Eiger Australian Small Companies Performance Review | News

What is the Eiger Australian Small Companies fund?

Eiger Australian Small Companies Fund (The Fund) provides exposure to a select, actively managed portfolio of stocks with a small-medium level of capitalization listed, or expected to be listed, on the Australian Securities Exchange (ASX) and the New Zealand Securities Exchange (NZX). The Fund aims to outperform its benchmark over rolling five year periods (after fees.

The Fund provides access to a portfolio of small to medium sized companies diversified across all sectors in Australia and New Zealand.
Experienced investment professionals: access to a specialist investment team with over 60 years’ combined experience investing in small to medium companies.

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Latest News & Updates For Eiger Australian Small Companies

Eiger Australian Small Companies Fund Commentary September 30, 2023

The S&P/ASX Small Ordinaries Index (XSO) declined by 1.9% during the quarter. The Small Industrials declined by 1.9%, while the Small Resources also declined by 1.9%. The XSO finished the month on a 2yr forecast P/E ratio of 15.8x which is 7.3% below its 5-year average. This valuation is a 6.1% premium to the ASX200.

The best performing sectors for the quarter were Energy (+27.4%), Wholesale, Distribution & Manufacturing (+18.7%), Retail (+12.9%) and Telecommunications (+12.2%). The worst performing sectors for the quarter were Metals & Mining – Critical Minerals (-26.7%), Metals & Mining – Base Metals (-18.8%), Biotechnology (-16.3%) and Industrial Technology (-15.6%).

The best performing stocks within the XSO Index during the quarter were Deep Yellow (DYL +74.2%), Megaport (MP1 +63.0%), Siteminder (SDR +58.6%), and Boss Energy (BOE +56.5%). Deep Yellow and Boss Energy are both exposed to the development and mining of uranium. The price of near term uranium futures have increased by 45% this year as nuclear energy is increasingly seen as the solution to zero carbon base load power. Boss Energy has also announced promising drilling results and is nearing production at its mine in South Australia. Megaport increased EBITDA guidance during the quarter.

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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.
Eiger Australian Small Companies	HOW2967AU	Managed Funds	Domestic Equity	Australian Micro Cap	Domestic Equity - Micro Cap Index	ASX Index Small Ordinaries Index	21.38 M	1%	1.20%	0.81%

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.
Eiger Australian Small Companies	2.87%	-0.24%	6.41%	3.02%	8.59%	10.88%	17.63%	20.81%	-8.16%	-30.99%	-30.99%

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.
Eiger Australian Small Companies	Domestic Equity - Micro Cap Index	-4.74%	-0.27%	-0.21%	0.02%	0.02%	0.72	6.59%	6.19%	0.88	0.96

Product Details

Fund Name	Verifed by SMSF Mates	Manager Address	Phone	Website	Email
Eiger Australian Small Companies	Yes		-	https://www.fidante.com/	-

Product Due Diligence

What is Eiger Australian Small Companies

Eiger Australian Small Companies is an Managed Funds investment product that is benchmarked against ASX Index Small Ordinaries Index and sits inside the Domestic Equity - Micro Cap 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 Eiger Australian Small Companies has Assets Under Management of 21.38 M with a management fee of 1%, a performance fee of 1.20% and a buy/sell spread fee of 0.81%.

How has the investment product performed recently?

The recent investment performance of the investment product shows that the Eiger Australian Small Companies has returned 2.87% in the last month. The previous three years have returned 3.02% annualised and 20.81% each year since inception, which is when the Eiger Australian Small Companies 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 Eiger Australian Small Companies first started, the Sharpe ratio is 0.44 with an annualised volatility of 20.81%. The maximum drawdown of the investment product in the last 12 months is -8.16% and -30.99% 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 Eiger Australian Small Companies has a 12-month excess return when compared to the Domestic Equity - Micro Cap Index of -4.74% and -0.27% 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. Eiger Australian Small Companies has produced Alpha over the Domestic Equity - Micro Cap Index of -0.21% in the last 12 months and 0.02% since inception.

What are similar investment products?

For a full list of investment products in the Domestic Equity - Micro Cap Index category, you can click here for the Peer Investment Report.

What level of diversification will Eiger Australian Small Companies provide?

