Cooper Investors Global Eqs Fd (Hdg) (CIP0001AU) Report & Performance

What is the Cooper Investors Global Eqs Fd (Hdg) fund?

Cooper Investors Global Equities Fund’s objective is to outperform the benchmark over the long term. The Fund will be constructed with limited reference to the benchmark, and therefore the fund’s returns may vary significantly from the Benchmark’s return.

  • The Manager aims to invest in the most attractive investment opportunities identified by CI’s VoF research philosophy, through the lens of a long term investment horizon.
  • Is a long only portfolio of 30-50 global stocks.
  • The Manager’s vision and strategy is the global application of the CI Way, its equities value and capital application model.
  • Central to the CI Way is VoF, a discipline to process complex qualitative and quantitative information on stocks and industries.
  • VoF stands for: Value latency, Operating, industry and strategic trends, Focused industry and management behaviour.

Growth of $1000 Investment Over Time

Performance Report

Peer Comparison Report

Peer Comparison Report

Latest News & Updates For Cooper Investors Global Eqs Fd (Hdg)

Cooper Investors Global Eqs Fd (Hdg) Fund Commentary June 30, 2023

While the concept of ‘AI’ has been of growing interest in technology circles for several years it blossomed into the dominant ‘new Paradigm’ for equity markets this quarter after bullish outlook statements from several large industry players.

Financial news, social feeds and broker commentary are now awash with ways to play this theme, suddenly every company claims AI is part of their strategy no matter which sector they’re in. All seem agreed that we have crossed the Rubicon and that AI will change the world from here on.

“We implement an overweight to AI as a mega force.” Blackrock, June ‘23

READ HISTORICAL PERFORMANCE COMMENTARIES

Product Snapshot

  • Product Overview
  • Performance Review
  • Peer Comparison
  • Product Details

Product Overview

Fund Name APIR Code
? A Product Code is unique a identifier code issued by a group or governing body, to reference products in a large group. For an example, APIR codes are commonly used for Funds and Ticker codes are commonly used for Securities such as ETFs and Stocks.
Structure
?
Asset Class
? An Asset Class breakdown provides the percentages of core asset classes found within a mutual fund, exchange-traded fund, or another portfolio. Asset classes (in microeconomics and beyond) generally refer to broad categories such as equities, fixed income, and commodities.
Asset Category
? An Asset Category is a grouping of investments that exhibit similar characteristics and are subject to the same laws and regulations. Asset categories (or a sub-asset class) are made up of instruments which often behave similarly to one another in the marketplace, looking down to the Asset Category level is important if looking to build a diversified portfolio.
Peer Benchmark Name
? A Peer Index (benchmark) refers to a peer group of investment managers who have the same investment style or category. It is used to compare the performance of one manager to their peer group, which makes it simpler for investors to choose between the vast number of investment managers.
Broad Market Index
? A Market Index (benchmark) refers to a hypothetical portfolio of investments that represents a segment, asset or category of an investable market. Market Indices are used to benchmark managers performance, to assist their style reliability and ability to provide excess returns.
FUM
? Funds/Assets under management (AUM) is the total market value of the investments that a person or entity manages on behalf of clients. Assets under management definitions and formulas vary by company.
Management Fee
? A management fee is a charge levied by an investment manager for managing an investment fund. The management fee is intended to compensate the managers for their time and expertise for selecting finanical products and managing the portfolio.
Performance Fee
? A performance fee is a payment made to an investment manager for generating positive returns. This is as opposed to a management fee, which is charged without regard to returns. A performance fee can be calculated many ways. Most common is as a percentage of investment profits, often both realized and unrealized. It is largely a feature of the hedge fund industry, where performance fees have made many hedge fund managers among the wealthiest people in the world.
Spread
? A spread can have several meanings in finance. Basically, however, they all refer to the difference between two prices, rates or yields. In one of the most common definitions, the spread is the gap between the bid and the ask prices of a security or asset, like a stock, bond or commodity. This is known as a bid-ask spread.
Cooper Investors Global Eqs Fd (Hdg)CIP0001AUManaged FundsForeign EquityCurrency HedgedForeign Equity - Currency Hedged IndexDeveloped -World Index72.21 M1.2%0.00%0.2%

