| 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 bias is likely to be net long under normal market conditions, with the core strategy being to construct a portfolio of listed equity securities priced at levels that do not adequately reflect their underlying value. The Fund will seek to boost returns and limit potential market downside by selective short selling of individual stocks which are priced at levels that are viewed as materially above their underlying value. The Fund will also use certain trading strategies both within its core portfolio (through rebalancing stock weights and overall market exposure in response to price movements) and in certain other situations (typically of a shorter-duration and/or opportunistic nature) with the objective of further increasing returns. *Formerly the Optimal Australia Absolute Trust |
| Manager Comments | Positive performers included Fairfax, CYBG, MQG, ORE, PLS, Link, Caltex and Woolworths. Having recently exited GXY and reduced their position in PLS, the Fund's exposure to the lithium sector is now below 7%. The Fund's short exposure to select banks and other financials were detractors. ARCO also noted portfolio hedging was a drag on returns, however, they continue to believe it is appropriate given current market conditions. The Fund's total market exposure moved to -3.7% by the end of the month. ARCO noted that, at current stock prices, they have become more defensive with the portfolio settings for investors as they seek to protect capital from the higher downside risk of the market. |
| More Information |
