| Report Date | 17 October 2018 |
| Manager | NWQ Capital Management Pty Ltd |
| Fund Name | NWQ Fiduciary Fund |
| Strategy | Multi Strategy |
| Latest Return Date | September 2018 |
| Latest Return | -0.46% |
| Latest 6 Months | 1.41% |
| Latest 12 Months | 9.97% |
| Latest 24 Months | 10.29% |
| Annualised Since Inception | 6.81% |
| Inception Date | 01 May 2013 |
| FUM (millions) | AU$82 |
| 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 has returned +9.97% over the past 12 months with a volatility of only 3.56%. Since inception in May 2013, the Fund has returned +6.81% per annum with an annualised volatility of 4.61%. By contrast, the ASX200 Accumulation Index has returned +8.09% p.a. since the Fund's inception with an annualised volatility of 10.79%. The Fund's Sharpe and Sortino ratios since inception, 1.04 and 1.94 respectively, by contrast with the Index's Sharpe of 0.60 and Sortino of 0.83, highlight the Fund's capacity to achieve superior risk-adjusted returns whilst also delivering superior downside protection. The Fund's down-capture ratio of -5.79% since inception emphasises the Fund's focus on avoiding the market's downside.
In September, the Fund returned -0.46%. NWQ noted increasing market volatility due to rising global interest rates, as well as increasing divergence in global growth rates, is likely to continue and present ongoing challenges to risk assets. Market and manager return dispersion remains high and the overall portfolio exposure to the market remains relatively low at approximately 12%. NWQ believe an equity market neutral portfolio that substantially eliminates the likely ongoing equity and bond market volatility should serve investors well over the coming months. |
| More Information |
|