Performance Review

Fund Name Last Month
? Returns after fees in the most recent (last) month).
3 Months Return
? Returns after fees in the most recent 3 months.
1 Year Return
? Trailing 12 month returns.
3 Years Average Return
? Average Annual returns from the last 3 years.
Since Inc. Average Return
? Average (annualised) returns since inception
1 Year Std. Dev. (Annual)
? The standard deviation (or annual volatility) of the last 12 months.
3 Years Std. Dev. (Annual)
? The average standard deviation (or annual volatility) from the last 3 years.
Since Inc. Std. Dev. (Annual)
? The average standard deviation (or annual volatility) since the fund inception.
1 Year Max Drawdown
? The maximum drawdown in the last 12 months - a drawdown is a peak-to-trough decline during a specific period for an investment, trading account, or fund.
3 Year Max Drawdown
? The maximum drawdown in the last 36 months - a drawdown is a peak-to-trough decline during a specific period for an investment, trading account, or fund.
Since Inc. Max Drawdown
? The maximum drawdown since inception - a drawdown is a peak-to-trough decline during a specific period for an investment, trading account, or fund.
Cooper Investors Global Eqs Fd (Hdg)5.06%8.3%18.91%2.83%9.73%14.23%16.55%14.03%-9.89%-29.13%-45.76%

Peer Comparison

Fund Name Peer Index Name
? A group of individuals who share similar characteristics and interests are called peer groups. Peer group analysis is an essential part of assessing a price for a particular stock in investment research. The emphasis here is on making a comparison, meaning that the peer group constituents should be more or less identical to the company being examined, especially in terms of their main business and market capitalization areas.
12 Months Excess Return
? Excess returns are an important metric that helps an investor to gauge performance in comparison to other investment alternatives. In general, all investors hope for positive excess return because it provides an investor with more money than they could have achieved by investing elsewhere.
Excess Return Annualised Since Inception
? Excess returns are an important metric that helps an investor to gauge performance in comparison to other investment alternatives. In general, all investors hope for positive excess return because it provides an investor with more money than they could have achieved by investing elsewhere.
12 Months Alpha
? Alpha is used in finance as a measure of performance, indicating when a strategy, trader, or portfolio manager has managed to beat the market return over 12 months. Alpha, often considered the active return on an investment, gauges the performance of an investment against a market index or benchmark that is considered to represent the market’s movement as a whole.
Alpha Annualised Since Inception
? Alpha is used in finance as a measure of performance, indicating when a strategy, trader, or portfolio manager has managed to beat the market annualized since inception. Alpha, often considered the active return on an investment, gauges the performance of an investment against a market index or benchmark that is considered to represent the market’s movement as a whole.
12 Months Beta
? Rolling 12Month Beta is a measure of the volatility—or systematic risk—of a security or portfolio compared to the market as a whole. Beta is used in the capital asset pricing model (CAPM), which describes the relationship between systematic risk and expected return for assets (usually stocks).
Beta Annualised Since Inception
? Beta is a measure of the volatility—or systematic risk—of a security or portfolio compared to the market as a whole. Beta is used in the capital asset pricing model (CAPM), which describes the relationship between systematic risk and expected return for assets (usually stocks).
12 Months Tracking Error
? 12Month Tracking error is the difference in actual performance between a position (usually an entire portfolio) and its corresponding benchmark over the last 12 months. The tracking error can be viewed as an indicator of how actively a fund is managed and its corresponding risk level. Evaluating a past tracking error of a portfolio manager may provide insight into the level of benchmark risk control the manager may demonstrate in the future.
Tracking Error Since Inception
? Since Inception tracking error is the difference in actual performance between a position (usually an entire portfolio) and its corresponding benchmark since inception. The tracking error can be viewed as an indicator of how actively a fund is managed and its corresponding risk level. Evaluating a past tracking error of a portfolio manager may provide insight into the level of benchmark risk control the manager may demonstrate in the future.
12 Months Correlation
? Correlation, in the finance and investment industries, is a statistic that measures the degree to which two securities move in relation to each other. Correlations are used in advanced portfolio management, computed as the correlation coefficient, which has a value that must fall between -1.0 and +1.0.
Correlation Since Inception
? Correlation, in the finance and investment industries, is a statistic that measures the degree to which two securities move in relation to each other. Correlations are used in advanced portfolio management, computed as the correlation coefficient, which has a value that must fall between -1.0 and +1.0.
Cooper Investors Global Eqs Fd (Hdg)Foreign Equity - Currency Hedged Index1.53%0.9%-0.06%0.13%0.13%1.183.85%5.71%0.980.92

