Munro puts cash to work in technology stocks

munro partners Munro Global Growth fund PayPal Atlassian Facebook technology stocks nick griffin ServiceNow FE Analytics

9 June 2020
| By Laura Dew |
image
image
expand image

There is a seismic shift taking place in technology which will be a benefit for the Munro Global Growth fund, although the outlook is “murkier” for what the new normal will look like after the pandemic. 

This shift was affecting holdings in the Munro Global Growth fund including payment provider PayPal, software firm Atlassian and social media giant Facebook, although only Facebook sat in the fund’s top 10 largest holdings at a 3.9% weighting. 

 Munro chief investment officer Nick Griffin said PayPal and Atlassian had been two of the fund’s biggest contributors to performance during May alongside renewable energy company Orsted, Alphabet and software firm ServiceNow. 

“We see a seismic shift occurring in the adoption of digital transformation at both enterprise and consumer levels. Consequently, we see an acceleration ahead for many of our investments.” 

In April, the fund had a 14% weighting to cash but this had since fallen to 6% in May and Griffin said the fund was fully invested and was protecting against the downside through hedging tools rather than holding cash.  

However, he was hesistant about what the world would like in the future as the world re-emerged from the pandemic. 

“The outlook is murkier due to a range of issues including a second COVID-19 wave, social unrest and increasing trade tensions.” 

The Munro Global Growth fund has returned 24% over one year to 29 May, according to FE Analytics, versus returns of 8.5% by the global sector.  

Performance of Munro Global Growth fund versus global sector over one year to 29 May, 2020 

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

Adnan

It is fascinating to see that this year - 2 funds (Mine Super & CFS FirstChoice Employer Super) which failed APRA Perfor...

1 day 9 hours ago
Mitch VB

Thanks for providing us even more work in educating clients on the growth/ defensive splits of all these "top" performer...

1 day 9 hours ago
JohnM

Why would you do that for? It would be a case of the same circus, different clowns....

1 day 15 hours ago

Insignia Financial has unveiled a new operating model and executive team, including a new head of advice, while three senior executives are set to depart the licensee....

1 week 1 day ago

The $280 billion Australian Retirement Trust is the first superannuation fund off the block to report its performance for the 2023-24 financial year....

2 weeks 4 days ago

ASIC has permanently banned a former Western Australia-based financial adviser after he falsified his adviser exam certificate....

1 week 4 days ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND