Antipodes Global Fund

The Antipodes Global Fund is a high conviction, directional long/short equity strategy that takes a pragmatic approach to value investing, in that, they believe future returns are a function of the starting valuation/margin of safety and the resilience of the economic performance of the business (degree and durability of the competitive advantage). This philosophy has historically led to positions not seen in traditional value funds, e.g. Siemens, Microsoft, Facebook. Investment teams in Sydney and London undertake fundamental bottom-up research at both the industry and stock level, combined with propriety quantitative tools that analyses on an ongoing basis global equities with a minimum market cap of $5bn. Core characteristics the team look for is a margin of safety, where the intrinsic investment value is materially different to the market valuation, and ‘multiple ways of winning’, where the investment has multiple factors that contribute to an expected outcome. The assessment of ESG factors is a key step in the investment process and in each possible investment the team look for acceptable standards of corporate behaviour and disclosure, and a pathway to continual, sustainable improvement. Resultingly, the fund falls into the Article 8 category. The portfolio construction process takes a 'clustering' approach, where stocks with similar characteristics are grouped together, helping to provide a better awareness and control of style and macro risks. There is typically a minimum of 8 alpha clusters in the book, with no group allocated more than 15% of capital. The long book is typically around 90% of NAV and the short book 30%, leading a net that varies between 50-70%.