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Managed Fund

abrdn Australian Small Companies Fund

abrdn

To outperform the benchmark, the S&P/ASX Small Ordinaries Accumulation Index, after fees, over rolling three year periods, by investing mainly in Australian (primarily outside the S&P/ASX 100 Accumulation Index) and New Zealand securities

investment horizon
5+ years
minimum investment
$20K
growth since inception
10.33%p.a. (15+ years)
management fee
1.26%p.a.
Actual Performance Fee
No Performance Fee
apir: CSA0131AU
updated 1st Jan, 25
information
name
abrdn Australian Small Companies Fund
asset class
Australian Shares
currency
AUD
minimum investment
$20K
investment horizon
5+ years
geographical focus
Australia
apir
CSA0131AU
isin
AU60CSA01318
size
$163.24M(30/12/2024)
legal structure
Unit Trust
domicile
Australia
inception date
1 May 2009(15+ years)
type
Managed Fund
performance
1 Month
3.69%
1 Year
21.23%

abrdn Australian Small Companies Fund

Trailing month end returns as of 01 Jan 2025

Performance after fees, including distributions or dividends paid

periodreturn
1 Month3.69%
3 Months11.25%
6 Months15.07%
1 Year21.23%
2 Yearsp.a.10.20%
3 Yearsp.a.1.54%
5 Yearsp.a.5.57%
10 Yearsp.a.8.55%
Since Inceptionp.a.May 2009 (15+ years)10.33%

Past performance is not a guarantee of future results.

Performance data has been provided by Morningstar.

fees & pricing
total cost ratio?
1.26%p.a.(30/06/2024)
management fee?
1.26%p.a.
Performance Fee
No Performance Fee
Pricing
buy/sell spread?
0.30%/0.30%(11/10/2023)
entry price?
$3.48(30/12/2024)
nav?
N/A
exit price?
$3.46(30/12/2024)

Fee data has been provided by Morningstar, it may not include all costs being charged on your investment. For a full overview of fees charged you should review the  Product Disclosure Statement.