Eiger Australian Small Companies has a correlation coefficient of 0.96 and a beta of 0.72 when compared to the Domestic Equity - Micro Cap 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 Eiger Australian Small Companies and its peer investments, you can click here for the Peer Investment Report.

How do I compare the Eiger Australian Small Companies with the ASX Index Small Ordinaries Index?

For a full quantitative report on Eiger Australian Small Companies compared to the ASX Index Small Ordinaries Index, you can click here.

Can I sort and compare the Eiger Australian Small Companies to do my own analysis?

To sort and compare the Eiger Australian Small Companies financial metrics, please refer to the table above.

Has the Eiger Australian Small Companies 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 Eiger Australian Small Companies?

If you or your self managed super fund would like to invest in the Eiger Australian Small Companies please contact via phone or via email .

How do I get in contact with the Eiger Australian Small Companies?

If you would like to get in contact with the Eiger Australian Small Companies manager, please call .

Comments from SMSF Mates

SMSF Mate does not receive commissions or kickbacks from the Eiger Australian Small Companies. All data and commentary for this fund is provided free of charge for our readers general information.

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Historical Performance Commentary

Performance Commentary - August 31, 2023

The S&P/ASX Small Ordinaries Index (XSO) decreased by 1.3% during the month. The Small Industrials decreased by 1.5%, while the Small Resources decreased by 0.9%. The XSO finished the month on a 2yr forecast P/E ratio of 17.1x which is 0.3% above its 5-year average. This valuation is a 9.6% premium to the ASX200.

The best performing sectors for the month were Wholesale, Distribution & Manufacturing (+11.7%), Retail (+9.2%), Automotive (+8.4%), and Precious Metals (+7.1%). The worst performing sectors were Biotechnology (-11.1%), Critical Minerals (-9.7%), Industrial Technology (-9.3%), and Base & Industrial Metals (-9.2%).

The best performing stocks within the XSO Index were Audinate (AD8 +48.3%), Deep Yellow (DYL +37.2%), Red 5 (RED +36.1%), and Baby Bunting (BBN +35.2%). Audinate’s FY23 results showed strong revenue growth and good cost control. Deep Yellow benefited from a stronger uranium price. Red 5 reported a strong profit result and Baby Bunting has had a better than expected start to FY24.

The worst performing stocks in the XSO index were Mesoblast (MSB -55.5%), Chalice Mining (CHN -39.6%), IRESS (IRE -38.3%), and Core Lithium (CXO -38.3%). Mesoblast failed again to convince the FDA to approve its first of a kind remestemcel-L biologic. Chalice released their Gonneville scoping study that contained a much higher capex estimate than expected and somewhat optimistic commodity price assumptions. IRESS reported its first operating result post its recent investor day and disappointed on almost every expected metric. Core Lithium continued to disappoint operationally requiring a further capital raise.

Performance Commentary - July 31, 2023

The S&P/ASX Small Ordinaries Index (XSO) increased 3.5% during the month. The Small Industrials increased by 4.8%, while the Small Resources increased by 0.1%. The XSO finished the month on a 2yr forecast P/E ratio of 16.8x which is 1.5% below its 5-year average. This valuation is a 7.9% premium to the ASX200.

The best performing sectors for the month were Banks (+12.6%), Retail (+11.3%), Mining Services & Engineering (+11.1%), and Wholesale, Distribution & Manufacturing (+10.9%). The worst performing sectors were Critical Minerals (-10.0%), Healthcare (-0.7%), Infrastructure & Utilities (+0.5%), and Metals & Mining – Steel (+0.8%).

The best performing stocks within the XSO Index were SiteMinder (SDR +44.2%), Megaport (MP1 +41.3%), Kogan. com (KGN +25.4%), and Australian Ethical (AEF +23.2%). SiteMinder reported better than expected 4Q cashflow. Megaport upgraded guidance. Kogan announced preliminary FY23 EBITDA that was ahead of expectations.

The worst performing stocks in the XSO index were Bowen Coking Coal (BCB -31.3%), Core Lithium (CXO -29.0%), Lake Resources (LKE -25.0%), and Syrah Resources (SYR -22.7%). Bowen Coking Coal reported a weaker than expected 4Q net cashflow. Core Lithium and Lake Resources both updated medium term production expectations downward with higher operating costs. Syrah announced that production was paused in May and June.

