| Report Date | 12 July 2010 |
| Manager | Regal Funds Management |
| Fund Name | Regal Tasman Market Neutral Fund |
| Strategy | Equity Market Neutral |
| Latest Return Date | June 2010 |
| Latest Return | 2.50% |
| Latest 6 Months | 6.67% |
| Latest 12 Months | 39.36% |
| Latest 24 Months | 23.57% |
| Annualised Since Inception | 22.00% |
| Inception Date | 03 May 2007 |
| FUM (millions) | AU$22 |
| Fund Overview | The Tasman Market Neutral Fund aims to maximise returns with only moderate risk and little correlation to equity markets. Investments are usually based on fundamental research and may be held for months or years. Hedging is usually achieved through single stock exposures. The fund aims to limit the volatility of returns to less than 15% pa and maintains a beta neutral portfolio. Risk limits (stock, sector, liquidity, systematic etc) are maintained to help achieve the volatility target. Most of the investments are in Australia but investments are also made in other countries on an opportunistic basis (mainly in Europe and no emerging markets). |
| Manager Comments | Profits on short positions helped Regal's Tasman Market Neutral Fund to achieve a +2.5% return in June. The biggest winners for the fund came from some cyclical shorts including Blue Scope Steel, Sims Metal, Worley Parsons, Brambles and Boral, as well as stocks with exposure to financial markets such as Macquarie Bank, Perpetual and AMP.
While long positions lost about 3% in total, some worked well with Mineral resources up 16%, Lihir Gold up 8%, and ICBC (Asia) up 10%.
Cyclical long positions including Citadel and Transfield had a negative impact as well as shorts in Telstra and St Barbara and some longs in the financial sector. |
| More Information | » View detailed profile of this fund |
