L1 Capital is committed to offering clients best of breed investment products that can deliver exceptional risk adjusted returns. The entire investment team is significantly invested across L1 Capital products.
L1 Capital investment products:
01
L1 Capital Australian Equities Fund is a large cap, long only Australian equities fund. The Fund typically invests in 25-35 high quality companies that are fundamentally undervalued and have a positive outlook. The Fund’s objective is to outperform the S&P / ASX200 Accumulation Index by at least 3% p.a. over the long term.
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L1 Capital Long Short Fund is an absolute return fund that offers investors a highly diversified portfolio of long and short positions based on our fundamental bottom-up research process. The Fund’s objective is to deliver a net return of at least 10% p.a. to investors with considerably less market risk and volatility (on average).
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L1 Capital International Fund was launched in March 2019 and aims to deliver attractive risk-adjusted returns over a long-term investment horizon by investing in high quality companies that it understands well and that have favourable cashflow-based valuations. The portfolio is concentrated with between 20-40 high conviction positions.
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L1 Capital U.K. Residential Property Fund invests in high-yielding residential assets that can deliver strong and growing income, along with significant capital appreciation. It does this by acquiring underperforming or undermanaged UK property assets outside of London, at a discount, repositioning these assets and/or managing the assets more actively. At the appropriate time, the Fund will then sell these assets whether via break up to the retail market or as a portfolio to an institutional investor.
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L1 Capital Global Opportunities Fund (USD) invests in structured investments, such as convertible bonds, along with primary market transactions to deliver strong positive returns to investors. The Fund has an absolute return approach with a strong focus on capital preservation and multi-layered risk management.
L1 Capital Australian Equities Fund
- 2.8% Alpha p.a. (net return since inception) 7.1% versus 4.3% for the S&P / ASX200 Accumulation Index
- One of the best performing large cap, long only funds in Australia.
Note: Performance data current as at 30 June, 2020.
Fund Overview
Fund inception date 23 August 2007
Type of investments Australian shares
Large/small cap Large 70-90%, small 10-30%
Time Horizon At least 5 years
Investor type Retail/sophisticated/wholesale
Positions (typical) 25-35 positions
Cash levels (typical) 0-5%
Investment objective Outperform benchmark by 3% p.a. over rolling three year periods
Benchmark S&P ASX 200 Accum. Index
Tracking error (typical) 4-6%
Gearing No
Shorting No
Minimum investment AUD$25,000
Subscription Daily
Management Fee 0.77% inclusive of GST and RITC
Performance Fee 15.38% above ASX200AI
Fund Performance (%)
| Period | L1 Capital | S&P/ASX200AI | Outperformance |
| One Year | -8.80% | -7.68% | -1.12% |
| Three Years (p.a) | 0.72% | 5.19% | -4.46% |
| Five Years (p.a) | 7.20% | 5.95% | 1.25% |
| Ten Years (p.a.) | 7.90% | 7.80% | 0.10% |
| Since Inception (p.a) | 7.10% | 4.33% | 2.77% |
| Since Inception (cumulative) | 141.82% | 72.57% | 69.25% |
Monthly Performance (Growth of $10,000 invested since inception - Net)
How to invest
To invest in the L1 Capital Australian Equities Fund please download and read the PDS and complete the application form.
Please read the Reference Guide which forms part of the PDS.
You can also contact us for further assistance.
L1 Capital Long Short Fund
- 134.72% net return since inception; 15.74% net return p.a. since inception
- Strong positive returns across a wide range of sectors
- Sharpe Ratio 0.8, Sortino Ratio 1.3
Note: Performance data current as at 30 June, 2020.
