NEWS
Fund Review: Insync Global Capital Aware Fund January 2019
26 Feb 2019 - Australian Fund Monitors
Latest Fund Review on Insync Global Capital Aware Fund is now available. The Global Capital Aware Fund invests in a concentrated portfolio of 15-30 stocks, targeting exceptional, large cap global companies with a strong focus on dividend...
Read more...
26 Feb 2019 - Fund Review: Insync Global Capital Aware Fund January 2019
By: Australian Fund Monitors
AFM Fund Review - January 2019 (pdf format)
INSYNC GLOBAL CAPITAL AWARE FUND
Attached is our most recently updated Fund Review on the Insync Global Capital Aware Fund.
We would like to highlight the following:
- The Global Capital Aware Fund invests in a concentrated portfolio of 15-30 stocks, targeting exceptional, large cap global companies with a strong focus on dividend growth and downside protection.
- Portfolio selection is driven by a core strategy of investing in companies with sustainable growth in dividends, high returns on capital, positive free cash flows and strong balance sheets.
- Emphasis on limiting downside risk is through extensive company research, the ability to hold cash and long protective index put options.
For further details on the Fund, please do not hesitate to contact us.
AFM Fund Review - January 2019 (pdf format)
Performance Report: Wheelhouse Global Equities Income Fund
26 Feb 2019 - Australian Fund Monitors
The Wheelhouse Global Equity Income Fund returned +0.36% in January, taking 12-month performance to +7.15% and annualised performance since inception in May 2017 to +5.34%.
Read more...
26 Feb 2019 - Performance Report: Wheelhouse Global Equities Income Fund
By: Australian Fund Monitors
| Report Date | |
| Manager | |
| Fund Name | |
| Strategy | |
| Latest Return Date | |
| Latest Return | |
| Latest 6 Months | |
| Latest 12 Months | |
| Latest 24 Months | |
| Annualised Since Inception | |
| Inception Date | |
| FUM (millions) | |
| Fund Overview | 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 Fund's January return comprised +3.93% from the portfolio (in USD) and a negative return of -3.72% from the strengthening of the Australian dollar versus the US dollar. Top contributors included ServiceNow Inc, KLA Tencor, Canadian Pacific Railway, Union Pacific and Jones Lang LaSalle. Key detractors included Kao Corp, Amgen, Medtronic, Pfizer and Unilever. The Fund is designed to deliver equity returns with higher income generation and active downside protection. The strategy's high income generation and active tail risk program are designed to lower risk and deliver equity returns with a smoother, more retiree-friendly return profile. As a result, Wheelhouse intend for returns to add relative value in weak and low-growth markets and to drag in more positive markets. |
| More Information |
Performance Report: Spectrum Strategic Income Fund
25 Feb 2019 - Australian Fund Monitors
The Spectrum Strategic Income Fund rose +0.27% in January, taking 12-month performance to +3.35% and annualised performance since inception in June 2009 to +8.03%.
Read more...
25 Feb 2019 - Performance Report: Spectrum Strategic Income Fund
By: Australian Fund Monitors
| Report Date | |
| Manager | |
| Fund Name | |
| Strategy | |
| Latest Return Date | |
| Latest Return | |
| Latest 6 Months | |
| Latest 12 Months | |
| Latest 24 Months | |
| Annualised Since Inception | |
| Inception Date | |
| FUM (millions) | |
| Fund Overview | |
| Manager Comments | Spectrum noted they maintain minimal direct exposure to domestic residential property and maintain an underweight position in the lenders to the sector. They fear that unless home loan growth re-accelerates prices will fall far more than the 6% experienced nationally since late 2017. They say the parallels with other property corrections driven by slowing credit growth are a concern. They believe falling local government bond yields and low corporate default rates could spur a chase for returns. This, they say, may remain supportive of lower credit spreads (capital gains) as Japan experienced when government bond yields collapsed. Spectrum expect 2019 to be an interesting year for A$ corporate bond investors. |
| More Information |
Performance Report: Bennelong Twenty20 Australian Equities Fund
20 Feb 2019 - Australian Fund Monitors
The Bennelong Twenty20 Australian Equities Fund rose +2.67% in January, taking annualised performance since inception in November 2009 to +9.28% versus the ASX200 Accumulation Index's +7.14% per annum.
Read more...
20 Feb 2019 - Performance Report: Bennelong Twenty20 Australian Equities Fund
By: Australian Fund Monitors
| Report Date | |
| Manager | |
| Fund Name | |
| Strategy | |
| Latest Return Date | |
| Latest Return | |
| Latest 6 Months | |
| Latest 12 Months | |
| Latest 24 Months | |
| Annualised Since Inception | |
| Inception Date | |
| FUM (millions) | |
| Fund Overview | The Fund is managed as one portfolio but comprises and combines two separately managed exposures: 1. An investment in the top 20 stocks of the markets, which the Fund achieves by taking an indexed position in the S&P/ASX 20 Index; and 2. An investment in the stocks beyond the S&P/ASX 20 Index. This exposure is managed on an active basis using a fundamental core approach. The Fund may also invest in securities expected to be listed on the ASX, securities listed or expected to be listed on other exchanges where such securities relate to ASX-listed securities.Derivative instruments may be used to replicate underlying positions and hedge market and company specific risks. The companies within the portfolio are primarily selected from, but not limited to, the S&P/ASX 300 Accumulation Index. The Fund typically holds between 40-55 stocks and thus is considered to be highly concentrated. This means that investors should expect to see high short-term volatility. The Fund seeks to achieve growth over the long-term, therefore the minimum suggested investment timeframe is 5 years. |
| Manager Comments | As at the end of January, the Fund had increased its weightings in the Discretionary, REITs, Communication, Industrials, Energy and Materials sectors, and decreased in the Health Care and Financials sectors. The Fund's weighting in the Consumer Staples sector remained unchanged at 7.5% of the portfolio. The Fund combines a passive investment in the ASX20 and an actively managed investment in the ASX ex-20. The passive position is achieved by investing individually in each of the ASX20 stocks with approximately the same weightings they represent in the ASX300. Currently, this weighting is over 50%. The active position in ex-20 stocks aims to allow the Fund to outperform the broader market. |
| More Information |
Performance Report: Bennelong Kardinia Absolute Return Fund
19 Feb 2019 - Australian Fund Monitors
The Bennelong Kardinia Absolute Return Fund rose +1.66% in January, taking annualised performance since inception May 2006 to +9.15% with an annualised volatility of 7.14%.
