Portfolio Overview
The Fund started the new financial year with a positive performance of +4.00% net of fees for July 2019, outperforming the ASX 100 by +1.21%. The portfolio’s largest positive contributions for the month came from long positions in Treasury Wine Estates and Elders and a short position in AMP while largest detractors were a long position in Fortescue Metals Group and short positions in Lend Lease and Flight Centre. The Fund had 30 long positions and 21 short positions with largest exposure to medical devices & services and technology stocks. There was less exposure in the financial services and construction material stocks.
Portfolio Performance
Fund Strategy
Established in July 2016, the Australian Eagle Trust Long-Short Fund aims to achieve strong double digit returns by allowing clients to access Australian Eagle’s demonstrated historical strength in constructing Australian share portfolios applied to a long-short product. Modelling a combination of Australian Eagle’s actual long investment performance since 2005 in conjunction with a short selling discipline, suggests that this product can provide strong investment returns along with an alpha performance that is negatively correlated to the broader Australian equity market. Australian Eagle’s investment process seeks to deliver significant outperformance by identifying mispriced stocks with changing growth profiles and building concentrated portfolios of those stocks.
Australian Eagle Trust Long Short Fund – Net Monthly Returns
Sean Sequeira CFA
CIO
Australian Eagle Asset Management
Tel: (02) 8252 7563
sean.sequeira@austeagle.com
https://austeagle.com/