Perennial Value launches microcap trust
Perennial Value’s Smaller Companies team has launched a new investment trust aimed at excess returns from the growing microcap end of the market.
According to Perennial, the new trust, which was created in response to growing interest from investors, would offer exposure to a portfolio in sub $500 million companies.
Additionally, the new trust would invest in pre-IPO (Initial Public Offering) opportunities.
According to Perennial’s small cap portfolio manager, Andrew Smith, the microcaps universe was still largely under-researched which presented plenty of opportunities to add value.
“These investors want a proven, professional manager able to conduct detailed in-house research, as well as bring the capability to seize opportunities as they present themselves,” he said.
“We have significant experience in assessing IPOs and adding value via our selection process. In this trust we can take this one step further and invest in pre-IPO opportunities if we believe the investment case will appeal to the market.
“We can also provide strategic input given our experience in listed markets,” he said.
Perennial also said that its Perth-based small cap resources analyst, Sam Berridge would manage the resources component of the portfolio bringing his ‘hands-on’ approach.
The new trust planned to invest in a portfolio of up to 70 stocks with a market cap of less than $500 million at the time of purchase.
AUTHOR
Oksana Patron
Recommended for you
Franklin Templeton has announced it will close its Global Alpha Core Bond Fund, having changed two fixed income funds in its Brandywine range last week.
Investment solution provider Channel Capital has appointed James Archer as its latest distribution director, joining from Pinnacle Investment Management.
Bennelong Funds Management has signed a memorandum of understanding with US private credit manager Monroe Capital to distribute its products in Australia.
Global equity manager Talaria Capital has appointed a Sydney-based sales director as it grows its distribution presence across Australia.
