Totus Australian Market Neutral Strategy
Institutional Investors
Separately Managed Accounts (SMA)
Legal Structure
Totus Australian Market Strategy (the “Strategy”) is available only to institutional investors who establish Separately Managed Accounts ("SMA") with Totus.
The information provided is for general guidance only. Any person wishing to establish an SMA with Totus under the Strategy is responsible for informing themselves of, and observing, all applicable laws and regulations of any relevant jurisdiction. Each prospective investor must consult their own legal and tax advisers to determine the possible tax or other consequences of establishing and investing through an SMA under laws of their respective jurisdictions.
Investment Strategy
The objective of the Strategy is to deliver risk-adjusted absolute returns with minimal exposure (deliver alpha) through investments principally in listed securities, index futures and options in Australia based on fundamental industry and company research and active portfolio management.
The Strategy seeks to deliver consistent, strong risk-adjusted returns with relatively low volatility whilst maintaining little to no correlation to equity or bond markets over the long term, through active company and industry research. The investment manager identifies medium to longer-term structural investment themes that are used to focus the analyst’s research efforts. The team then performs extensive bottom up research to identify securities that have concentrated exposure to these themes. Totus focuses on businesses with a demonstrated track record of profitability, high returns and strong cash flow generation for long investments. These investments are balanced with short positions in lower quality businesses that are facing cyclical and/or structural headwinds, deteriorating earnings quality, and catalysts for share price underperformance.
Gearing may be used, which may magnify returns or losses, in excess of 100% of its net asset value. The gross exposure will generally not be more than 200% of the account's net assets.
To establish an SMA, please contact the investment relations team via email at ir@totuscapital.com.au.
Risks
An investment in the Strategy involves a high degree of risk. There is no guarantee that the Strategy will achieve its investment objective or generate positive returns. Investors could lose some or all of their invested capital. Investors may not be able to redeem their investment at a time of their choosing.
Further information about these and other risks is available from the Investment Manager.
Contact Details
Inquiries regarding the Strategy or the SMA structure should be directed to the Investment Manager.
Investment Manager
Totus Alpha Management Pty Ltd
Level 6, 151 Macquarie Street
Sydney NSW 2000 Australia
Email: ir@totuscapital.com.au
Phone: +61 2 8072 9945