Loftus Peak Global Disruption Fund
31 March 2024
Key Facts
| Index Used: | All Countries World Index (AUD) | Discretionary/Quantitative: | Combination |
| Peer Group: | Equity Long - Large Cap - Global | FUM (millions): | AU$ 396.89m |
| Investment Style: | Value | Fund Inception Date: | November 2016 |
| Geographic Mandate: | Global | Latest Return Date: | March 2024 |
| Investor Type: | Retail | Status: | Open |
| Minimum Investment: | AU$ 5,000 | Investment Frequency: | Daily |
Manager Details
The Investment Management Team consists of Alex Pollak (CEO, CIO & Founder), Paul Davis (Research Director), Rick Steele (Director) and Anshu Sharma (Portfolio Manager). The team collectively has over 60 years of investment experience.
The Investment Management Team consists of Alex Pollak (CEO, CIO & Founder), Paul Davis (Research Director), Rick Steele (Director) and Anshu Sharma (Portfolio Manager). The team collectively has over 60 years of investment experience.
Strategy Description
The investment process involves a combination of top-down analysis with fundamental bottom-up qualitative and quantitative research to derive a risk-adjusted discounted cash flow (DCF) valuation of companies in the target universe. The investment team will generally buy stocks from the pool of securities that are trading below Loftus Peaks' valuation and sell them when they are trading above Loftus Peak's valuation. The approach allows for both fundamental accounting information as well as market-oriented inputs to be factored into the portfolio construction process. Loftus Peak's model typically does not rely on leverage to deliver investment returns and specifically takes into account risk in the valuation process.
Capital preservation can be managed by holding up to 50% cash. Index and currency options and futures may also be used to manage risk.
The investment process involves a combination of top-down analysis with fundamental bottom-up qualitative and quantitative research to derive a risk-adjusted discounted cash flow (DCF) valuation of companies in the target universe.
Fund Fees
| Management Fee: | 1.2% | Performance Fee: | 15% |
| Buy Spread: | 0.25% | Sell spread: | 0.25% |
| High Water Mark: | Yes | Hurdle: | MSCI All Countries World Index (net dividends reinvested) in AUD |
Fund Structure
| Offshore/Onshore: | Onshore | Fund Structure: | Unit Trust |
| Share Classes: | AU$ | Trustee/RE: | Equity Trustees Limited |
| Administrator: | Apex Fund Services | Prime Broker: | N/A |
| Custodian: | Apex Fund Services | Legal: | N/A |
Ratings & Availability
Research Ratings
Platform Availability
Performance Review
The Loftus Peak Global Disruption Fund has a track record of 9 years and 9 months and has outperformed the All Countries World (AUD) benchmark since inception in July 2014, providing investors with an annualised return of 19.83% compared with the benchmark's return of 12.53% over the same period.
The Manager has delivered these returns with 6.46% more volatility than the benchmark, contributing to a Sharpe ratio which has fallen below 1 three times over the past five years and which currently sits at 1.05 since inception. The fund has provided positive monthly returns 89% of the time in rising markets and 23% of the time during periods of market decline, contributing to an up-capture ratio since inception of 239% and a down-capture ratio of 109%.
The Loftus Peak Global Disruption Fund rose by +3.45% in March, an outperformance of +0.44% compared with the All Countries World (AUD) benchmark which rose by +3.01%. Over the past 12 months, the fund's best monthly return was +13.75% compared with the benchmark's best return of +5.32%, and its worst monthly return was -6.07% vs the benchmark's worst return over the same period of -3.27%.
