Antipodes, the Australian investment management firm, has launched its second UCITS vehicle investing in global equities.
The Antipodes Global Fund – Long – UCITS, which was launched with US$55m of cornerstone assets, is the second sub-fund of the Pinnacle ICAV, a Dublin-based UCITS umbrella distributed by Pinnacle Investment Management – a leading Australian multi-boutique platform with over $24bn in AUM across its affiliate managers.
Antipodes Partners was founded in 2015 by Jacob Mitchell, former deputy CIO of Platinum Asset Management, together with a number of former colleagues and like-minded value investors.
The Antipodes Global Fund (Long) UCITS follows the same investment strategy, philosophy and process as the Antipodes Global Fund – UCITS, which was launched in 2017, but without the short equity exposure.
Antipodes Partners, which has run a dedicated long-only global equity strategy for Australian-based investors since the firm’s inception, manages $1.1bn in long-only global equities. Overall, Antipodes Partners runs more than US$5.2bn in global equities.
The Australian-based long-only global equity strategy has returned 47.9% net since inception in July 2015 to the end of February 2018 in US dollar terms, compared to benchmark performance of 28.7% for the MSCI AC World Net Index.
Antipodes Partners builds high conviction portfolios and focuses on capital preservation, with the aim to deliver consistent alpha at lower levels of risk than the overall market. Its investment process seeks to take advantage of the market’s tendency for irrational extrapolation in the identification of investments offering a high margin of safety.
The 17-strong Antipodes Partners investment team includes top sector specialists and a research team with expertise across multiple geographies and industries. The boutique last year opened a dedicated office in London, its first location outside of Australia, run by sector head Chris Connolly.
“At the core of our investment philosophy, we seek in our long investments both attractively priced businesses that offer margin of safety, as well as investment resilience characterised by multiple ways of winning,” Mitchell said.
“While the investment case will always be predicated on idiosyncratic stock factors such as competitive dynamics, product cycles, management and regulatory outcomes, we seek to amplify the investment case by taking advantage of style biases and macroeconomic risks and opportunities.”
The Antipodes Global Fund (Long) UCITS, a high conviction portfolio of around 30-60 major long holdings, offers a highly differentiated portfolio versus the index and peers – with more than 45% of assets allocated to Developed Asia and Developing Asia. The portfolio has a major underweight to the US, the dominant geographic weight in the benchmark.