Manager Q&AIntroducing, LW's exclusive Q&A with the manager
Michelle  Lopez
Michelle LopezHead of Australasian Equities and Portfolio Manager
+investment philosophyWhat is your investment philosophy?
As active equity investors, we believe that deep fundamental research, responsible stewardship with ESG, and a disciplined inv…
As active equity investors, we believe that deep fundamental research, responsible stewardship with ESG, and a disciplined investment process is the best approach to meet our client’s investment needs. This Fund's style is best characterised as "GARP" (Growth At a Reasonable Price) Our approach is underpinned by three core investment beliefs. • Fundamental research delivers insights that can be used to exploit market inefficiencies. • ESG assessment and corporate engagement enhance returns. • Active investment in high quality companies can deliver superior outcomes for our clients. The market often systematically underestimates the sustainability of returns from high quality companies. We focus on companies that our research analysts identify as high quality, and tend to hold them for the long term. Our quality assessment focuses on five key factors; namely the durability of the business model & moat, the attractiveness of the industry, the strength of financials, the capability of management, and our assessment of the company's ESG credentials.
+portfolio construction & objectiveHow do you construct the portfolio and what is the objective?
The universe for initial investment includes all listed securities on the Australian Stock Exchange (ex S&P/ASX 100 Index) an…
The universe for initial investment includes all listed securities on the Australian Stock Exchange (ex S&P/ASX 100 Index) and New Zealand (NZX) listed securities. The maximum allocation to NZX listed securities is 15% of the Fund’s net asset value. The Fund currently holds 44 stocks as of 31 May 2020. Our average holding period is 3-5 years and in many instances, much longer. We aim to be fully invested. Cash is normally below 5% of the portfolio and typically averages 3%. The Fund aims to outperform the S&P/ASX Small Ordinaries Accumulation Index, after fees, over rolling three year periods, by investing mainly in Australian (primarily outside the S&P/ASX 100 Accumulation Index) and New Zealand securities.
+investment processPlease describe your investment process?
We utilise a bottom-up, fundamental stock-picking approach, investing in high quality companies where we believe the long ter…
We utilise a bottom-up, fundamental stock-picking approach, investing in high quality companies where we believe the long term potential for compounding returns is being under-appreciated by the market. Sector allocations and factor risks are a residual of our bottom up stock selection decisions, appropriate risk controls as oversight. What's unique about our process: - True focus on long term quality: a consistent and disciplined application of a distinctive investment philosophy ensures outcomes are repeatable. - A global network: with over 150 equity analysts/PMs and one common research platform. Harnesses our scale to develop company-specific information advantage - ESG is embedded in our DNA: we take a bottom up and top down approach Research coverage is organised on a sector basis, with analysts developing deep expertise which enables them to identify investment opportunities through fundamental knowledge at both the sector and stock level. We also use quantitative screening tools and risk tools to help us identify interesting stock opportunities and the most appropriate coverage universe. We utilise a stock research template (fully embedding ESG into stock analysis) in order to structure our research and allow us to consistently and efficiently articulate our company/stock insights and conclusions. We have developed a proprietary research platform used by all our equity, credit and ESG teams, giving instant access to our research globally. Portfolios are built from the bottom up, prioritising high conviction stock ideas in a risk aware framework, giving clients access to our best investment ideas. Peer review is an essential component of the construction process, debating stock holdings, portfolio structure and risk profiles. Research meetings are undertaken weekly, and portfolio construction meetings fortnightly, chaired by Michelle Lopez. We sell a stock if it has come to reflect all the upside we expect and now prices in our view of the fundamentals; if our investment thesis has played out or is proved wrong; or if we find more interesting opportunities elsewhere. Continuous coverage and monitoring of both the company fundamentals and price action allow us to review any stock’s position in the portfolio.
+riskWhat are the key risks and how do you manage them?
The main risk is of corporate failure leading to share price collapse. This could result from any number of circumstances, eg, ov…
The main risk is of corporate failure leading to share price collapse. This could result from any number of circumstances, eg, over-expansion, poor cashflow management, outright fraud or unforeseen sector malaise. We believe these risks can be dispersed , by diversification across market and sector, as well as, of course, by understanding the companies in which we invest. Our primary risk control is at the stock level with our rigorous company research process helping us to avoid stock specific errors. However we do also pay close attention to portfolio level risks and we have access to a number of ondesk quantitative risk tools. This ensures that we are fully aware of and comfortable with the risk positions that result from our bottom-up stock picking. Our strong risk management has resulted in superior outperformance especially during down markets, with a downside capture of 60% since inception (end May 20).
+feesWhat fees do you charge?
Management fee: 1.26% pa Indirect costs: 0.00% pa No performance fees arrangement for the fund. We use the S&P/ASX Sma…
Management fee: 1.26% pa Indirect costs: 0.00% pa No performance fees arrangement for the fund. We use the S&P/ASX Small Ordinaries Accumulation Index because of its wide universe and also its recognition in the marketplace.
+team & alignmentWho’s on the team and how are they incentivised?
The six people directly involved in the day-to-day management of the fund are Michelle Lopez (Head of Australian Equities), N…
The six people directly involved in the day-to-day management of the fund are Michelle Lopez (Head of Australian Equities), Natalie Tam, Camille Simeon, Phillip Li, Shawn Lee, and Sean Drennan. We have implemented a clear performance measurement framework to help drive consistency and transparency across the equity division and also clearly link individual’s performance and contribution to the success of their relevant strategies, desk and key stakeholders. The framework covers four key areas: • Investment excellence: Stock recommendations and Fund performance • Collaboration • Client engagement • Commerciality The framework is heavily skewed to investment excellence and team collaboration for the majority of investment personnel, which reinforces our organisational structure and objective of generating alpha and delivering positive outcomes for our clients and stakeholders. Annual remuneration over a set threshold includes a significant deferral into shares of our parent company or into internally-run funds in order to align our portfolio managers with the objectives of their clients and the organisation.
updated 25th Nov, 20
updates

update report

abrdn Australian Small Companies Fund Latest Update

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Livewire gives readers access to content provided by financial services professionals and companies ("Livewire Contributors”). Fund data is provided by Morningstar for personal use only. While every care has been taken in producing these numbers, neither Livewire nor Morningstar can guarantee the complete accuracy of these figures. Should you decide to invest, please read the relevant disclosure documents and consider speaking to a professional. A tax event may be realised when switching investments. Past performance is not a reliable indicator of future performance. Livewire does not operate under an Australian Financial Services Licence (AFSL) and relies on the exemption under 911A(2)(eb) of the Corporations Act 2001 in respect to any advice given. The advice on this site is general in nature and does not take into account your personal needs or objectives.