Read more...
19 Feb 2019 - Performance Report: Bennelong Kardinia Absolute Return Fund
By: Australian Fund Monitors
| Report Date | |
| Manager | |
| Fund Name | |
| Strategy | |
| Latest Return Date | |
| Latest Return | |
| Latest 6 Months | |
| Latest 12 Months | |
| Latest 24 Months | |
| 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 January included Rio Tinto (+26 basis point contribution), A2 Milk (+21bp), Tabcorp (+19bp), CSL (+17bp), Evolution Mining (+16bp). Key detractors included Netwealth (-13bp), Northern Star (-11bp) and Qantas (-9bp). The individual short book dragged on performance (-27bp), with shorts in the waste management, IT and packaging sectors the key detractors. Net equity market exposure was increased from 30.4% to 40.2% (48.7% long and 8.4% short), with the key changes being increased weightings in Macquarie Group, Woodside Petroleum, A2 Milk, Tabcorp, Cleanaway and CSL, and a new position in Independence Group. |
| More Information |
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%.
Read more...
18 Feb 2019 - Performance Report: NWQ Fiduciary Fund
By: Australian Fund Monitors
| Report Date | |
| Manager | |
| Fund Name | |
| Strategy | |
| Latest Return Date | |
| Latest Return | |
| Latest 6 Months | |
| Latest 12 Months | |
| Latest 24 Months | |
| Annualised Since Inception | |
| Inception Date | |
| FUM (millions) | |
| Fund Overview | 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 | 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 |
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%.
Read more...
15 Feb 2019 - Performance Report: Glenmore Australian Equities Fund
By: Australian Fund Monitors
| Report Date | |
| Manager | |
| Fund Name | |
| Strategy | |
| Latest Return Date | |
| Latest Return | |
| Latest 6 Months | |
| Latest 12 Months | |
| Latest 24 Months | |
| Annualised Since Inception | |
| Inception Date | |
| FUM (millions) | |
| Fund Overview | 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 | 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 |
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.
Read more...
15 Feb 2019 - Bennelong Twenty20 Australian Equities Fund January 2019
By: Australian Fund Monitors
AFM Fund Review - January 2019 (pdf format)
BENNELONG TWENTY20 AUSTRALIAN EQUITIES FUND
Attached is our most recently updated Fund Review on the Bennelong Twenty20 Australian Equities Fund.
- The Bennelong Twenty20 Australian Equities Fund invests in ASX listed stocks, combining an indexed position in the Top 20 stocks with an actively managed portfolio of stocks outside the Top 20. Construction of the ex-top 20 portfolio is fundamental, bottom-up, core investment style, biased to quality stocks, with a structured risk management approach.
- Mark East, the Fund's Chief Investment Officer, and Keith Kwang, Director of Quantitative Research have over 50 years combined market experience. Bennelong Funds Management (BFM) provides the investment manager, Bennelong Australian Equity Partners (BAEP) with infrastructure, operational, compliance and distribution services.
For further details on the Fund, please do not hesitate to contact us.
AFM Fund Review - January 2019 (pdf format)
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%.
Read more...
14 Feb 2019 - Performance Report: Loftus Peak Global Disruption Fund
By: Australian Fund Monitors
| Report Date | |
| Manager | |
| Fund Name | |
| Strategy | |
| Latest Return Date | |
| Latest Return | |
| Latest 6 Months | |
| Latest 12 Months | |
| Latest 24 Months | |
| Annualised Since Inception | |
| Inception Date | |
| FUM (millions) | |
| Fund Overview | 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 | 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 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...
Read more...
13 Feb 2019 - Fund Review: Bennelong Long Short Equity Fund January 2019
By: Australian Fund Monitors
AFM Fund Review - January 2019 (pdf format)
BENNELONG LONG SHORT EQUITY FUND
Attached is our most recently updated Fund Review on the Bennelong Long Short Equity Fund.
- The Fund is a research driven, market and sector neutral, "pairs" trading strategy investing primarily in large-caps from the ASX/S&P100 Index, with over 16-years' track record and an annualised returns of 15.25%.
- The consistent returns across the investment history highlight the Fund's ability to provide positive returns in volatile and negative markets and significantly outperform the broader market. The Fund's Sharpe Ratio and Sortino Ratio are 0.91 and 1.47 respectively.
For further details on the Fund, please do not hesitate to contact us.
AFM Fund Review - January 2019 (pdf format)