| Year | Jan % | Feb % | Mar % | Apr % | May % | Jun % | Jul % | Aug % | Sep % | Oct % | Nov % | Dec % | YTD % |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2024 | 7.50 | 6.56 | 3.45 | NA | NA | NA | NA | NA | NA | NA | NA | NA | 18.50 |
| 2023 | 11.29 | 3.69 | 9.14 | -4.42 | 13.75 | 4.07 | 5.40 | -0.94 | -6.07 | -0.18 | 12.07 | 3.09 | 61.19 |
| 2022 | -6.36 | -5.73 | -3.19 | -9.17 | -0.43 | -6.86 | 9.89 | -3.27 | -6.66 | 2.10 | 5.64 | -11.27 | -31.66 |
| 2021 | 5.24 | -2.72 | -0.60 | 3.03 | -1.52 | 10.15 | 0.50 | 2.14 | -5.43 | 1.37 | 9.87 | -1.45 | 21.20 |
| 2020 | 5.98 | -1.05 | -2.63 | 7.00 | 3.05 | 2.65 | 4.64 | 5.21 | -0.24 | 4.68 | 4.87 | 0.80 | 40.46 |
| 2019 | 7.77 | 6.84 | 3.02 | 6.50 | -9.02 | 6.50 | 3.16 | -0.66 | -2.54 | 2.69 | 7.63 | 0.07 | 35.22 |
| 2018 | 5.32 | 1.31 | -3.55 | 0.72 | 5.70 | 2.03 | 1.10 | 7.26 | -0.44 | -8.00 | -2.50 | -5.49 | 2.29 |
| 2017 | 0.50 | 0.64 | 4.32 | 5.42 | 7.38 | -4.57 | 0.52 | 2.45 | 1.91 | 6.93 | 3.23 | -3.10 | 27.96 |
| 2016 | -7.22 | -0.01 | 0.33 | -1.85 | 9.42 | -4.84 | 4.46 | 4.40 | 3.40 | -2.80 | 3.88 | 1.96 | 10.44 |
| 2015 | 3.47 | 5.02 | 0.45 | -1.96 | 4.64 | -2.84 | 8.70 | -5.56 | -2.09 | 10.51 | 0.73 | -5.19 | 15.40 |
| 2014 | NA | NA | NA | NA | NA | NA | 1.67 | 3.84 | 4.95 | -0.41 | 4.84 | 0.59 | 16.38 |
Only seven years of data shown. Click here to view all data.
General Notes
Annual Returns
Over the past 12 months, the fund has risen by +51.66% compared with the benchmark which has returned +26.01%, for a difference of +25.65%. Since inception in July 2014, the fund has returned +19.83% per annum, a difference of +7.3% relative to the benchmark which has returned +12.53% on an annualised basis over the same period.
Cumulative Returns
On a cumulative basis (assuming reinvestment of distributions), $100 invested since inception would have become $583. The same amount invested in the benchmark over the same period would have become $316.
Annual Returns %
Volatility and Risk
Annual Standard Deviation
The fund's returns over the past 12 months have been achieved with a volatility of 19.87% vs the index's 9.57%. The annualised volatility of the fund's returns since inception in July 2014 is 17.31% vs the index's 10.85%. Over all other periods, the fund's returns have been more volatile than the benchmark.
Sharpe Ratio
The fund's Sharpe ratio has ranged from a high of 2.03 for performance over the most recent 12 months to a low of 0.69 over the latest 36 months, and is 1.05 for performance since inception. By contrast, the All Countries World (AUD) Index's Sharpe for performance since July 2014 is 1.
Annual Standard Deviation
Sharpe Ratio
Performance in Positive Markets
Since inception in July 2014 in the months where the market was positive, the fund has provided positive returns 89% of the time, contributing to an up-capture ratio for returns since inception of 238.54%. Over all other periods, the fund's up-capture ratio has ranged from a high of 211.88% over the most recent 24 months to a low of 184.13% over the latest 12 months. An up-capture ratio greater than 100% indicates that, on average, the fund has outperformed in the market's positive months.
Performance in Negative Markets
Since inception in July 2014 in the months where the market was negative, the fund has provided positive returns 23% of the time, contributing to a down-capture ratio for returns since inception of 109.34%. Over all other periods, the fund's down-capture ratio has ranged from a high of 169.68% over the most recent 24 months to a low of 114.48% over the latest 12 months.
Average Return in +ve Market %
Average Return in -ve Market %
Sortino Ratio
The fund's Sortino ratio (which excludes volatility in positive months) has ranged from a high of 4.75 for performance over the most recent 12 months to a low of 0.98 over the latest 36 months, and is 1.69 for performance since inception. By contrast, the All Countries World (AUD) Index's Sortino for performance since July 2014 is 1.59.
Drawdown
Over the past 12 months, the fund's largest drawdown was -7.12% vs the index's -6.22%, and since inception in July 2014 the fund's largest drawdown was -32.65% vs the index's maximum drawdown over the same period of -16.02%.
Sortino Ratio
Drawdown%
Quintile Ranking vs. Average Equity Long - Large Cap - Global as of March 2024
The performance of the Loftus Peak Global Disruption Fund ranked it in the first quintile for Total Return over all time periods, and in the first quintile for Sharpe and Sortino over 5 & 7 years. Over 3 years the fund ranked in the second quintile for Sharpe and Sortino, while it ranked in the first quintile for Sortino and second quintile for Sharpe over 1 year.
Over the past 12 months, the fund has risen by +51.66% compared with the peer group which has returned an average of +22.2%, for a difference of +29.46%.
The fund's returns over the past 12 months have been achieved with a volatility of 19.87% vs the peer group's average volatility of 9.57%. The annualised volatility of the fund's returns since inception in July 2014 is 17.31% vs the peer group's 11.57%. Over all other periods, the fund's returns have been more volatile than the peer group.