Strongly performing high conviction equities fund, the Prime Value Opportunities Fund, has been upgraded to “recommended” by ratings house Lonsec.
This follows a recommended rating from Zenith Investment Partners earlier this year.
The Prime Value Opportunities Fund is a concentrated investment vehicle, which can allocate 100% of the portfolio to cash in extreme market conditions. The Fund has returned 19.4% per annum for the year to 31 August 2018, and 13.7% per annum to investors since inception in October 2012.
On awarding the upgrade, Lonsec said: “The Fund has delivered strong outperformance in ‘down’ markets which highlights the Manager’s capital preservation bias.
“The Manager demonstrates strong alignment with underlying investors and there is significant co-investment in the funds from the investment team and the owners of the firm.”
Prime Value Opportunities Fund portfolio manager, ST Wong, said key to the Fund’s outperformance was its focus on minimising mistakes. “To use a sporting analogy, we start with defence first and build our offence from there.
“It’s a myth that returns are driven by picking big winners. Preserving capital and avoiding bad mistakes has a more powerful effect on long-term returns.”
Lonsec also said: “At the core of Prime Value’s philosophy is the aim to minimise mistakes, which Lonsec perceives as being particularly important given they are a high conviction manager.”
Boutique manager Prime Value Asset Management is part of an investment group including Shakespeare Property Group, managing more than $1.5 billion across equities, cash plus, direct property and agriculture investment.
Earlier this year when upgrading its rating, Zenith said the Fund has a unique and attractive investment approach, and a long-term track record of meeting investment objectives.
The Prime Value Opportunities Fund is currently available on platforms including BT Wrap, Hub24, Netwealth, Powerwrap, and Macquarie Wrap.
Source: https://www.adviservoice.com.au/2018/09/prime-value-opportunities-fund-upgraded-by-lonsec/