Fund Overview
Fund inception date 1 September 2014
Type of investments Australian shares, international shares, index futures, equity derivatives
Investment objective 10% p.a. net return over the long term
Time horizon At least 5 years
Investor type Retail/sophisticated/wholesale
Benchmark None
Gearing Yes
Shorting Yes
Positions (typical) 50-100 positions
International exposure 10-30%
Typical net exposure 30-100%
Max net exposure 150%
Max gross exposure 300%
‘Best Performing Hedge Fund Globally’ in 2015 and ‘Top 20 Hedge Fund Globally’ in 2016, 2017
Winner ‘Best Asian Long/Short Equity Fund’ 2017
Winner Professional Planner | Zenith Fund Awards ‘Australian Equities – Alternative Strategies’ 2017
Monthly Performance (Net)
| Period | Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Year |
| 2014 | - | - | - | - | - | - | - | - | (2.42) | 3.03 | 2.85 | 1.61 | 5.07 |
| 2015 | 0.59 | 9.14 | 2.42 | 1.71 | 3.73 | (0.86) | 3.30 | 2.06 | 5.51 | 8.49 | 8.11 | 4.61 | 60.52 |
| 2016 | 5.81 | 0.59 | 5.47 | 2.46 | 2.78 | (0.89) | 3.22 | 3.92 | 0.46 | (0.18) | 0.55 | 2.13 | 29.43 |
| 2017 | 2.48 | 1.79 | 2.83 | 1.01 | 4.14 | 1.68 | 2.61 | 1.67 | 1.91 | 2.50 | 0.80 | 3.50 | 30.50 |
| 2018 | 0.54 | (0.49) | (1.68) | 1.59 | (3.77) | (6.31) | 0.79 | (5.93) | (2.13) | (4.01) | (2.62) | (6.07) | (26.60) |
| 2019 | 4.33 | 5.14 | 0.19 | 2.82 | (2.80) | 3.84 | 1.16 | 0.41 | 2.59 | 3.34 | 0.30 | 2.19 | 25.87 |
| 2020 | (7.83) | (7.11) | (23.04) | 22.93 | 10.97 | (2.20) | (12.02) |
Fund Performance vs Global Indices (Net)
| Period | Cumulative Return | Annualised Return (p.a.) |
| L1 Capital Long Short Fund (Net) | 134.7 | 15.7 |
| S&P ASX 200 Accumulation Index | 34.3 | 5.2 |
| MSCI World Index Total Return (USD) | 25.9 | 4.0 |
| HFRX Global Hedge Fund Index | 2.2 | 0.4 |
Monthly Class
Fund inception date 1 September 2014
Minimum investment AUD$500,000
Subscription Monthly
Management fee 1.28% p.a. including GST less RITCs
Performance fee 20.5%
Daily Class
Fund inception date 3 October 2016
Minimum investment AUD$25,000
Subscription Daily
Management fee 1.54% p.a. including GST less RITCs
Performance fee 20.5%
Cayman Fund (USD)
Fund inception date 5 January 2017
Minimum investment USD$250,000
Subscription Monthly
Management fee 1.25% p.a.
Performance fee 20.0%
How to invest
To invest in the L1 Capital Long Short Fund please download and read the appropriate PDS (above) and complete the application form.
You can also contact us for further assistance.
L1 Capital International Fund
- L1 Capital International believes that quality and value are the key drivers of long-term shareholder returns and applies a detailed fundamental investment process.
- Capital preservation over the investment horizon is central to our investment philosophy and process.
- Please visit www.L1International.com for additional information on this Fund.
Fund Overview
Fund inception date 1 March 2019
Type of investments High quality global leading companies
Investor type Retail/sophisticated/wholesale
Benchmark MSCI World Net Total Return Index in AUD
Minimum investment AUD$25,000
Subscription Daily
Investment objectives Outperform Benchmark over rolling five year periods (net of fees) and deliver attractive risk-adjusted returns over a medium to long term investment horizon whilst lowering the risk of a permanent loss of capital
Positions 20-40
Cash levels 0-25%, typically around 10%
Gearing No
Shorting No
FX Exposure Unhedged
Management Fee 1.2% inclusive of GST and RITC
Performance Fee 15% above MSCI World Net Total Return Index in AUD subject to any underperformance being recouped. There must be positive absolute performance (adjusted for distributions) in the Performance Period (otherwise positive relative performance is carried forward to the next Performance Period)
Monthly Net Performance (%)
| Period | Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Year |
| 2019 | 0.8 | 5.8 | -2.7 | 4.4 | 2.8 | 1.5 | -0.5 | -0.7 | 4.9 | -1.4 | 15.4 | ||
| 2020 | 6.0 | -2.6 | -8.9 | 2.0 | 3.6 | -2.5 | -3.1 |
Fund Performance* (%)
| Fund (%) | Index**(%) | Excess (%) | |
| 1 Month | -2.5 | -1.0 | -1.5 |
| 3 Month | 3.0 | 6.1 | -3.1 |
| 1 Year | 3.2 | 4.8 | -1.6 |
| Since Inception – 1 March 2019 | 11.8 | 11.1 | 0.7 |
How to invest
To invest in the L1 Capital International Fund please download and read the PDS and complete the application form.
