Warakirri launches global small-cap fund in international partnership
Warakirri Asset Management has partnered with US-based investment manager ClariVest Asset Management to give Australian investors access to the firm’s global small companies strategy.
Established in 1993, Warakirri is an Australia-based asset manager with more than $4 billion in funds under management (FUM), offering specialist solutions across multiple asset classes, including agriculture, cash and specialised US real estate, as well as passive and active currency solutions for Australian institutional investors.
ClariVest is a San Diego-based specialist global equities manager, focusing on identifying underappreciated growth opportunities and gaps between investor sentiment and improving fundamentals. Founded in 2006, the firm now has more than $9 billion in assets under management and advice.
Working in partnership, Warakirri has now launched the ClariVest Global Small Companies Fund on 31 July for Australian retail and wholesale investors. In conjunction with this, Warakirri will also provide ClariVest with a full suite of services, including operations, marketing, and distribution.
This is an actively managed and diversified portfolio of 80–160 global small companies.
“Warakirri’s support, together with ClariVest’s proven performance track record in global small-cap investing, provides a strong platform for the growth of the new fund,” the firms said in a joint statement.
Warakirri managing director, Jim McKay, said the partnership delivers a new offering for the firm’s clients, allowing them to access an asset class with higher growth potential with ease.
“ClariVest’s unique approach to investing has resulted in a portfolio that is diversified by country and sector, and has consistently delivered excess returns across market cycles, making this strategy a compelling addition to client portfolios.”
ClariVest founder and chief investment officer, David Vaughn, said: “We look forward to our new partnership with Warakirri. We believe there is a real opportunity for global small caps to offer meaningful upside given current valuations, and this is an exciting time to bring our strategy to a broader set of investors across Australia.
“Humans are wired to react inefficiently to change, and we believe we can consistently capitalise on this behavioural pattern in small-cap equities across the globe.”
AUTHOR
Shy-Ann Arkinstall
Recommended for you
Funds under management at Pinnacle Investment Management are approaching $180 billion, helped by a substantial jump in FUM from its overseas affiliates.
Global X has come out fighting in the race to the bottom for ETF fees with an Australian equity ETF offering fees of just 0.04 per cent per annum, less than half those of the $20 billion Vanguard Australian Shares Index ETF.
Betashares has expanded its equity range, launching its latest Australian equity ETF and reducing the management fee on its existing global dividend ETF.
With active ETFs becoming the latest choice as fund managers target the retail audience, their high fees may be a detractor as research finds investors are shunning those priced any higher than 50 bps.
