Global ex-US micro-cap fund launched in Australia

brookvine/funds-management/IOOF/microcaps/international-equities/

4 September 2018
| By Nicholas Grove |
image
image image
expand image

US-based THB and Australia’s Brookvine have brought international micro-cap investing to local investors with the launch of the THB International (ex-USA) Micro Cap Fund.

The strategy seeks to provide access to the large and under-invested universe of international micro-cap stocks and invests in all major developed markets outside the US.

The new fund complements the THB US Micro Cap Fund, which boasts a 21.3 per cent per annum return (in US dollars) since inception in 2015 through to 31 July 2018.

Seeded by IOOF Investment Management with an initial investment of $40 million, the fund is now available to wholesale investors in Australia and New Zealand, Brookvine said.

IOOF’s deputy chief investment officer, Stanley Yeo, said IOOF Investments is a longstanding supporter of emerging opportunities that can produce out-sized returns and add to overall portfolio diversification.

“THB’s specialist management of this inefficient and under-invested segment of the non-US equity market expands our global equity opportunity set, with a view to contributing to long-term returns for the IOOF MultiMix International Shares Trust,” he said.

Brookvine CEO, Steven Hall, said he was excited by the expansion of the four-year partnership with THB, which had focused to date on US micro caps.

“Like its US counterpart, international (non-US) micro-cap stocks have favourable characteristics including a large universe of companies, little to no sell-side coverage, few investment managers with a credible track record or process, and a low correlation to global equities,” he said.

“We’ve received strong interest from forward-thinking investors who wish to diversify their equities exposure across markets and beyond large-cap stocks. Many investors also view micro caps as an alternative to private equity.”

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

5 months 1 week ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

5 months 1 week ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

7 months 2 weeks ago

The RBA has handed down its much-anticipated rate decision, following widespread expectations of a close call....

3 days 6 hours ago

The FSCP has issued a written direction to an adviser who charged clients “extraordinary fees” for inappropriate and conflicted advice, as well as encouraged them to swit...

2 weeks 4 days ago

ASIC has cancelled the AFSL of an advice firm associated with Shield and First Guardian collapses, and permanently banned its responsible manager. ...

4 weeks ago

TOP PERFORMING FUNDS

ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
2
DomaCom DFS Mortgage
95.46 3 y p.a(%)
5