The investment process has proven successful over the long-term, particularly in the small cap space. The WMI portfolio has performed well since listing in June 2017 allowing the LIC to pay dividends totalling six cents per share fully franked for FY2017. We have initiated on WMI with a Recommended Plus rating.

SNC isa genuinely differentiated product and one that provides genuine diversification benefits. Successful activist investing require skills and capabilities most professional investors do not possess in our view.

While the Manager has a global mandate, the Manager’s focus will remain developed, rather than emerging market jurisdictions. With a view to managing risk, net and gross exposure will not exceed 150% and 200%, respectively. Net exposure has typically ranged between -20% to 60%. The performance objective is 15% p.a. after fees and expenses with low correlations to major asset classes and expected volatility of 13-20% p.a. over 3-5 years.

The investment team previously previously launched the Macquarie Pure Alpha Fund in July 2015. They are well resourced, stable, experienced, has a proven track-record and a broad attribution of alpha by both long and short positions (albeit a relatively short track-record), and there is a strong alignment of interest with investors.

In its latest Quarterly LMI Market Review, We detail our coverage of 49 listed investment companies, listed investment trusts and active ETFs including commentary, investment views and ratings. We have coverage across a number of sectors and investing strategies and provide insight into performance, discounts and premiums to NTA.