Tribeca launches IPO for new LIC
Boutique fund manager, Tribeca Investment Partners, has opened its initial public offering (IPO) for a new listed investment company, Tribeca Global Natural Resources, which aimed to raise up to $250 million and deliver investors a compound annual return in excess of 15 per cent.
It would invest in the natural resources sector by taking advantage of its volatility and adopting a long/short strategy, investing along the value chain and through capital structures such as equities, commodities and credit.
However, the investments would focus around the natural resources value chain ranging from exploration and feasibility operations, mining projects, engineering and design businesses, transport and logistics, end-customers and services providers.
Tribeca said the investment strategy of the new company would be similar to one of its existing funds, the Global Natural Resources Fund, which delivered a cumulative net return of 233.75 per cent since inception at an average compound annual return of 57. 21 per cent after fees since it was established in October, 2015.
Additionally, the new LIC would initially focus on investments in North America, Europe and the Asia-Pacific, including Australia.
According to the company’s portfolio manager, Ben Cleary, the natural resources sector still offered opportunities to deliver absolute returns over the long term as the company was using its active and global strategy.
“Central to our investment thesis is that the cyclical nature of the demand in natural resources means investors must be active,” he said.
“The high degree of volatility in the natural resources sector means some assets will be mispriced, which creates investment opportunities for investors who have the research capability and deep industry knowledge.”
Tribeca proposed that the new company would list on the Australian Securities Exchange (ASX) under the code “TGF”.
AUTHOR
Oksana Patron
Recommended for you
Retailisation of private markets such as evergreen funds may seem like appealing options for wholesale and retail investors, but providers risk undermining trust if their products are unclear.
Ethical investment manager Australian Ethical has seen its funds under management rise by a third over FY25 to close out the year at $13.9 billion.
BlackRock Australia’s head of intermediary distribution James Waterworth has taken up a new distribution role at an alternative asset manager, while Antipodes has hired a distribution director.
BlackRock’s iShares ETFs have reported a record first half for inflows, gaining US$192 billion in the past six months, to see overall ETF assets under management rise to US$4.7 trillion as it launches its first active ETF in Australia.
