Montgomery Investment Management has partnered with Australian Eagle Asset Management to apply the source of its compelling 19-year track record to Montgomery’s domestic large cap equity portfolios.
Australian Eagle Asset Management (Australian Eagle) opened in Sydney in 2004 and specialises in Australian equities. The firm is owned and operated by its team and manages about $1.1 billion through two strategies: a domestic long-only strategy including Montgomery funds and the Australian Eagle Trust Long-Short Fund.
Our partnership with Australian Eagle commenced 12 September 2022 and is led by Chief Investment Officer Sean Sequeira and Senior Portfolio Manager Alan Kwan. Sean has more than 32 years' industry experience and has worked with the firm for 19 years. Alan has been with Australian Eagle for 13 years. They are part of a six-person team.
Sean and Alan have been integral to Australian Eagle’s long track record of achieving above-benchmark returns with Australian large cap equities. The firm’s long-only strategy, launched in 2005, has delivered consistent outperformance over the benchmark (the S&P ASX-100 Accumulation Index) before expenses since inception.
Figure 1: Australian Eagle Asset Management long-only equity strategy performance since inception (7 February 2005 to 31 March 2024)
|
|
1 year |
3 years |
5 years |
7 years |
10 years |
Inception pa. |
|
Portfolio |
13.68% |
12.22% |
13.64% |
14.12% |
13.32% |
11.97% |
|
Benchmark |
14.46% |
10.32% |
9.64% |
8.85% |
8.48% |
8.16% |
|
Out/(under) performance |
-0.78% |
1.90% |
4.00% |
5.27% |
4.84% |
3.81% |
Disclaimer: Australian Eagle Asset Management returns are before fees and tax. The strategy has not been available in a unit trust before, only via mandates from institutional investors and Separately Managed Accounts, therefore the returns are provided gross of fees and expenses. Past performance is not an indicator of future performance.
The Australian Eagle Trust Long-Short Fund has also delivered exceptional performance since its launch in 2016. The fund was awarded Australia’s best hedge fund in 2019 at the Hedge Funds Rock and Australian Alternative Investment Awards.
With a focus on building concentrated portfolios, Australian Eagle’s investment process seeks to outperform by identifying mispriced stocks with a margin of safety and potential catalysts that can close the price-to-value gap.
The Australian Eagle team takes a quality-and-valuation-focused approach to investing that closely aligns with Montgomery’s investment philosophy.
Sean, Alan and their team construct high-conviction, concentrated portfolios of 25 to 35 stocks on an index-agnostic basis. They seek to deliver significant outperformance by identifying mispriced, high-quality companies with a value overlay. They also look for hard evidence of catalysts that will close the price-to-value gap.
Australian Eagle maintains coverage of approximately 140 companies, with a core set of 40 stocks. They also maintain a database of more than 4,900 research papers on ASX top-100 and select ex-100 companies, compiled continuously since 2005.
Learn more about Montgomery’s partnership with Australian Eagle Asset Management:
IMPORTANT INFORMATION
This content has been prepared for information only, is not intended to be investment advice and does not take into account the financial objectives, financial situation or needs of any investor.
The trustee and issuer of units in The Montgomery [Private] Fund is Fundhost Limited (ABN 69 092 517 087, AFSL No. 233045) (Fundhost). The Information Memorandum (IM) contains all details of the offer. Units are available to wholesale clients only.
Fundhost is the responsible entity and issuer of units in The Montgomery Fund (ARSN 159 364 155) . The Product Disclosure Statement (PDS) contains all of the details of the offer. Before making an investment decision, investors should obtain a copy of and read the PDS.
Copies of the IM for The Montgomery [Private] Fund, the PDS and Target Market Definition (TMD) for The Montgomery Fund are available from Montgomery Pty. Ltd. (ABN 73 139 161 701, AFSL No. 354564) (Montgomery) by calling (02) 8046 5000 or online at www.montinvest.com and at https://fundhost.com.au/
Montgomery is the investment manager of The Montgomery [Private] Fund and The Montgomery Fund and will appoint Australian Eagle Asset Management Pty Limited (ABN 89 629 484 840, Authorised Rep No. 001269301) (Australian Eagle) as a sub-investment manager to assist with the management of those funds’ assets.
Australian Eagle is an authorised representative of both Montgomery and Alleron Investment Management Pty Limited (ABN 71 109 874 160, AFSL No. 278856) (Alleron).
Montgomery (and not Alleron) is responsible, and Alleron accepts no liability for, all financial services that Australian Eagle provides with respect to the funds managed by Montgomery, including this content. Montgomery takes no responsibility, and will not be liable to any person, for financial services that Australian Eagle provides as authorised representative of Alleron.
The Trust Company (RE Services) Limited (ABN 45 003 278 831 No. AFSL 235150), part of Perpetual Limited, is the responsible entity and issuer of units in the Australian Eagle Trust (ARSN 632 568 846) and the Australian Eagle Equity Fund (ARSN 652 847 839). Australian Eagle is the investment manager of these funds and provides these services as authorised representative of Alleron.