sharetrader
Page 1 of 3 123 LastLast
Results 1 to 10 of 30
  1. #1
    IMO
    Join Date
    Aug 2010
    Location
    Floating Anchor Shoals
    Posts
    9,696

    Default Long short fund lfs

    Prospectus

    This listed recently, shares issued at $2. Latest price $2.Demand great with re double plus original mkt cap. 70% in Aus, NZ.
    Track record of re 30% plus return per annum.Fees on any profits 20% no hurdle.Timing is good volatility wise. Have a few indirectly.

    L1 Capital hands back 'material' amount of capital to wholesale clients

    "Melbourne-based equities investor L1 Capital is set to return hundreds of millions of dollars to clients.
    Street Talk understands L1 Capital has started notifying some of its institutional clients that they should expect a cheque in the mail, in an effort to keep funds under management at less than $4 billion.
    While L1 Capital has not said how much money will be returned, it did tell clients it was a "material" amount.
    Street Talk understands it is worth hundreds of millions of dollars.
    All of the money returned will be to institutional clients.
    "For client confidentiality reasons, we are not disclosing the size or timing of these offsetting outflows, other than to say they are material and will enable us to stay below $4 billion in FUM," the manager told clients this week.
    Returning capital is a rare move by an investment manager. It's also likely to create some tough conversations.
    However, L1 Capital has already lined up new investors to take their place.
    L1 Capital's outgoing clients will be replaced by a new batch of retail and high net worth investors, who together tipped in $1.33 billion for the firm's new listed investment company, L1 Capital Long Short Fund Ltd.
    The listed company was initially seeking to raise up to $600 million before it was upsized to up to $1.35 billion.
    More than two-thirds of the firm's capital is now expected to be from retail and high net worth investors, who typically pay higher fees to an investment manager than wholesale clients.
    It will also be skewed towards L1 Capital's long/short strategy, which has returned 34.9 per cent a year after fees since inception.
    It looks like a business decision for L1 Capital and its employee shareholders, headed by founders and co-CIOs Rafi Lamm and Mark Landau. Managing retail and high net worth money is more lucrative and less likely to head out the door in a hurry.
    If there is a redemption, or a handful of redemptions, it is unlikely to cause big disruptions for the manager. That's not always the case when it comes to wholesale money. And, in turn, they will be better able to focus on three-to-five year performance, and less on the short term."

    "It is not known which of L1 Capital's clients will be handed back their money.
    Its biggest fund is a long-only Australian equities fund, which predominantly manages money for big domestic and offshore institutions such as Catholic Super, Sunsuper and HOSTPLUS, and recently opened to retail investors
    owever, the current known ASX positions are CNU, NEC, BLD, QAN, BSL, MQA, NWS, MIN, ORG (can be found in the monthly/quarterly reports or on interview videos)."

  2. #2
    IMO
    Join Date
    Aug 2010
    Location
    Floating Anchor Shoals
    Posts
    9,696

    Default

    Cant changer the header, ticker is LSF on the ASX not LFS.

  3. #3
    Senior Member Lego_Man's Avatar
    Join Date
    Feb 2009
    Posts
    556

    Default

    Quote Originally Posted by Joshuatree View Post
    Prospectus

    This listed recently, shares issued at $2. Latest price $2.Demand great with re double plus original mkt cap. 70% in Aus, NZ.
    Track record of re 30% plus return per annum.Fees on any profits 20% no hurdle.Timing is good volatility wise. Have a few indirectly.

    L1 Capital hands back 'material' amount of capital to wholesale clients

    "Melbourne-based equities investor L1 Capital is set to return hundreds of millions of dollars to clients.
    Street Talk understands L1 Capital has started notifying some of its institutional clients that they should expect a cheque in the mail, in an effort to keep funds under management at less than $4 billion.
    While L1 Capital has not said how much money will be returned, it did tell clients it was a "material" amount.
    Street Talk understands it is worth hundreds of millions of dollars.
    All of the money returned will be to institutional clients.
    "For client confidentiality reasons, we are not disclosing the size or timing of these offsetting outflows, other than to say they are material and will enable us to stay below $4 billion in FUM," the manager told clients this week.
    Returning capital is a rare move by an investment manager. It's also likely to create some tough conversations.
    However, L1 Capital has already lined up new investors to take their place.
    L1 Capital's outgoing clients will be replaced by a new batch of retail and high net worth investors, who together tipped in $1.33 billion for the firm's new listed investment company, L1 Capital Long Short Fund Ltd.
    The listed company was initially seeking to raise up to $600 million before it was upsized to up to $1.35 billion.
    More than two-thirds of the firm's capital is now expected to be from retail and high net worth investors, who typically pay higher fees to an investment manager than wholesale clients.
    It will also be skewed towards L1 Capital's long/short strategy, which has returned 34.9 per cent a year after fees since inception.
    It looks like a business decision for L1 Capital and its employee shareholders, headed by founders and co-CIOs Rafi Lamm and Mark Landau. Managing retail and high net worth money is more lucrative and less likely to head out the door in a hurry.
    If there is a redemption, or a handful of redemptions, it is unlikely to cause big disruptions for the manager. That's not always the case when it comes to wholesale money. And, in turn, they will be better able to focus on three-to-five year performance, and less on the short term."