Performance Commentary - June 30, 2023

The S&P/ASX Small Ordinaries Accumulation Index returned -0.5% for the quarter. The fund outperformed the market and returned 2.1% (net) over the same period.

The S&P/ASX Small Ordinaries Index (XSO) was down 0.5% during the quarter. The Small Industrials increased by 2.3%, while the Small Resources declined by 7.5%. The XSO finished the month on a 2yr forecast P/E ratio of 15.9x which is 7.0% below its 5-year average. This valuation is a 6.5% premium to the ASX200.

The best performing sectors for the quarter were Building & Construction Products (+18.9%), Real Estate Management & Development (+16.1%), Biotechnology (+12.8%) and Asset Management (+8.7%). The worst performing sectors were: Metals & Mining – Precious (-13.6%), Wholesale, Distribution & Manufacturing (-13.2%), Banks (-11.9%) and Metals & Mining – Steel (-10.9%).

The best performing stocks within the XSO Index during the quarter were Leo Lithium (LLL +105.8%), Megaport (MP1 +75.2%), Temple & Webster (TPW +70.9%), and Telix Pharma (TLX +62.6%). Leo Lithium announced a $106m strategic placement to battery maker Ganfeng. Megaport is viewed a beneficiary of AI. Temple & Webster announced a better than expected update in early May.

Performance Commentary - May 31, 2023

The S&P/ASX Small Ordinaries Accumulation Index returned -3.3% for the month. The fund outperformed the market and returned -0.9% over the same period.

The S&P/ASX Small Ordinaries Index (XSO) declined 3.3% during the month. The Small Industrials declined by 1.7%, while the Small Resources declined by 7.1%. The XSO finished the month on a 2yr forecast P/E ratio of 15.6x which is 8.7% below its 5-year average. This valuation is a 8.1% premium to the ASX200. The best performing sectors for the month were Biotechnology (+4.3%), Industrial Technology (+4.0%), Building & Constr Products (+3.4%), and IT Products & Services (+2.8%). The worst performing sectors were Retail (-13.6%), Base & Industrial Metals (-10.9%), Automotive (-9.8%), and Precious Metals (-2.5%).

The best performing stocks within the XSO Index were Leo Lithium (LLL +69.5%), ADBRI (ABC +36.3%), Life360 (360 +34.1%), and OFX (OFX +28.4%). Leo Lithium received funding from a strategic placement from Ganfeng Lithium. ADBRI disclosed that underlying NPAT for Jan-Apr 2023 was significantly higher than the same period last year. Life360 reported a strong 1Q23 update.

The worst performing stocks in the XSO index were 29metals (29M -40.5%), Vulcan Energy (VUL -38.6%), 5E Advanced Materials (5EA -35.4%), and Accent (AX1 -30.1%). 29metals disclosed higher capex at its Capricorn Copper & Golden Grove mines. Vulcan Energy raised equity at a significant discount. The market was disappointed with 5E Advanced Materials 3Q update.

Performance Commentary - April 30, 2023

The S&P/ASX Small Ordinaries Accumulation Index returned 2.8% for the month. The fund outperformed the market and returned 3.2% over the same period.

The S&P/ASX Small Ordinaries Index (XSO) increased 2.8% during the month. The Small Industrials increased by 3.6%, while the Small Resources increased by 0.7%. The XSO finished the month on a 2yr forecast P/E ratio of 15.6x which is 8.5% below its 5-year average. This valuation is a 6.7% premium to the ASX200. The best performing sectors for the month were Biotechnology (+14.8%), Building & Construction Products (+9.8%), Aged Living (+8.0%), and Real Estate Management (+7.9%).

The worst performing sectors were Metals & Mining – Steel (-5.5%), Wholesale, Distribution & Manufacturing (-4.0%), Industrial Technology (-3.2%), and Metals & Mining – Critical Minerals (-2.5%). The best performing stocks within the XSO Index were Telix Pharma (TLX +47.1%), Megaport (MP1 +36.7%), Blackmores (BLK +35.0%), and Codan (CDA +34%). Telix reported a very strong 1Q trading update. Megaport provided higher FY23 earnings guidance while Blackmores was subject to a takeover offer.

