Platypus Asset Management’s Systematic Growth Fund has been added to Hub24’s investment menu. The low-cost systematic fund has returned 8.66% per annum since inception in November 2009, outperforming the S&P/ASX 300 Accumulation index over this time by more than 1% per annum after fees.
The fund uses a low-cost systematic approach that provides a factor tilt towards shares that exhibit high quality momentum. Instead of employing active stock selection, the fund uses strategic tilts to specific factors that drive the performance of the Australian equities.
These factors, selected by Platypus Asset Management, are based on research into the Australian sharemarket and are isolated in such a way that generates consistent value over time.
Peter Brooke, Head of Quantitative Investment at Platypus Asset Management said the fund’s objective is to exceed market returns over the long term while providing investors with generally lower volatility than the broader market.
He said the fund offers investors two distinct advantages. “First, the fund uses a uniquely Australian research based approach to investing in Australian equities, and, second, the low cost of the fund means that some investors are getting better value for money than either an index fund or a diversified active fund.”
Mr Brooke said that Platypus’ research implies that momentum is a key driver of the performance of the Australian sharemarket.
“The strategy considers local market nuances (like sector and stock specific concentration), which other funds based on global processes can sometimes ignore”, he said.
“The research on momentum shows that for Australian companies the stronger the past performance the more likely they are to deliver strong performance in the future”, he said.
“We’re pleased to offer our research based approach via HUB24’s award-winning platform”, he said.
The information in this release is general advice only and is not based on the objectives, financial situation, or needs of any particular investor. Australian Unity Funds Management Limited ABN 60 071 497 115, AFS Licence No. 234454 (AUFM) is the responsible entity for the Platypus Systematic Growth Fund (Fund). Platypus Asset Management Pty Limited ABN 33 118 016 087 AFS Licence No. 301294 (Platypus) is the investment manager. In deciding whether to acquire, hold or dispose of units in the Fund, investors should obtain a copy of the Product Disclosure Statement (PDS) and consider whether the product is appropriate to their circumstances. A copy of the relevant PDS is available at australianunity.com.au/wealth or by calling our Investor Services team on 1300 590 488. Prior to investing in any financial product, an investor should seek professional tax and legal advice. Past performance is not a reliable indicator of future performance.