Chris Cuffe
Third Link Growth Fund founded by philanthropist and investment industry veteran Chris Cuffe AO has this quarter exceeded $21.9 million in total management and performance fees collected for charitable organisations.
The Fund, which has beaten its Australian equities benchmark since inception in 2012, has also recently retained its ‘Recommended” investment rating from Zenith research house.
The Fund is unique in the Australian market for its approach to charitable giving as it is the only Australian unlisted unit trust fund where the fund managers rebate 100% of management and performance fees to charity.
The Fund employs an active multi-manager approach, leveraging the expertise of 14 of Australia’s most well-known Australian large and small investment managers to achieve its investment objective to outperform the S&P/ASX 300 Accumulation Index net of fees.
The ~ $22 million raised so far has been used to support 28 organisations that amplify the voice of young people in society, provide pathways to employment for at risk young people or organisations that have a catalytic systemic impact, including advancing informed public debate.
Chris Cuffe AO said he was pleased with the long-term performance of the fund – 10.2% per annum since 2012 – and the impact it was able to have through targeted giving.
“Our mission has always been to provide investors with credible investment performance, while at the same time giving back to the community. It is one of the few equity funds in Australia with a track record of beating its performance benchmark over the long-term after fees and its philanthropic impact will continue to grow,” he said.
In its rating recommendation Zenith noted: “Third Link’s philosophy is based on a philanthropic aim to benefit investors and the non-profit sector. In designing the Fund’s features, Cuffe demonstrates a well-considered investment approach that displays an understanding of the needs and expectations of the parties involved. Given that all underlying manager fees are rebated, Cuffe is fee-ambivalent, which allows for the selection of active managers that display ability to outperform over various time periods.
“As a charitable fund, Cuffe is not influenced by career or business risk, which Zenith believes is conducive to the Fund meeting its investment objectives. Furthermore, given that the management fees charged to investors are donated to charity, it represents a clear philosophical alignment.”
