fund has outperformed in both rising and falling markets. Xilinx, a company which makes products used in data centres globally to speed up response time, was the largest contributor in January. Loftus Peak noted the company has positioned itself to benefit from the growth in data centre workload, autonomous vehicles and the upcoming 5G roll-out. Other top contributors included Alibaba and Amazon. Key detractors included Geely, Tesla and Qualcomm. The Australian dollar appreciated +3.57% over the month against the US dollar, negatively impacting the value of the Fund's US dollar holdings. As at 31 January 2019, the Fund carried a foreign currency exposure of 99%.
More Information	Fund Profile Manager's Report

Fund Review: Bennelong Long Short Equity Fund January 2019

13 Feb 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...

Performance Report: Cyan C3G Fund

11 Feb 2019 - Australian Fund Monitors

The Cyan C3G Fund returned +4% in January, outperforming the ASX200 Accumulation Index by +0.13% and taking annualised performance since inception in July 2014 to +18.50% versus the Index's +5.46%.

11 Feb 2019 - Performance Report: Cyan C3G Fund

By: Australian Fund Monitors

Report Date	January 2019
Manager	Cyan Investment Management
Fund Name	Cyan C3G Fund
Strategy	Equity Long
Latest Return Date	January 2019
Latest Return	4.00%
Latest 6 Months	-9.74%
Latest 12 Months	-9.92%
Latest 24 Months	17.88%
Annualised Since Inception	18.50%
Inception Date	24 July 2014
FUM (millions)	AU$34
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 +4% in January, outperforming the ASX200 Accumulation Index by +0.13% and taking annualised performance since inception in July 2014 to +18.50% versus the Index's +5.46%. The Fund's Sharpe and Sortino ratios for performance since inception of 1.42 and 2.77 respectively, by comparison with the Index's Sharpe of 0.37 and Sortino of 0.46, highlight the Fund's capacity to achieve superior risk-adjusted returns whilst avoiding the market's downside volatility. The Fund's up-capture and down-capture ratios since inception, +85.91% and -3.37%, indicate that, on average, the Fund has captured most of the market's upside in rising markets and achieved positive performance during the months the market was negative. After such a negative year in 2018, Cyan feel that markets are more conducive to rewarding measured investment philosophies and are thus more optimistic that the underlying fundamentals of companies are being considered in a more pragmatic light. The Cyan C3G Fund comprises 24 companies, with no individual position representing more than 6% of the total portfolio, and a cash holding of 40%. Positive contributors throughout January included Murray River Group (+58%), Afterpay Touch (+28%), Spicers (+21%) and Splitit (+175%). Key detractors included Freelancer (-18%), EVZ (-12%) and Acrow (-7%). Cyan noted that, with February reporting season upon us, they are confident that their investee companies will deliver a solid set of numbers and outlook statements, providing positive share-price catalysts.
More Information	Fund Profile Manager's Report

Performance Report: Wheelhouse Global Equities Income Fund

8 Feb 2019 - Australian Fund Monitors

The Wheelhouse Global Equity Income Fund returned +7.32% over CY18, outperforming AFM's Global Equity Index by +6.68%.

8 Feb 2019 - Performance Report: Wheelhouse Global Equities Income Fund

By: Australian Fund Monitors

Report Date	December 2018
Manager	Wheelhouse Investment Partners, a Bennelong boutique
Fund Name	Wheelhouse Global Equities Income Fund
Strategy	Equity Income
Latest Return Date	December 2018
Latest Return	-1.50%
Latest 6 Months	-0.25%
Latest 12 Months	7.32%
Latest 24 Months
Annualised Since Inception	5.38%
Inception Date	26 May 2017
FUM (millions)	AU$7.12
Fund Overview	The strategy of the Fund is based on the Morningstar Developed Markets ex Australia Wide Moat Focus Index ('Morningstar Portfolio'). However, in addition to this, it is designed to deliver returns with lower volatility, improved capital preservation, and higher income generation as a component of total return. To pursue this objective, the Investment Manager is responsible for actively managing, monitoring and tailoring the integration of derivative contracts alongside the Morningstar Portfolio, while taking into account changing market and stock specific conditions. The Investment Manager is responsible for maximising the structural benefits of short option positions (lowered Volatility, improved capital preservation, higher income generation), whilst mitigating, minimising and monitoring the structural negatives (variable market exposure, option expiries, collateral management and asymmetric return profiles). In addition, long derivatives positions are also used to enhance the capital preservation characteristics of the Fund in more extreme market movements. As a consequence of the integration of Derivatives, returns of the strategy, intra-cycle, are expected to vary from the underlying Morningstar Portfolio due to these characteristics. For example in weak markets, or in extended sideways markets, the Fund is expected to outperform relative to the Morningstar Portfolio. Conversely in strong positive markets the Fund is expected to underperform.
Manager Comments	The Wheelhouse Global Equity Income Fund returned +7.32% over CY18, outperforming AFM's Global Equity Index by +6.68%. This return was achieved with a volatility of 7.30% versus the Index's 9.53%. The Fund returned -1.50% in December, ahead of the benchmark's -3.66%. The return comprised a return of -5.15% from the portfolio (in USD) and a positive return of +3.65% from the strengthening of the Australian dollar versus the US dollar. Wheelhouse believe the change in market dynamics over the past 12 months reflects for the most part the change in investor perception of risk (from Fear of Missing Out to Fear of Losing Money), plus a recognition of greater uncertainty with regards to the global economic cycle. They noted that, as evidenced in 2018, they believe their approach of investing in quality global businesses, combined with enhanced income generation and active downside protection, leaves them well placed to deliver on their retiree-focused objectives.
More Information	Fund Profile Manager's Report

