Download Fund Update - Platypus Asset Management

Fund Update
30 April 2017
Platypus Systematic Growth Fund
Platypus Asset Management (Platypus) is a leading Australian equity investment manager. The Platypus Systematic Growth Fund‘s (Fund) objective is to
outperform the S&P/ASX 300 Accumulation Index (Benchmark) over an investment cycle with less downside risk over a three-year period.
Performance as at 30 April 2017
1 mth
%
3 mths
%
1 yr
%
3 yrs
% p.a.
5 yrs
% p.a.
7 yrs
% p.a.
Since inception1
p.a. %
Total Return
1.06
6.55
11.69
9.50
12.27
8.65
8.66
S&P/ASX 300 Accumulation Index
0.98
6.57
17.50
7.26
10.76
7.56
7.63
Active Return
0.08
-0.01
-5.81
2.24
1.50
1.09
1.04
Total Returns are calculated after fees and expenses and assume the reinvestment of distributions. Past performance is not a reliable indicator of future performance.
1
Inception date for performance calculations is 30 November 2009.
How the Australian equity market performed
The S&P/ASX 300 index returned +0.98% in the month. Geopolitical
developments in Europe took centre stage with round one of French
Presidential elections going the way the pundits had called. Prime Minister
May surprised the market somewhat by calling a snap election. Global
nervousness was heightened as the North Korean leader became
belligerent. Over in the US, bipartisanship saw a potential government
shutdown late in the month being averted without much drama, but it is an
issue that is sure to get more attention in September. As a result of all this
uncertainty, investors maintained their interest in precious metals with gold
remaining firm. On the other hand, the iron ore correction gained
momentum as prices tumbled to an intra-month low of US$60s/t from
US$80/t. Coal prices were well bid in the aftermath of Cyclone Debbie, but
the broader commodity complex was under pressure.
From a sector perspective, Industrials (+4.2%) and Information Technology
(+3.6%) led the market higher while Telecommunication Services (-9.5%)
and Consumer Staples (-2.6%) suffered large negative returns. TPG
Telecom’s entrance as the fourth player in the domestic mobile market
raised investor concerns regarding industry structure and future profitability
which affected the Telecommunication sector’s overall performance.
Consumers appear to be accepting the notion that sugar is the next
tobacco which has recently impacted Coca-Cola Amatil’s franchise. The
company issued warning contributed to the Consumer Staples sector’s poor
performance.
How the Fund performed
(Performance numbers in this section are returns relative to the Benchmark unless
otherwise stated.)
The Platypus Systematic portfolio increased by 1.06% during April,
outperforming the ASX/S&P300 Index by 0.08%. The top contributors to
performance were a nil position in Telstra (+0.36%) followed by a position in
Wesfarmers (+0.06%). Detractors included positions in Coca-Cola Amatil (0.10%) and CSL (-0.10%).
At the sector level, Telecommunication Services (+0.43%) contributed to
performance while Industrials (-0.23%) and Health Care (-0.10%) were the
main detractors.
Outlook
The first quarter 2017 data from the US has been weaker than expected
which has provided the bears a ‘told you so’ moment. There had been a
concern that ‘hard’ data would not follow the improved ‘soft’ data seen since
late last year after the US Presidential election. A softer US economy in first
quarter is not unusual and we think a bearish stance is not warranted
especially if one takes a 6 to 12 month view and considers the synchronous
improvement in the global economy and corporate earnings. In the shorter
term however, markets are trading at fuller multiples and now entering a
‘risk off’ season that may warrant some caution.
Commentary courtesy of Platypus Asset Management Pty Limited
ABN 33 118 016 087, AFS Licence No. 301294
Contact Details
Address
Website
Investor Services
Australian Unity Wealth
114 Albert Road
South Melbourne VIC 3205
australianunity.com.au/wealth
Email
[email protected]
T 13 29 39 F 03 8682 5057
Adviser Services
T 1800 649 033 F 03 8682 5057
Fund Update 30 April 2017
Page 2
Platypus Systematic Growth Fund
Asset allocation2
Asset class
Top 5 stocks
Portfolio average weight %
Company
Fund %
Australian Shares
99.24
Westpac Banking Corporation
8.32
Cash
0.76
Australia and New Zealand Banking Group
6.85
Total
Sector allocation3
100.00
National Australia Bank
6.55
Commonwealth Bank of Australia
5.27
Sector
Portfolio average weight %
BHP Billiton
5.16
Financials
42.19
Materials
18.06
Real Estate
8.98
Inception date
Consumer Staples
7.34
Fund size (net asset value)
$34.07m
Consumer discretionary
4.90
Minimum initial investment
$5,000
Health Care
4.58
Management Fees
Industrials
4.41
Energy
4.21
Utilities
2.43
Information technology
1.77
Telecommunication services
0.39
Cash
0.76
Fund snapshot
APIR Code
2, 3
Asset and Sector allocations are calculated on the average holdings of the
portfolio for the month.
4
AUS0036AU
24 November 2009
0.4124% p.a.
Estimated Recoverable Expenses
0.1045% of net asset value of
the Fund for each financial
year ending 30 June.
Performance Fee
15.375% of the excess
performance over the relevant
Index4
Buy/Sell spread
0.20%/0.20%
Distributions
Half yearly
Advice fee
Available
Refer to the PDS for more information about the Performance Fee.
Important information
Units in the Platypus Systematic Growth Fund are issued by Australian Unity Funds Management Limited ABN 60 071 497 115, AFS Licence No. 234454. The information in
this document is general information and it does not take into account the financial objectives, situation or needs of any particular investor. In deciding whether to acquire,
hold or dispose of this product you should refer to the current Product Disclosure Statement (PDS) and consider whether the product is appropriate for you. A copy of the
PDS is available at australianunity.com.au/wealth or by calling our Investor Services team on 13 29 39. Investment decisions should not be made upon the basis of its past
performance or distribution rate, or any ratings given by a rating agency, since each of these can vary. In addition, ratings need to be understood in the context of the full
report issued by the rating agency itself. The information provided in the document is current at the time of publication.