Brook Finds Rewarding Investment Opportunities

Brook Finds Rewarding Investment Opportunities in a Volatile Market

Brook Asset Management’s Tasman Fund has continued to find attractive investment opportunities during the global financial crisis and delivered strong performance to investors, with a gross return of 20.7 per cent for the 12 months to 30 September 2009.

The Brook Tasman Fund’s return exceeded the NZX50 index which provided a return of 2.3 per cent and the Australian ASX200 which returned 6.2 per cent during the same period.

Brook Managing Director, Mark Brighouse, said that during a period where there has been significant volatility in investment markets, the Tasman Fund has not only preserved investors’ capital, but delivered a double-digit return during the past 12 months.

“Investment opportunities have been identified in companies with sound business models and strong balance sheets, where the market had lost confidence in the recovery. This has provided an opportunity to invest in quality companies at very attractive prices,” Mr Brighouse said.

Throughout the year Brook’s investment team continued to focus on fundamental research to identify value, including traveling widely to meet with companies and their suppliers.

The Brook Tasman Fund invests in a diversified range of listed companies in New Zealand and Australia and is managed by portfolio manager Slade Robertson.

“The turmoil in financial markets has again demonstrated our ability to achieve above average returns from a disciplined strategy that identifies value in companies likely to deliver performance over the longer term,” Mr Robertson said.

The Brook Tasman Fund was launched in March 2006 and now has assets in excess of NZ$59 million, as at 7 October 2009. Its performance during the past three years, with an average gross return of 13.2 per cent, puts it in the top tier of New Zealand’s managed equity funds. It is typically used by investors looking to gain exposure to a diversified mix of Australian and New Zealand listed companies.

Mr Brighouse said the outlook for the next 12 months remains volatile, but opportunities still exist. Investor confidence is returning to both the Australian and New Zealand sharemarkets, however such recoveries tend to be unpredictable.

“While some investors may remain concerned about the sustainability of the broader recovery, there will be opportunities available in selected companies now that are not going to be so easy to find when broader confidence has returned,” Mr Brighouse said.

ENDS

© Scoop Media