Performance Report: Bennelong Concentrated Australian Equities Fund

8 Feb 2019 - Australian Fund Monitors

The Bennelong Concentrated Australian Equities Fund has returned +15.76% p.a. since inception in February 2009. By contrast, the ASX200 Accumulation Index has returned +9.95% p.a. over the same period.

8 Feb 2019 - Performance Report: Bennelong Concentrated Australian Equities Fund

By: Australian Fund Monitors

Report Date	08 February 2019
Manager	Bennelong Australian Equity Partners (BAEP), a Bennelong boutique
Fund Name	Bennelong Concentrated Australian Equities Fund
Strategy	Equity Long
Latest Return Date	January 2019
Latest Return	2.93%
Latest 6 Months	-15.62%
Latest 12 Months	-4.78%
Latest 24 Months	19.70%
Annualised Since Inception	15.76%
Inception Date	30 January 2009
FUM (millions)	AU$742.06
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 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	The Bennelong Concentrated Australian Equities Fund has returned +15.76% p.a. since inception in February 2009. By contrast, the ASX200 Accumulation Index has returned +9.95% p.a. over the same period. The Fund's Sharpe and Sortino ratios for performance since inception, 0.94 and 1.45 respectively, by contrast with the Index's Sharpe of 0.62 and Sortino of 0.87, highlight the Fund's capacity to achieve superior risk-adjusted returns and whilst avoiding the market's downside volatility. 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. Detractors over the December quarter included Aristocrat Leisure, Flight Centre, Corporate Travel Management and BWX Limited. Positive contributors included Costa Group and BHP Billiton. As at December 2018, the Fund's portfolio positioning was as follows - heavy orientation towards growth, heavy weighting in lower risk and defensively positioned businesses, underweight stance to cyclicals (particularly domestic cyclicals), no banks in the portfolio highlighting the Fund's index-unaware approach, significant exposure to offshore earnings (CSL, Aristocrat Leisure and Reliance Worldwide), overweight the resources sector, biased away from large caps relative to the benchmark and minimal exposure to leveraged balance sheets. Bennelong noted the sell-off throughout the December quarter came about with a shift in investor sentiment to one of 'risk-off', thus resulting in REITs, utilities, gold stocks and big-cap defensives such as Woolworths holding up well as investors sought safety. Importantly, they noted, company fundamentals mattered little. Bennelong believe safety (and returns) ultimately derive from company fundamentals, which include one's competitive position, balance sheet strength, cash-flow generation and growth prospects. They believe the risk-off sentiment will tire and fundamentals will ultimately win out.
More Information	Fund Profile Manager's Report

Performance Report: 4D Global Infrastructure Fund

8 Feb 2019 - Australian Fund Monitors

The 4D Global Infrastructure Fund rose +1.54% in December, outperforming its benchmark (OECD G7 Inflation Index +5.5%) by +1.03% and taking annualised performance since inception in March 2016 to +9.45%.

