| Report Date | |
| Manager | |
| Fund Name | |
| Strategy | |
| Latest Return Date | |
| Latest Return | |
| Latest 6 Months | |
| Latest 12 Months | |
| Latest 24 Months (pa) | |
| Annualised Since Inception | |
| Inception Date | |
| FUM (millions) | |
| Fund Overview | The manager follows a disciplined, process-driven, and thematic strategy focused on five core investment strategies: 1) Growth stocks that are really value stocks; 2) Traditional deep value; 3) The life sciences; 4) Miners and drillers expanding production into supply deficits; 5) Global special situations; The manager uses a macro overlay to manage exposure, hedging in three ways: 1) Direct shorts 2) Upside exposure to the VIX index 3) Index optionality |
| Manager Comments | The Frazis Fund rose +6.3% in February, outperforming the ASX200 Accumulation Index by +0.3% and the S&P500 Total Return Index by +3.1%. Frazis have reduced the risk profile of the fund considerably since the start of the year, cutting their long equity exposure to 82% and their short exposure to 17%. They believe this will allow them to increase their long-term investments by 50% incrementally (65% to 100%) during the next sell-off, and is about half the gross exposure they were running going into October 2018. Frazis noted this is defensive, however, they are highly optimistic about the individual opportunities in the current portfolio. Frazis exited Weibo and Alibaba during the month. The Fund's only Chinese stock at present is iQiyi, a Chinese online streaming platform which, by comparison with Netflix, is adding more subscribers in absolute numbers, is growing faster on a percentage basis and trades at half the sales multiple. Also on Frazis' radar are Afterpay's progress in the US, commodity players in the Australian mining sector and Carvana (read the latest report for Frazis' in-depth discussion of Carvana). Frazis have now taken the opportunity to reduce exposure whilst remaining invested in their highest conviction, long-term investments. They believe the portfolio is well placed to take advantage of any opportunities that arise over the coming months. |
| More Information |
