Key Benefits
- Truly microcap focus
- Significant co-investment by investment manager
- Fees only paid when your investment increases in value
- Zero base management fee
Key Benefits
| Distribution payment – Quarterly | Approximately 14 days after the end of each quarter |
|---|---|
| September 2020 Quarterly Investment Statement | 29 October 2020 |
Fund Details
For investors looking for access to under valued ASX-listed microcaps using Phoenix Portfolios’ ‘best ideas’ approach and aims to find hidden value in under-researched stocks.
| Objective |
The objective of the Fund, over rolling 5 year periods is to:
|
|---|---|
| Overview | The Fund holds a concentrated portfolio of ASX listed small cap securities (“microcaps”) that are selected using a value orientated ‘best ideas’ investment philosophy. |
| Investments | Investments are likely to be in small companies with the majority selected from outside the top 300 listed securities. |
| Benchmark | S&P/ASX Small Ords. |
| Date commenced | 23 December 2011 |
Investment Strategy
Microcaps typically have little analyst coverage as institutions are unable to deploy meaningful amounts of capital and therefore cannot justify investing in research. This means many companies outside the main ASX indices are under-researched and undiscovered. This can give rise to situations where companies trade well below our assessed value.
We seek to identify pricing discrepancies in these ‘under-researched’ stocks and blend together a portfolio of investments that offers the highest risk adjusted after-tax expected return. The Fund will typically hold between 15 and 40 investments. There is a cap on the Fund size to maximise performance potential.
Risk and Volatility
The heat map above shows the historic volatility of the Fund. CFM believes that it is important for investors to be aware of this to ensure their risk appetite isn’t compromised through their choice of investment. Past volatility is not an indication of future volatility.
Disclaimer: Capital growth and income distributions are not guaranteed and are subject to the assumptions and risks contained in the PDS. Past performance is not a reliable indicator of future performance.
Click here for an insight into how the Cromwell Phoenix Opportunities Fund investment management team views risk and volatility in microcap stocks:
Risk Disclosure
Any investment, including an investment in this Fund, is subject to risk. If a particular risk eventuates it may result in reduced distributions and/or a loss of some or all of the capital value of your investment. Examples of key risks include: manager risk, market risk and liquidity risk. See Section 4 of the Fund’s product disclosure statement dated 29 September 2017 (“PDS”).
Past performance is not indicative of future performance. Forward-looking statements in this webpage are provided as a general guide only. Capital growth, distributions and tax consequences cannot be guaranteed. Forward-looking statements and the performance of the Fund are subject to the risks and assumptions set out in the Fund’s PDS.
How to Apply?
The Fund is now closed to investment. Distribution reinvestment and redemptions from the Fund are still available.
If you have any questions regarding the Fund, please contact your financial adviser or Cromwell Investor Services directly on 1300 268 078 or email invest@cromwell.com.au.