8 Feb 2019 - Performance Report: 4D Global Infrastructure Fund

By: Australian Fund Monitors

Report Date	08 February 2019
Manager	4D Infrastructure, a Bennelong boutique
Fund Name	4D Global Infrastructure Fund
Strategy	Infrastructure
Latest Return Date	December 2018
Latest Return	1.54%
Latest 6 Months	0.22%
Latest 12 Months	0.50%
Latest 24 Months	22.64%
Annualised Since Inception	9.45%
Inception Date	07 March 2016
FUM (millions)	AU$30.42
Fund Overview	The 4D Global Infrastructure Fund aims to outperform the OECD G7 Inflation Index +5.5% p.a. over the long term by identifying quality listed global infrastructure securities, trading at or below fair value with sustainable, growing earning combined with sustainable, growing dividends. The fund will be managed as a single portfolio of listed global infrastructure securities including regulated utilities in gas, electricity and water, transport infrastructure such as airports, ports, road and rail as well as communication assets such as the towers and satellite sectors. The portfolio is intended to have exposure to both developed and emerging market opportunities, with country risk assessed internally before any investment is considered. The maximum absolute position of an individual stock is 7% of the fund.
Manager Comments	The 4D Global Infrastructure Fund rose +1.54% in December, outperforming its benchmark (OECD G7 Inflation Index +5.5%) by +1.03% and taking annualised performance since inception in March 2016 to +9.45%. The weaker AUD was a strong contributor to sector performance, falling 3.5% versus the USD. The strongest performer for December was Mexican airport operator GAP, up +13.1%, recovering from an oversold position in November. The weakest performer was US rail operator Norfolk Southern, down -11.2%, which was part of an overall weak end to the year for US equities as fears of a 2019 economic slowdown, coupled with concerns the Fed made a mistake in raising rates in December, weighed heavily on stocks. Despite the expectation of a slowing global macro environment, 4D believe it remains in positive territory and supportive of the Fund's overweight position in user pay assets which have a direct correlation to macro performance. However, ongoing geo-political concerns see the Fund maintain core exposure to quality defensive utilities.
More Information	Fund Profile Manager's Report

Performance Report: Quay Global Real Estate Fund

7 Feb 2019 - Australian Fund Monitors

The Quay Global Real Estate Fund has returned +7.6% over the past 12 months, outperforming its benchmark (FTSE/EPRA NAREIT Developed Index Net TR AUD) by +2.8%. Since inception in Jan 2016 the Fund has returned +6.49% per annum.

7 Feb 2019 - Performance Report: Quay Global Real Estate Fund

By: Australian Fund Monitors

Report Date	07 February 2019
Manager	Quay Global Investors
Fund Name	Quay Global Real Estate Fund
Strategy	Real Estate
Latest Return Date	December 2018
Latest Return	-2.28%
Latest 6 Months	-0.82%
Latest 12 Months	7.63%
Latest 24 Months	16.83%
Annualised Since Inception	6.49%
Inception Date	31 July 2014
FUM (millions)	AU$28
Fund Overview	Quay is a boutique investment management business established in 2013 with a focus on preserving and creating wealth for investors through investments in real estate securities. Quay uses a dual manager approach to the investment and portfolio management decision making process. This involves both Principals collaborating to determine significant portfolio investments and positions. The Fund will invest in a number of global listed real estate companies, groups or funds. The investment strategy is to make investments in real estate securities at a price that will deliver a real, after inflation, total return of 5% per annum (before costs and fees), inclusive of distributions over a longer-term period. The Investment Strategy is indifferent to the constraints of any index benchmarks and is relatively concentrated in its number of investments. The Fund is expected to own between 20 and 40 securities, and from time to time up to 20% of the portfolio maybe invested in cash. The Fund is $A un-hedged.
Manager Comments	The Quay Global Real Estate Fund has returned +7.6% over the past 12 months, outperforming its benchmark (FTSE/EPRA NAREIT Developed Index Net TR AUD) by +2.8%. Since inception in Jan 2016 the Fund has returned +6.49% per annum. Quay noted the Fund wasn't immune to the sell-off in December as the panic in equity markets became much more widespread. The Fund returned -2.3% after a +3.2% gain from currency movements. The best geographies during the month were Hong Kong and the UK, while the worst were the US and Canada. Top contributors included Hysan and Wharf REIC (both HK, Diversified), while Chartwell (Canada, Healthcare) and RLJ (US, Hotels/Lodging) detracted the most. Late in the month Quay deployed some of their cash holdings to take advantage of the general price weakness and added Shurgard Self-Storage (Belgium, Storage) to the portfolio. Shurgard is the largest owner of storage assets across Europe. Quay noted they like storage because of the defensive nature of the cashflows and the low levels of stay in business capex. Quay believe that over the long-term SHUR will benefit from increased levels of product awareness across its European platform and very low levels of supply where the provision of storage space per capita across Europe is a fraction of the levels in the US and Australia.
More Information	Fund Profile Manager's Report

Fund Monitors Pty Ltd

News

18 Feb 2019 - Performance Report: NWQ Fiduciary Fund

15 Feb 2019 - Performance Report: Glenmore Australian Equities Fund

15 Feb 2019 - Bennelong Twenty20 Australian Equities Fund January 2019

14 Feb 2019 - Performance Report: Loftus Peak Global Disruption Fund

13 Feb 2019 - Fund Review: Bennelong Long Short Equity Fund January 2019

11 Feb 2019 - Performance Report: Cyan C3G Fund

8 Feb 2019 - Performance Report: Wheelhouse Global Equities Income Fund

8 Feb 2019 - Performance Report: Bennelong Concentrated Australian Equities Fund

8 Feb 2019 - Performance Report: 4D Global Infrastructure Fund

7 Feb 2019 - Performance Report: Quay Global Real Estate Fund

Funds Found

Featured Fund