Product Details

Fund Name Verifed by SMSF Mates Manager Address Phone Website Email
Cooper Investors Global Eqs Fd (Hdg)Yes-https://www.cooperinvestors.com/-

Product Due Diligence

What is Cooper Investors Global Eqs Fd (Hdg)

Cooper Investors Global Eqs Fd (Hdg) is an Managed Funds investment product that is benchmarked against Developed -World Index and sits inside the Foreign Equity - Currency Hedged Index. Think of a benchmark as a standard where investment performance can be measured. Typically, market indices like the ASX200 and market-segment stock indexes are used for this purpose. The Cooper Investors Global Eqs Fd (Hdg) has Assets Under Management of 72.21 M with a management fee of 1.2%, a performance fee of 0.00% and a buy/sell spread fee of 0.2%.

How has the investment product performed recently?

The recent investment performance of the investment product shows that the Cooper Investors Global Eqs Fd (Hdg) has returned 5.06% in the last month. The previous three years have returned 2.83% annualised and 14.03% each year since inception, which is when the Cooper Investors Global Eqs Fd (Hdg) first started.

How is risk measured in this investment product?

There are many ways that the risk of an investment product can be measured, and each measurement provides a different insight into the risk present. They can be used on their own or together to perform a risk assessment before investing, but when comparing investments, it is common to compare like for like risk measurements to determine which investment holds the most risk. Since Cooper Investors Global Eqs Fd (Hdg) first started, the Sharpe ratio is 0.51 with an annualised volatility of 14.03%. The maximum drawdown of the investment product in the last 12 months is -9.89% and -45.76% since inception. The maximum drawdown is defined as the high-to-low decline of an investment during a particular time period.

What is the relative performance of the investment product?

Relative performance is what an asset achieves over a period of time compared to similar investments or its peers. Relative return is a measure of the asset's performance compared to the return to the other investment. The Cooper Investors Global Eqs Fd (Hdg) has a 12-month excess return when compared to the Foreign Equity - Currency Hedged Index of 1.53% and 0.9% since inception.

Does the investment product produce Alpha over its Peers?

Alpha is an investing term used to measure an investment's outperformance relative to a market benchmark or peer investment. Alpha describes the excess return generated when compared to peer investment. Cooper Investors Global Eqs Fd (Hdg) has produced Alpha over the Foreign Equity - Currency Hedged Index of -0.06% in the last 12 months and 0.13% since inception.

What are similar investment products?

For a full list of investment products in the Foreign Equity - Currency Hedged Index category, you can click here for the Peer Investment Report.

What level of diversification will Cooper Investors Global Eqs Fd (Hdg) provide?

Cooper Investors Global Eqs Fd (Hdg) has a correlation coefficient of 0.92 and a beta of 1.18 when compared to the Foreign Equity - Currency Hedged Index. Correlation measures how similarly two investments move in relation to one another. This establishes a 'correlation coefficient', which has a value between -1.0 and +1.0. A 100% correlation between two investments means that the correlation coefficient is +1. Beta in investments measures how much the price moves relative to the broader market over a period of time. If the investment moves more than the broader market, it has a beta above 1.0. If it moves less than the broader market, then the beta is less than 1.0. Investments with a high beta tend to carry more risk but have the potential to deliver higher returns.

How do I compare the investment product with its peers?

For a full quantitative report on Cooper Investors Global Eqs Fd (Hdg) and its peer investments, you can click here for the Peer Investment Report.

How do I compare the Cooper Investors Global Eqs Fd (Hdg) with the Developed -World Index?

For a full quantitative report on Cooper Investors Global Eqs Fd (Hdg) compared to the Developed -World Index, you can click here.

