Sharechat Logo

Fat Funds seeks A$40 million

Wednesday 16th February 2005

Text too small?
Australian-based investment tipsheet Fat Prophets is seeking to raise A$40 million for a listed investment trust, although it has no track record managing money.

The "Fat Fund" will issue 40 million stapled securities at A$1 each, representing one share (A$1) and one option, exercisable at A$1 within three years.

Fat Prophets New Zealand-born co-founder Angus Geddes says the fund is being created in direct response to strong demand by more than 7,000 Fat Prophets' subscribers.

"Many of our subscribers include New Zealanders, so this provides ready access to a listed Australasian vehicle that expertly invests in diversified value-based, liquid stocks."

He says the fund is a separate entity to the publishing business and it has an independent board of directors, risk and investment committee.

The fund has the ability to pick shares regardless of the Fat Prophets' reports.

The fund expects its investment portfolio will contain between 25 and 80 stocks. The company will seek out value and can hold 30% of its portfolio to be held outside its benchmark - the S&P/ASX 300 Accumulation Index.

The Fat Fund's chief executive is David Shearwood, "a well-known value investor" who has 18 years of analytical experience in funds management, investment banking and stock broking in Australia. Steve O'Hanna is senior fund manager and he joins the business from Advance Asset Management.

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

SML - Synlait Milk Limited - Trading Halt of Securities
AIA - Auckland Airport announces board chair changes
AIA - Auckland Airport announces board chair changes
CEN - Tauhara commissioning progress update
FPH initiates voluntary limited recall
March 28th Morning Report
KFL Celebrates 20 Years of Excellence in Investment Mgmt.
SVR - Savor FY24 Earnings Guidance & Change in Banking Partner
NZK - NZ King Salmon Investments Limited FY24 Results
March 27th Morning Report