Richmond Terrace Capital Pty Ltd is a Melbourne based fund manager specialising in operating an absolute return fund.
The Fund aims to provide a positive absolute return over the long term (at least 5 years).
Investment Philosophy: The Fund’s philosophy is based on a number of concepts:
- An investment’s underlying value can be estimated; and
- Markets can, at times, be subject to pricing inefficiencies, providing opportunities to buy investments at below their underlying value; also
- Changes in market factors can affect the performance of asset classes in different ways;
- Tactical asset allocation, or the ability to alter exposure to various asset classes given changing market conditions, can provide an opportunity to generate positive returns; with
- Investment concentration providing an opportunity to enhance performance.
- Overall, the portfolio will remain benchmark unaware – the focus is to provide an absolute return to investors not outperform a particular index.
In selecting a portfolio of investments, consideration will be given to both the prevailing macro-economic conditions (“top down” analysis) as well as an assessment of the underlying value of a particular investment (“bottom up” analysis).
This process involves consideration of a number of factors, the most important of which are set out below:
- Liquidity & Credit;
- Sentiment; and
The key members of the Investment Manager’s investment team are set out below: