Firetrail launches global equity fund
Firetrail Investments has launched a high conviction global equity fund investing in companies benefiting from positive sustainable change.
The fund aimed to uncover global companies going through positive change and those with earning upgrades or valuation re-rating potential. Over the medium to long-term, it aimed to outperform the MSCI Global index after fees.
Sectors the fund explored included carbon reduction, health and wellbeing and technology.
It was managed by Patrick Hodgens, James Miller and Justin Gray, who had worked together for 15 years, and had been seeded by the Firetrail business and staff.
Gray, co-portfolio manager, said: “We have identified a universe of stocks that are set to benefit from positive change across sectors including health and wellbeing, carbon reduction, innovation and technology. The fund targets investors wanting to invest sustainably while not sacrificing outperformance”.
Miller added: “The problem with traditional approaches to sustainable investing is they are backwards looking. Companies that have already been identified as high quality, sustainable leaders aren’t attractive investments as valuations can get too high. Overpaying for hyped-up business can lead to capital losses”.
Firetrail had $6.8 billion in funds under management.
AUTHOR
Laura Dew
Recommended for you
Infrastructure assets are well-positioned to hedge against global uncertainty and can enhance the diversification of traditional portfolios with their evergreen characteristics, an investment chief believes.
Volatility in US markets means currency is becoming a critical decision factor in Australian investors’ ETF selection this year.
Clime Investment Management is overhauling the selection process for its APLs, with managing director Michael Baragwanath describing the threat of a product failure affecting clients as “pure nightmare fuel”.
Global X will expand its ETF range of exchange-traded funds next month with a low-cost Australian equity product as it chases ambitions of becoming a top issuer of ETFs in Australia.
