6 stocks to hold for the long-term

November 24, 2020 06:00

Livewire Markets

The temptation to buy and sell stocks can be overwhelming during periods of market turmoil, as we’ve seen since COVID hit Australia’s shores in February. But Prime Value Asset Management portfolio manager Richard Ivers and his team pride themselves on picking companies that perform through the economic cycle.

This is why three of the top-five holdings in the Prime Value Emerging Opportunities fund remain unchanged now versus January, despite the pandemic meltdown. They are:

Equity Trustees (ASX: EQT), a specialist trustee and fiduciary services company
Kiwi logistics firm Mainfreight (NZE: MFT)
Media conglomerate News Corp (ASX: NWS).

“We’re not trying to trade or rent stocks…we’re trying to hold businesses for a long-period of time and to compound investment returns,” says Ivers.

And this approach has paid off, given the strategy returned 18% in FY20 and topped Mercer’s annual survey of fund performance.

In the following video, Ivers discusses his team’s portfolio construction process and reveals another three stocks that have helped drive its outperformance.

More information about Prime Value

The Prime Value Emerging Opportunities Fund has topped Mercer’s Australian Small Companies (ex-ASX100) survey for the year to 30 June 2020.

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