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Sydney fund manager lists global equity LIC

Australian-based fund manager PM Capital has listed its first listed investment company (LIC) on the Australian Securities Exchange after receiving strong support from offshore investors.

The PM Capital Global Opportunities Fund Limited (PFG) raised almost $174 million from 3,700 investors, with high demand reflective of a growing investor appetite for offshore investments, PFG chairman Andrew McGill said.

“Australian investors are increasingly appreciating the opportunities offshore markets can offer,” Mr McGill said.

“With the dollar still relatively strong compared to historic levels, investors with a medium-term investment horizon will benefit not only from the potential growth of the underlying investments, but also from returns that may be achieved if the dollar weakens further.”

Those involved in the listing included Ord Minnett, Taylor Collison, Bell Potter and Morgans, Macquarie, Hartley Poynton, Forsyth Barr and Evans & Partners.

“This is an investment opportunity that has been well and truly understood and embraced by 3,700 investors allocating over $173 million,” PM Capital chief executive Chris Donohoe said.

“The company will benefit these investors by expanding their portfolios offshore where there is a greater breadth of opportunity, a superior risk reward, and all at a time when the currency remains at artificially elevated levels.”

The company’s proposed investment mandate has been based on the guidelines of the PM Capital Absolute Performance Fund (APF), which has achieved a total return of 212.9 per cent since its inception in October 1998.