The Australian Eagle Trust Long-Short Fund returned +2.23% net of fees for the month of December 2018.
Calendar year 2018, the Fund has returned +3.32% compared to the ASX 100 return of -2.35%.
The portfolio’s largest positive contributions for the month came from a short position in IOOF Holdings and long positions in BHP Group and Resmed Inc while largest detractors were long positions in QBE Insurance Group, ANZ Bank and Macquarie Group. The Fund had 31 long positions and 21 short positions with largest exposure to medical devices & services and technology stocks. There was less exposure in the major banks and financial 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 Alleron’s demonstrated historical strength in constructing Australian share portfolios applied to a long-short product.
Modelling a combination of Alleron’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. Alleron’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
For wholesale clients only. Not to be relied on by any other person or seen as advice.
Sean Sequeira CFA
CIO
Alleron Investment Management
t: (02) 8252 7563
sean.sequeira@alleron.com.au