Can I sort and compare the Cooper Investors Global Eqs Fd (Hdg) to do my own analysis?

To sort and compare the Cooper Investors Global Eqs Fd (Hdg) financial metrics, please refer to the table above.

Has the Cooper Investors Global Eqs Fd (Hdg) been independently verified by SMSF Mate?

This investment product is in the process of being independently verified by SMSF Mate. Once we have verified the investment product, you will be able to find more information here.

How can I invest in Cooper Investors Global Eqs Fd (Hdg)?

If you or your self managed super fund would like to invest in the Cooper Investors Global Eqs Fd (Hdg) please contact via phone or via email .

How do I get in contact with the Cooper Investors Global Eqs Fd (Hdg)?

If you would like to get in contact with the Cooper Investors Global Eqs Fd (Hdg) manager, please call .

Comments from SMSF Mates

SMSF Mate does not receive commissions or kickbacks from the Cooper Investors Global Eqs Fd (Hdg). All data and commentary for this fund is provided free of charge for our readers general information.

Historical Performance Commentary

Performance Commentary - March 31, 2023

The portfolio returned 7.28% in the quarter, versus the benchmark return of 6.60%.

The biggest contributors to portfolio return were Salesforce (profit margin expansion from cost efficiency efforts rapidly showing in numbers), Booking Holdings (strong Q4 results with gross bookings +58% year on year) and Rentokil Initial (uplift in organic growth guidance and Terminix synergies).

The biggest detractors to return were Frontier Communications (sold off on broker downgrade two days before month end), Eurofins Scientific (lag between higher costs and pricing to impact FY23 margins) and Danaher (market concern over a rumoured acquisition).

This quarter proved once again that equity markets can climb a ‘wall of worry’, rallying despite universally awful headlines. 2023 has so far seen the 2nd and 3rd biggest US bank failures in history, the hastily arranged rescue of Credit Suisse by UBS, ongoing interest rate hikes from central banks, nuclear rhetoric from Russia in Ukraine and the first indictment of a US President on criminal charges. Yet the overall index had a fine start to the year.

In truth market breadth was extremely narrow, reminiscent of 2020/21 where the market was propped up by NASDAQ. The outperformance of US tech in 2023 versus medium and smaller businesses is stark, March saw the second widest spread in the past 20 years with NASDAQ +7% versus Russell 2000 -5%.

Given the portfolio’s underweight to mega-cap tech and overweight in medium and smaller-sized businesses, we would typically expect the portfolio to lag this type of market move. As an indication, the top 10 index weights accounted for 4.2% of the benchmark’s 8.6% gain. In other words, the top 15% delivered almost 50% of the return.

Performance Commentary - January 31, 2023

The Fund will invest in global equities where we identify a compelling value proposition through the application of our VoF investment process. We focus on stocks with management that display proprietorial behaviours such as family and founder-linked companies, owner-operator business models or focused teams charged with driving change. The Fund may differ significantly from the benchmark, will generally hold 30-50 stocks and be fully invested. The Fund may invest in stocks of any size however investments will typically be in medium or larger-sized companies (US$5-75bn market capitalisation).

Performance Commentary - December 31, 2022

The portfolio returned 6.24% in the quarter, versus the benchmark return of 7.08%.

The biggest contributors to portfolio return for the quarter were Ferguson (completed re-list from UK to US market with possible inclusion to S&P 500 in 2023), APi Group (revised margin targets for Chubb at IR Day indicate material upside) and Vantage Towers (takeover offer came in at €32 a share – see Stock News section).

The biggest detractors to return for the quarter were Brookfield (volatile moves around December spin-off event), Salesforce (two senior executives announced exit in Q3 results) and London Stock Exchange Group (underperformed after a broker downgrade).

As the below chart from the FT shows, 2022 was a very challenging year for investors and unique in that the large draw-down in equities was matched by an equally awful year for the bond market. Other than holding US Dollar cash or Energy stocks, there were few places to hide.

Performance Commentary - September 30, 2022

The portfolio returned -4.77% in the quarter, versus the benchmark return of -5.52%. Profound US Dollar strength was a feature of the period; the A$ fell -6.5%, Yen -6.1%, Euro -6.3% and the Pound – 8.1%.

