Fund update | January 2017
Domestic small-cap stocks came under pressure in January which saw our flagship OC Premium Small Companies Fund finish the month down 2.4% in line with the S&P/ASX Small Ordinaries Accumulation Index.
Positive contributions came from diversified marketing and print communications provider, IVE Group, and global multi-boutique manager, Pacific Current Group.
Despite experiencing a challenging 12 months, the Fund maintains a strong long-term track record delivering investors 16.2% p.a. over the past five years.
Weakened domestic economy
The domestic economy remains fragile evidenced by the high number of earnings revisions for Australian small companies, a theme that has continued unabated into the new year. At its recent February meeting, the RBA board noted the weak economic data but stated it expects the economy to return to “reasonable” growth.
February reporting season
Reporting season has begun with the team busy meeting the management of our core holdings. We look forward to reporting back to investors in March and remain upbeat on the prospects of our portfolios over the coming year.
January 2017 fund reports