Lonsec upgrades DNR Capital Australian Emerging Companies Fund to ‘Highly Recommended’

Leading research house, Lonsec Research, has upgraded the DNR Capital Australian Emerging Companies Fund to ‘Highly Recommended’ indicating Lonsec has very strong conviction the product can meet its investment objectives.

“The manager’s track record has delivered impressive relative performance outcomes since the Fund’s inception [in August 2018] along with the portfolio management team’s co-tenure and stability has led to increased conviction in the capability,” Lonsec said in its report.

The Fund is managed by Portfolio Managers Sam Twidale and Mark Sedawie, and in its report, Lonsec said the pair are dedicated to small cap research and contribute their insights to the broader investment team.

“We are extremely pleased to receive this upgrade. Lonsec has recognised the skills of our team and our bottom-up stock selection process which focusses on quality companies at attractive valuations,” Portfolio Manager, Sam Twidale said.

Lonsec listed the Fund’s high-conviction, concentrated approach (the Fund invests in 20 to 45 companies) as one of its key strengths, along with a boutique investment culture and a highly regarded and well-structured investment process.

“The manager demonstrated a strong engagement program and a structured approach. Engagements are tracked clearly with clear objectives set and outcomes tracked,” the Lonsec report found.

The DNR Capital Australian Emerging Companies Fund is also the recipient of a ‘Highly Recommended’ rating by Zenith.