Provides investors with access to an actively managed equities portfolio predominantly comprised of Australian Small Cap securities.
The company's portfolio is constructed in accordance with the manager's investment approach wh ich aspires to grow wealth by generating returns in excess of the benchmark and capital growth, over each full investment cycle (which the manager and company consider to be a period of typically 3 to 5 years) as well as income (through a dividend yield franked to the extent possible). The manager will seek to purchase securities:
- in entities with businesses where the manager is able to make a reasonable assessment of the present value of future free cash flows; and
- that are trading at a discount to the manager's assessment of fundamental value.
Risk controls are an important component of the investment strategy. The manager will give preference to securities it considers to have relatively low risk, for example, entities that are geared to a level that the manager considers appropriate given the nature of the relevant businesses and have free cash flow to support that relevant level of gearing.