The biggest contributors to portfolio return for the quarter were HOYA (ongoing strong trends in EUV mask-blank business along with increased buyback), Workday (solid results, confident guidance and reducing share-based comp) and Arthur J Gallagher (“hard” insurance market characterised by increasing premiums continues to be supportive for insurance brokers).

The biggest detractors to return for the quarter were Comcast (flat growth in broadband subscribers in Q2), Eurofins Scientific (Q2 organic growth came in a touch light) and Sony (soft gaming trends in June quarter with quiet game launch slate).

The ‘bear rally’ of July faded as the quarter progressed with equities falling sharply in September and volatility continuing to rage in currency and bond markets. Sentiment around stocks is now of pervading bearishness. The market feeling is that we’re only sort of half way through this bear market, with the sell-off thus far reflecting evaporation of frothy market multiples pumped up by loose monetary policy and pandemic stimulus – the ‘P’ in the P/E ratio coming down. While the market is not exactly cheap, at 17x trailing earnings the S&P at least has returned back to around its 20-year average.

Performance Commentary - June 30, 2022

To say the last 12 months has been a game of two halves is understatement bordering on farcical. For the 6 months to 31 December 2021 the portfolio gained 11.7% versus the Benchmark which rose 6.2%. In the 6 months to 30 June 2022 the portfolio declined 25.6%, versus the Benchmark which fell 18.7%.

Positive contributors to return for the quarter were Yum China (relief as Shanghai lockdowns eased), Arthur J Gallagher (ongoing strong operating trends for insurance brokers) and Ferrovial (traffic beating forecasts in tollroad and airport assets).

The larger detractors to return for the quarter included Workday (phasing of some growth pushed into H2), Techtronic (market implying sharp deceleration expected in power tools) and ICE (has de-rated around 25% since the Black Knight deal announced in March). Over the last decade the CI Global team has undertaken extensive global travel hunting for Value Latency and building a unique relationship network and Watchlist of opportunities. We stand behind a track record of careful stewardship of investor capital, outperforming 9 of 11 years from 2011 to 2021 and typically outperforming 70-80% of down months.

In that light the performance of the fund in this year’s sell-off has been somewhat disappointing. We do not get everything right – we may misjudge a management team, misinterpret an industry trend change or be too early or late in a decision.

Performance Commentary - March 31, 2022

After a year of strong and steady asset prices 2022 has begun with an ice bucket over the head for equities investors. The Benchmark fell 5.09% for the quarter which, while on the surface appears an average sized correction in the context of history actually conceals severe volatility beneath the service. The reality is many parts of the market have seen material value destruction over the last few months.

During the quarter the Fund established a position in Cintas Corporation, a market leader in uniform rental services across North America (Mcap $44bn). This service provides workwear for large corporate and government clients, for example managing supply and laundry of uniforms for the nationwide employee base of customers such as Home Depot. Uniform rental is a tough local business (Cintas has a million customers) but management have built a high quality business operating with stable and growing recurring revenues and have consistently delivered for shareholders. They have the scale and a superior service offering which drives a unique and attractive return profile, including mid-to-high single digit sales growth, 40% returns on tangible funds employed, and earnings per share that have risen for an impressive 50 of the last 52 years.

Performance Commentary - June 30, 2021

After a wild 18 months the June quarter saw relative calm return to financial markets, with levels of volatility returning to pre-COVID19 levels. Equities markets remain in their bull trend with June seeing fresh all-time highs recorded across US and European indices, while Asia including Japan had a more flat quarter. The ‘inflationary boom’ price action that drove markets from November to March, characterised by sharply rising bond yields and an equities rotation from ‘Growth and Quality’ towards ‘Value and Cyclical’ appears to have stalled with Growth and Stalwart-type businesses outperforming once again this quarter. For the 3 months and 12 months to June 30th the Fund returned 7.97% and 32.87% respectively. This compares to the benchmark which returned 7.05% and 35.32%.

Significant contributors to return for the quarter were Intuit (continued strong operating trends in the Quickbooks Online business), Danaher (strong trends in life sciences markets plus M&A – see Stock News) and IQVIA Holdings (continuing strong results).

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