Fidelity launches global long short fund in Australia

fund launch fidelity global equities

27 October 2023
| By Laura Dew |
image
image
expand image

Fidelity has launched its latest global equities fund, the Fidelity Global Long Short Fund.

Managed by London-based portfolio manager Dmitry Solomakhin, the actively managed fund will adopt a long short strategy with around 45–55 long and 25–35 short positions, and is managed on an unconstrained and benchmark unaware basis.

The fund aims to achieve a return in excess of the MSCI All Country World Index NR (ACWI), after fees, over a minimum suggested time frame of seven years.

Fidelity said it will be suitable for use as a satellite allocation for those investors seeking capital growth with a high risk tolerance.

Fidelity managing director Lawrence Hanson said the launch of the fund in Australia comes as a response to growing client demand for an alternative to traditional global equities strategies.

“We have seen increased interest from clients who are looking to generate higher levels of returns, and who are comfortable taking on the risks and elevated volatility that comes with a strategy like the Fidelity Global Long Short Fund,” he remarked.

“We already offer a range of products and investment choices for Australian investors, and this fund expands the Fidelity offering in Australia, providing investors with further access to our global investment capability,” Hanson added.

Solomakhin said: “This fund will apply a contrarian value approach to investing and will seek out opportunities that differ from the prevailing market sentiment.

“This approach requires rigorous research and strong conviction in the face of opposing views. It’s driven by fundamental research that invests in out-of-favour securities which are significantly mispriced due to structural and/or cyclical concerns. Opportunity also lies in using short exposure to benefit from stock price falls.

“In the current climate of market stress, with investors contending with inflation, tightening monetary policy and growth headwinds, there is an abundance of fear. This environment creates a rich pool of contrarian investment opportunities.”

Read more about:

AUTHOR

Add new comment

The content of this field is kept private and will not be shown publicly.
 

Recommended for you

 

MARKET INSIGHTS

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

Chris Cornish

By having trustees supervise client directed payments from their pension funds, Stephen Jones and the federal Labor gove...

2 days 23 hours ago
Chris Cornish

Now we now the size of Stephen Jones' CSOLR tax, I doubt anyone will be employer any new financial adviser from this poi...

2 days 23 hours ago
JOHN GILLIES

Amazing ! Between the beginning of licencing Feb 2002 and 2008 this was a very good stable industry.Then the do-gooders...

3 days 18 hours ago

AustralianSuper and Australian Retirement Trust have posted the financial results for the 2022–23 financial year for their combined 5.3 million members....

10 months 2 weeks ago

A $34 billion fund has come out on top with a 13.3 per cent return in the last 12 months, beating out mega funds like Australian Retirement Trust and Aware Super. ...

10 months ago

The verdict in the class action case against AMP Financial Planning has been delivered in the Federal Court by Justice Moshinsky....

10 months 2 weeks ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND