| 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 | Short holdings drove the positive absolute performance result, especially across the banking and insurance sectors, with the Index Futures positions also making strong contributions. The long portfolio generated a negative overall return, however, it performed notably better than the underlying market with positive returns from almost half of the Fund's holdings. Despite the modestly net long position at month-end (a result of portfolio rebalancing into market weakness), ARCO continue to be wary of increasing risks coming more to the fore in equity markets globally. As such, minimising investor drawdown remains front of mind in ARCO's stock selection and portfolio rebalancing activity with what ARCO expects will remain a volatile market. |
| More Information |
