Global ex-US micro-cap fund launched in Australia

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

4 September 2018
| By Nicholas Grove |
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?...

1 month 4 weeks ago

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

2 months ago

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

4 months ago

Entireti has unveiled the new name for the AMP financial advice businesses that it acquired last year....

3 weeks 5 days ago

A Sydney financial adviser has been permanently banned from providing any financial services, with the regulator deriding his “lack of integrity, trustworthiness and prof...

2 weeks 4 days ago

Minister for Financial Services, Stephen Jones, has provided further information about the second tranche of the Delivering Better Financial Outcomes (DBFO) reforms....

1 week 3 days ago

TOP PERFORMING FUNDS