Perennial’s trust added to BT, Macquarie Wrap
The Perennial Value Microcap Opportunities Trust has been added to the Macquarie Wrap platform, as well as to BT platforms, BT Panorama, BT Wrap and Asgard.
The Trust invests in a range of listed and unlisted companies comprised of small and microcap stocks, with a market capitalisation of less than $500 million while leveraging the experience of Perennial’s smaller companies team.
Perennial Value’s managing director, John Murray, said: “The cornerstone of the fund’s approach is a strong emphasis on company research and value.”
“The aim is to develop a detailed understanding of each company before committing investors’ funds and unearthing investment opportunities that are missed by the broader market.”
The trust would also provide the ability to invest in pre-IPO opportunities, another area in which retail investors were not well exposed, the company said.
Since its inception in February, 2017, the fund delivered a return of 44 per cent, net of fees, outperforming the S&P/ASX Small Ordinaries Accumulation Index by 21 per cent.
According to Perennial Value’s head of smaller companies and micro caps, Andrew Smith, every potential opportunity was assessed on its key qualitative and quantitative criteria, including “sound financial position (low debt), good management, demonstrable track record of profit or a clear path to this, as well as strong market position.”
“In Microcaps we are focused on companies with strong growth (measured by three year EPS growth) with a combination of an attractive valuation and a strong balance sheet (both are captured in the enterprise value to earnings measure),” he said.
“We constantly evaluate the market to ensure our portfolio provides the best combination of value and growth at any one time.”
The Perennial Value Microcap Opportunities Trust received a ‘recommended’ rating from both Lonsec and Zenith.
The trust was also available on Hub24, Netwealth (IDPS), Powerwrap and Mason Stevens platforms.
Recommended for you
There is one specific risk that is a significantly higher concern for financial services directors compared to companies overall and is impacting their risk appetite, according to the AICD.
Global fund managers are shunning bonds, with the asset class seeing the largest drop in allocations in more than 20 years.
Australian Ethical has seen its funds under management reach $10 billion, driven by organic customer growth and superannuation contributions.
Financial advisers will have access to private equity investments run by WTW for the first time as it launches a pooled fund to provide savers with access to traditionally institutional assets.