    "It is not known which of L1 Capital's clients will be handed back their money.
    Its biggest fund is a long-only Australian equities fund, which predominantly manages money for big domestic and offshore institutions such as Catholic Super, Sunsuper and HOSTPLUS, and recently opened to retail investors
    owever, the current known ASX positions are CNU, NEC, BLD, QAN, BSL, MQA, NWS, MIN, ORG (can be found in the monthly/quarterly reports or on interview videos)."

    The problem i have is that those returns were generated when they were sub 200m - there's an element of "too good to be true" here. The LIC could be seen as a real cash grab and i doubt if returns will be anything close to what has been achieved historically. As a side anecdote in fact i was talking to a guy from Australia about them yesterday - his comment was "they're much better businessmen than they are investors".

    The pace of growth that they've shown also inevitably results in teething problems. A multi-billion dollar firm is a different beast from a sub 500m boutique. Some make the transition successfully, others don't.

  4. #4
    IMO
    Join Date
    Aug 2010
    Location
    Floating Anchor Shoals
    Posts
    9,696

    Default

    Yes good point. I was a bit stunned to see the more than doubling the raising. Good thing its liquid and easily tradeable.

  5. #5
    Senior Member Lego_Man's Avatar
    Join Date
    Feb 2009
    Posts
    556

    Default

    Quote Originally Posted by Joshuatree View Post
    Yes good point. I was a bit stunned to see the more than doubling the raising. Good thing its liquid and easily tradeable.
    I also find it very cynical when funds hand back capital that's lower-fee paying, to then gorge themselves on retail money. These institutions will in many cases be investors who have supported them at an earlier stage of their development, but don't get to reap the long term rewards.

  6. #6
    IMO
    Join Date
    Aug 2010
    Location
    Floating Anchor Shoals
    Posts
    9,696

    Default


    1. this is a vote of confidence by management though

      The Manager has agreed that its owners will reinvest in the Company all of the ir after-tax proceed sfrom any Performance Fees generated from the Company and these Shares will be escrowed for up to 10 years from listing; and
    2. Mr Raphael Lammand Mr Mark Land au have each agreed to invest $5million into the Company under the Offer.




  7. #7
    IMO
    Join Date
    Aug 2010
    Location
    Floating Anchor Shoals
    Posts
    9,696

    Default

    Not a good month. Holding for when the panic at the disco eventually arrives.
    Download Document 409.81KB

  8. #8
    IMO
    Join Date
    Aug 2010
    Location
    Floating Anchor Shoals
    Posts
    9,696

    Default

    LSF being caned as growth stocks continue to race up and value stocks decrease. Any opinions as to why.? No flight to quality happening yet, bull mkt surging still in some sectors.

    "The performance of the Long Short Fund has been impacted by the recent surge in ‘momentum’/’growth’ stocks and a continued drift in ‘value’ type stocks. Relative valuations of growth versus value stocks are at an historical extreme and we have positioned the portfolio to benefit as markets normalise."



  9. #9
    Senior Member Lego_Man's Avatar
    Join Date
    Feb 2009
    Posts
    556

    Default

    Quote Originally Posted by Joshuatree View Post
    LSF being caned as growth stocks continue to race up and value stocks decrease. Any opinions as to why.? No flight to quality happening yet, bull mkt surging still in some sectors.

    "The performance of the Long Short Fund has been impacted by the recent surge in ‘momentum’/’growth’ stocks and a continued drift in ‘value’ type stocks. Relative valuations of growth versus value stocks are at an historical extreme and we have positioned the portfolio to benefit as markets normalise."



    30% is going to be hard to reach this year...

  10. #10
    Senior Member Lego_Man's Avatar
    Join Date
    Feb 2009
    Posts
    556

    Default

    Quote Originally Posted by Joshuatree View Post
    Not a good month. Holding for when the panic at the disco eventually arrives.
    Download Document 409.81KB
    June no better - down another 6%.

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •