High Conviction Equities Fund

The High Conviction Equities Fund is a highly concentrated ethically screened portfolio of Australian and global companies.

Investment strategy

The High Conviction Equities Fund invests in a concentrated, ethically screened portfolio of not more than 20 Australian and global companies.

The Fund is managed using a ‘value’ style, based on fundamental analysis of individual companies.

Broad asset allocation ranges provide flexibility to respond to changing market conditions and opportunities. The Fund can hold up to 100% cash or a single stock could make up the majority of the portfolio. Foreign currency exposures may be hedged.

Benefits of investing

A high conviction Fund. The high conviction nature of the Fund means the portfolio is highly concentrated with typically no more than 20 stocks.

Ethical approach. The Fund uses ethical screens to exclude companies on the basis of environmental, social and governance factors.

Experienced team. The investment team of six have a combined 90 years of investment experience.

Flexibility. The Fund’s broad asset allocation ranges provide the flexibility to respond to changing markets.

  • Performance History
    Fund performance for High Conviction Equities Fund

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    Investment Period to
    Please select a minimum 60 day date range.
    Performance at June 2020
    1 MTH 1 YEAR 3 YEARS 5 YEARS Since Inception
    High Conviction Equities Fund - 6.23% 11.93% 23.07% 30.83%
    RBA Cash Rate plus 3% 0.28% 3.69% 4.21% 4.42% 4.51%
    Outperformance -3.22% 2.53% 7.72% 18.64% 26.33%
     
    High Conviction Equities Fund - 6.23% 11.93% 23.07% 30.83%
    MSCI World Total Return Index, Net Dividends Reinvested, in A$ - 4.82% 10.61% 9.27% 10.36%
    Outperformance -1.90% 1.40% 1.32% 13.80% 20.47%

    Net performance figures are shown after all fees and expenses, and assume reinvestment of distributions. Past performance is not a reliable indicator of future performance, the value of investments can go up and down.

    Fund inception date: December 2014.

  • Fund Facts
    Minimum investment:

    $25,000

    Recommended timeframe:

    7 or more years

    Inception date:

    11 December 2014

    Benchmark:

    RBA Cash Rate + 3%

    Management fee (incl GST):

    1.8%

    Performance fee:

    15.38% of any return greater than the RBA’s Cash Rate target +3%, payable half yearly

    Buy/sell spread:

    0.25%

    Entry/ exit fees:

    Nil

    Distribution frequency:

    Half yearly (June and December)

    Typical number of stocks:

    Typically less than 20

    APIR code:

    HHA0020AU

  • Unit Prices
    Unit Prices History Table
    Date Application Redemption Distributions
    30 Jul 2020 2.2579 2.2467 -
    29 Jul 2020 2.2574 2.2462 -
    28 Jul 2020 2.2578 2.2465 -
    27 Jul 2020 2.2949 2.2835 -
    24 Jul 2020 2.2567 2.2454 -
    23 Jul 2020 2.2703 2.2590 -
    22 Jul 2020 2.2614 2.2501 -
    21 Jul 2020 2.2722 2.2609 -
    20 Jul 2020 2.2848 2.2734 -
    17 Jul 2020 2.2664 2.2551 -
    16 Jul 2020 2.2525 2.2413 -
    15 Jul 2020 2.2669 2.2556 -
    14 Jul 2020 2.2112 2.2002 -
    13 Jul 2020 2.2228 2.2117 -

    Download Unit Prices

    Where a distribution is shown, the price for that date is prior to the payment of the distribution.  The following day's price will exclude that distribution payment amount.

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    Where a distribution is shown, the price for that date is prior to the payment of the distribution.  The following day's price will exclude that distribution payment amount.

  • Investment Team
    James McDonald
    James McDonald

    Portfolio Manager

    Read full profile

  • Investor Notifications

    15 July 2020

    Website notification regarding change to Investment Objective and updated Ethical Investment Policy for Pengana High Conviction Equities Fund (ARSN 602 546 332 APIR HHA0020AU) (“Fund”)

     

    CHANGE TO INVESTMENT OBJECTIVE FOR THE FUND

    The Fund’s previous investment objective was is to deliver returns that exceed the RBA Cash Rate target +3%.  We have now included an additional objective that the Fund outperform the MSCI World Total Return Index (net, AUD) over the long term.  Therefore, the Fund’s current investment objective is to deliver returns that exceed the RBA Cash Rate target +3% and to outperform the MSCI World Total Return Index (net, AUD) over the long term.

     

    UPDATED ETHICAL INVESTMENT POLICY FOR THE FUND

    We have updated the Fund’s Ethical Investment Policy to read as follows:

    Pengana is committed to responsible investing for the Fund and seeks to avoid investing in businesses that are, in its opinion, currently involved in activities that are unnecessarily harmful to people, animals or the environment.  These activities include:

    • Alcohol
    • Adult content
    • Animal cruelty
    • Fossil fuels (coal, coal seam gas, oil)
    • Gambling
    • Genetically modified organisms (GMO)
    • Human rights abuses and exploitation
    • Nuclear
    • Old growth forest logging
    • Securities from issuers on UN sanctions list
    • Tobacco
    • Weapons

     

    The Fund utilises a negative screening process which seeks to avoid investment in companies that derive operating revenues from direct and material business involvement in these sectors.

    Consideration of environmental, social and governance issues raised by prospective and existing investments are investigated within the investment research process.

    Labour standards are considered but not systematically taken into account in the selection, retention or realisation of investments. 

    Complaints resolution process for retail clients who invest through Platforms Download
    Attribution Managed Investment Trust regime changes - 4 December 2017 Download
    Notification to investors regarding the proposed change of responsible entity from Pengana Investment Management Limited to Pengana Capital Limited (both part of the Pengana Capital Group) Download
    Website notice regarding change of Responsible Entity Download
  • Reports and Resources

    High Conviction Equities Fund

     

  • Ratings and Awards
    Ratings

    This report may only be accessed by holders of Australian Financial Services Licences and their authorised representatives.

    Please contact Pengana for further information on ratings for this Fund.

    Awards

    The Pengana High Conviction Equities Fund has been certified by RIAA according to the strict operational and disclosure practices required under the Responsible Investment Certification Program. See www.responsibleinvestment.org for details.*


    *The Responsible Investment Certification Program does not constitute financial product advice. Neither the Certification Symbol nor RIAA recommends to any person that any financial product is a suitable investment or that returns are guaranteed. Appropriate professional advice should be sought prior to making an investment decision. RIAA does not hold an Australian Financial Services Licence.