Pengana Emerging Companies Fund Webinar Update

Webinar Sections:

Introduction & Fund Overview

Reporting Season & Market Update

Portfolio Activity & Stock Highlights

Q&A

In this webinar, Co-Portfolio Manager Ed Prendergast outlined the Fund’s performance, market outlook, and recent portfolio moves.

Key topics discussed:

• Performance: 6.3% p.a. outperformance over 21 years, delivering approximately 3x the capital growth of the index; only three periods of 12-month underperformance since inception.
• Process: Industrial-only, two-person team unchanged since inception; profitable, well-managed businesses only; DCF-based valuations with a 3 to 5 year horizon; 55 to 60 stock portfolio.
• Market themes: Two key headwinds were AI-related selloffs impacting technology stocks and Iran/oil price uncertainty weighing on consumer and retail sentiment.
• Portfolio activity: Added to Hub24 and Generation Development; new position in MA Financial; exited Jumbo and trimmed Technology One.
• Outlook: Volatility viewed as opportunity; team remains disciplined and confident that patient ownership of quality businesses through dislocation has historically driven the strongest periods of outperformance.