The worst performing stocks in the XSO index were Syrah Resources (SYR -37.0%), NOVONIX (NVX -22.1%), 5E Advanced Materials (5EA -18.8%), and Hastings Technology (HAS -17.7%). Syrah reported a weak 1Q production and sales update. Novonix received a 1st negative vote on the remuneration report at the AGM. Novonix, like Syrah is involved in the production of graphite for batteries.

Performance Commentary - March 31, 2023

The S&P/ASX Small Ordinaries Accumulation Index returned +1.9% for the quarter. The fund outperformed the market and returned 2.8% (net) over the same period.

The S&P/ASX Small Ordinaries Index (XSO) was up 1.9% during the quarter. The Small Industrials increased by 1.3%, while the Small Resources increased by 2.9%. The XSO finished the month on a 2yr forecast Price-to-Earnings (P/E) ratio of 15.2x which is 10.7% below its 5-year average. This valuation is a 6.4% premium to the ASX200.

The best performing sectors for the quarter were Wholesale, Distribution & Manufacturing (+18.1%), Automotive (+13.0%), Infrastructure & Utilities (+10.9%) and Biotechnology (+9.0%). The worst performing sectors were: Industrial Technology(-17.5%), Aged Living (-10.0%), Agricultural Products (-8.0%), and Real Estate Management and Developers (-6.0%).

The best performing stocks within the XSO Index during the quarter were Liontown Resources (LTR +95.5%), Neuren Pharma (NEU +70.0%), Westgold Resources (WGX +50.0%), and Accent Group (AX1 +49.0%). Liontown received a non binding offer at a substantial premium from US lithium major Albemarle. Neuren Pharma received FDA approval for the sale of DAYBLU, a treatment for Rett Syndrome. Westgold Resources responded to higher gold prices and a positive update from its BIg Bell mine.

The worst performing stocks in the XSO index were Jervois Global (JRV -76.0%), Bravura (BVS -59.9%), Lake Resources (LKE -44.4%), and 29metals (29M -38.0%). Jervois, a prospective cobolt miner, has halted its US project as current cobolt prices are not strong enough to make the project viable. Bravura completed a deeply discounted capital raising while Lake Resources responded to lower lithium prices and a substantial sell down by management.

Performance Commentary - February 28, 2023

The S&P/ASX Small Ordinaries Accumulation Index returned 6.6% for the month. The Eiger Australian Small Companies Fund underperformed the market and returned 6.2% over the same period.

The S&P/ASX Small Ordinaries Index (XSO) was up 6.6% during the month. The Small Industrials increased by 6.3%, while the Small Resources increased by 7.3%. The XSO finished the quarter on a 2yr forecast P/E ratio of 18.3x which is 7.1% above its 5-year average. This valuation is a 21.5% premium to the ASX200. The best performing sectors for the month were Retail (+18.7%), Metals & Mining – Critical Minerals (+16.1%), Healthcare (12.0%), and Media (+11.3%). The worst performing sectors were: Automotive (+1.6%), Biotechnology (+1.3%), Agricultural Products (+1.0%), and Telecommunications (-0.5%). The best performing stocks within the XSO Index were Westgold Resources (WGX +38.9%), Sayona Mining (SYA +36.8%), City Chic (CCX 35.8%), and Adairs (ADH +30.9%). Westgold gave an operational update and affirmed guidance. Sayona gained on lithium sector strength. City Chic benefitted from the market’s positive reaction to talk of involvement by investor Brett Blundy. Holiday trading period optimism supported the Adairs share price.

The worst performing stocks in the XSO index were Austal (ASB -20.2%), Betmakers Technology (BET -18.2%), OFX Group (OFX -17.2%), and BrainChip (BRN -15.4%). Austal reduced EBIT guidance by 40% weeks after previous guidance was given. Betmakers restructured it’s board and management, demoting the CEO. OFX provided dissapointing Q3 results, whilst Brainchip issued a capital call with a funding partner before announcing Q4 cashflow.

Eiger Australian Small Companies (HOW2967AU) Report & Performance