DNR Capital launches Aussie small-cap fund
Australian equities manager DNR Capital has moved into small caps with the launch of the DNR Capital Australian Emerging Companies Fund, which targets high-quality, longer-term opportunities.
Jamie Nicol, chief investment officer DNR Capital, said the new product was a “natural evolution” of the manager’s proven investment philosophy into the smaller companies sector.
“Consistent with DNR Capital’s long-standing investment process, this fund uses bottom-up stock selection focused on buying high-quality emerging Australian companies at attractive valuations,” he said.
The new fund is managed and led by portfolio manager, Sam Twidale, who DNR Capital said brings impressive international portfolio management experience to the team.
“Sam’s international investment experience, paired with the firm’s 17-year focus on domestic equites provides this strategy with a significant advantage when identifying globally competitive emerging companies for inclusion in an active, high-concentration portfolio of 20-45 stocks,” Nicol said.
“The strategy will also benefit from leveraging the firm’s well-established investment infrastructure.”
Twidale said the rational for investing in emerging companies has “never been clearer”.
“We are seeing a broad range of attractive investments across the smaller company sector, with the fund providing exposure to a number of niche opportunities and fast-growing emerging trends,” he said.
“This includes the impact of increasing IT spend and the transition to cloud-based computing. Quality domestic franchises are also expanding into larger global markets.”
Recommended for you
Grant Hackett has been promoted from CEO of Generation Life to head up the wider Generation Development Group.
Tribeca Investment Partners has made a distribution hire from Australian Ethical in a newly-created role focused on the national intermediary market.
Asset managers may be urged to diversify their product ranges, but investment executives have warned any M&A deal should avoid simply filling gaps and instead consider long-term value creation.
Specialist wealth platform provider Mason Stevens has become the latest target of an acquisition as it enters a binding agreement with a leading Sydney-based private equity firm.