Please read the Reference Guide which forms part of the PDS.
You can also contact us for further assistance. Further information is available at www.L1International.com.
L1 Capital U.K. Residential Property Fund
Fund IV is now open to new investors.
- The objective of the Fund is to deliver clients a net return of at least 10% p.a., including a dividend yield of 6% p.a. (after fees and expenses, before tax).
- The team now manages over 30 residential buildings, comprising more than 2,000 units, valued in excess of A$250m.
- The performance of Funds I and II (which are now fully invested) has exceeded target returns.
- An attractive asset class delivering a strong and defensive income yield with further upside from capital growth.
- High calibre investment team with a track record of adding significant value regardless of general property market trends.
All comments as of 30 June 2020.
Please click here if you would like more information.
Fund Overview
Investment Opportunity
L1 Capital believes the outlook for U.K. residential property (excluding London) offers a compelling opportunity. The combination of high rental yields, low borrowing costs and attractive long-term supply-demand dynamics makes for an attractive investment case. To take advantage of the opportunity, L1 Capital is launching its fourth U.K. Residential Property Fund, having successfully been investing in the strategy since September 2017. The investment strategy is centred on purchasing large blocks of fully tenanted apartments in Tier-1 U.K. cities, adding value throughout the purchase and asset management process.
Investment Objective
The objective of the Fund is to deliver clients a minimum net return of 10% p.a., including a dividend yield of 6% p.a. (after fees and expenses, before tax).
Investment Strategy
The Fund’s strategy is focused on investing in existing and fully tenanted modern residential property in major U.K. cities (excluding London) that provide an attractive and reliable income stream with the potential for capital growth. The Fund typically purchases in bulk and is able to transact at a significant discount to open market values (~20% discount) and rebuild costs (30-40%).
How to invest
The L1 Capital U.K. Residential Property Fund IV is open to new investment.
Fund PDS can be downloaded from the below link:
To find out more, please click here and one of our Investment Specialists will be in touch with you.
L1 Capital Global Opportunities Fund
- Convertibles and deal structuring fund. Managed by David Feldman in New York
- 30.9% net return p.a. since inception
- No negative months since inception
Note: Performance data current as at 31 October, 2017.
Fund Overview
Fund closed Fund closed
Fund inception date 1 June 2015
Geographic exposure Global
Investment objective 10% p.a. net return over the long term
Benchmark None
Investment Focus Primary market transactions including events, convertibles and new issues
Time Horizon At least 5 years
Minimum investment Fund closed
Subscription Fund closed
Management Fee 2%
Performance Fee 20%
Finalist ‘Best Asian Multi-Strategy Fund’ 2017
Monthly Performance (Net)
| Period | Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Year |
| 2015 | 6.30% | 1.13% | 1.36% | 0.16% | 9.90% | 10.47% | 2.54% | 35.84% | |||||
| 2016 | 1.43% | 0.71% | 1.26% | 1.25% | 0.72% | 0.78% | 2.21% | 1.54% | 0.83% | 1.47% | 2.59% | 2.14% | 18.28% |
| 2017 | 1.88% | 2.56% | 0.86% | 0.48% | 0.72% | 1.14% | 0.95% | 2.14% | 2.76% | 4.33% | 19.25% |
Monthly Performance (Net)
How to invest
Please note this Fund is currently closed to new and additional investments.
Please contact us if you would like to be informed if/when the fund reopens.
