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10k Words Equitable Investors June 2025 Apparently, Confucius did not say "One Picture is Worth Ten Thousand Words" after all. It was an advertisement in a 1920s trade journal for the use of images in ads on the sides of streetcars... Fund managers liking Europe over US; ASX defence thematic flying high; defence spend growth v AI capex; Australasian M&A flying but Aussie business conditions flagging as government spend drives economy; global M&A multiples; hedge funds back in favour; "Trump Always Chickens Out" (TACO) and the path of the effective US tariff rate. Fund managers' positioning v. history (net % overweight) 
Source: Bank of America Fund Manager Survey June 2025 Relative price action of ASX defence-exposed stocks & VanEck Global Defence ETF (DFND) 
Source: Equitable Investors, Koyfin Global defence spending 2020-2024 
Source: Franklin Templeton, International Institute of Strategic Studies Impact of higher defence spend on level of EU real GDP 
Source: European Commission Big Tech's capital expenditure driven by AI investment ($US billion) 
Source: Financial Times Australasia M&A in USD by quarter 
Source: WSJ, LSEG Australasia M&A in USD by sector 
Source: WSJ, LSEG NAB business survey show Aus business conditions declining 
Source: IFM, NAB
Median global buyout entry multiples (purchase price / EBITDA) 
Source: McKinsey, @MebFaber Hedge funds experience strongest quarter of net flows since 2021 
Source: with.intelligence "Trump Always Chickens Out" (TACO) stories on the Bloomberg terminal 
Source: Bloomberg The shifting effective tarrif rate on US imports (percentage points) 
Source: Apollo Global Management June 2025 Edition Funds operated by this manager: Equitable Investors Dragonfly Fund Disclaimer Past performance is not a reliable indicator of future performance. Fund returns are quoted net of all fees, expenses and accrued performance fees. Delivery of this report to a recipient should not be relied on as a representation that there has been no change since the preparation date in the affairs or financial condition of the Fund or the Trustee; or that the information contained in this report remains accurate or complete at any time after the preparation date. Equitable Investors Pty Ltd (EI) does not guarantee or make any representation or warranty as to the accuracy or completeness of the information in this report. To the extent permitted by law, EI disclaims all liability that may otherwise arise due to any information in this report being inaccurate or information being omitted. This report does not take into account the particular investment objectives, financial situation and needs of potential investors. Before making a decision to invest in the Fund the recipient should obtain professional advice. This report does not purport to contain all the information that the recipient may require to evaluate a possible investment in the Fund. The recipient should conduct their own independent analysis of the Fund and refer to the current Information Memorandum, which is available from EI. |
