For the fourth year running, Fairtree proudly scooped another equity category Raging Bull award in a competition that recognises superior performance by unit trust fund managers in selecting investments for their portfolios, taking into account consistency and aversion to risk. The Fairtree Equity Prescient Fund returned 19.81% after fees in 2020. The fund has an average annualized return of 14.87% since inception in 2011.
Fairtree was nominated in two categories, with the Fairtree Equity Prescient Fund winning the Raging Bull for risk-adjusted performance over five years and three years.
Co-portfolio managers and Raging Bull winners, Stephen Brown and Cor Booysen’s investment philosophy is based on three principles – holistic, diversified and flexible, which they believe leads to better portfolio returns.
Due to the externalised nature of the South African equity market, the team believes that both top-down and bottom-up analysis are required to make sound investment decisions.
It is better to own a well-diversified portfolio that is positioned to perform under most outcomes than to concentrate on a few positions that will do well during a single economic outcome.
The team value the ability to change their portfolio when the environment changes, adapting quickly to variations in the economic conditions that affect the earnings outlook of companies.
Four sectors on the JSE had standout performances during 2020: these were Gold miners, PGM miners, Diversified miners and Naspers/Prosus. The fund started 2020 with large exposure to these four sectors and benefitted from sizeable positions in Impala, Northam and African Rainbow Minerals.
This Raging Bull affirms our commitment to our deeply entrenched values and sound investment philosophy of creating long-term wealth for our clients and we’re grateful for the long and valuable relationships with clients and their advisers.
