Given recent events I would like to update you on the performance and positioning of the fund. In February the fund was down 3.1% while in March the fund is down approximately 23% month to date. As an investor in the fund I share your concern.
22% of the fund is held in Australian dollar cash. We would note that the Australian dollar at 57 cents is at the low end of its 30-year trading range of 48cents in 2000 to $1.07 in 2011. As opportunities arise, we will deploy that capital.
46% of the fund is invested in healthcare stocks which have fallen along with the broader market. Smaller companies, where the company has significant exposure have suffered more than larger companies. It is clear that most companies will suffer some impact from Covid-19 related disruptions. The healthcare sector is not immune although it will be more resilient than others. Many of these companies are now trading at exceptionally low valuations.
Below I have provided a detailed look into some of the holdings in the portfolio and why we believe there is great potential for future upside from these holdings. [CLICK HERE]
||Axogen Inc||United States||Health Care|
||Bavarian Nordic||Denmark||Health Care|
||Lumentum||United States||Information Technology|
||Telix Pharmaceuticals Ltd||Australia||Health Care|
|1 Month||1 Year||2 Years P.A.||3 Years P.A.||SINCE INCEPTION P.A.2|
|VOLATILITY3||26%||NUMBER OF STOCKS||18|
|BETA (USING DAILY RETURNS)4||0.49||MAXIMUM DRAW DOWN||-20.1%|
The Pengana High Conviction Equities Fund (the Fund) invests globally in a concentrated portfolio of up to 20 stocks. The Fund can invest in both small and large cap stocks and is diversified across countries and sectors. We avoid investment in companies that are currently, in our opinion, unnecessarily harmful to people, animals or the environment.
|Alpha Israel Fund||International Fund||High Conviction Property Securities Fund||Australian Equities Fund|
|International Fund - Ethical||Global Small Companies Fund||WHEB Sustainable Impact Fund||Emerging Companies Fund|
|High Conviction Equities Fund||Australian Equities Income Fund||Pengana International Equities Limited (ASX: PIA)||International Fund - Ethical Opportunity|
|Private Equity Trust (ASX: PE1)|
1. 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.
2. Inception 11 December 2014.
3. Annualised standard deviation since inception.
4. Relative to the MSCI All Country World Total Return Index in AUD, calculated daily.
* For further information regarding fees please see the PDS available on our website.