Australian Growth Fund

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    Unit price

    $7.1125

    as at 26/05/2025
    See fund overview

    Performance chart

     

    * S&P/ASX 200 Accumulation Index 70% hedged into NZD (1/4/2015 to now) S&P ASX 300 Industrials ex top 20 70% hedged to NZD (1/2/2012 - 31/3/2015) S&P/ASX Small Industrials Index (Inception to 31/1/2012)

    Fund performance figures are after deductions for charges but before tax. Please note that past performance is not necessarily indicative of future returns. Returns can be positive or negative, and returns over different time periods may vary. No returns are promised or guaranteed.

    Fund highlights

    April 2025

    In April the Australian Growth Fund rose +2.4%, alongside the benchmark index which returned +2.9% despite the US tariff related uncertainty.

    The Australian share market's return was broad based with 10 of the 11 sectors delivering positive returns in the month. Communication Services (+6.5%), Information Technology (+6.4%) and the Consumer Discretionary (+6.0%) sectors performed the best. Energy (-7.7%) and the mining heavy Materials (+0.7%) sectors performed the worst.

    New addition to the portfolio, Pinnacle (+23%) was our best performing position. Led by a strong management team, Pinnacle has carved out a strong leadership position in providing fund managers with best-in-class infrastructure and funding where required. Founded in Australia, Pinnacle has expanded its reach internationally to include customers in Canada and the UK. It has a sound track record of growth and with international expansion a key focus, this growth runway has a long way to go. Equity market volatility during April provided us with a brief window to initiate a position in Pinnacle and we're looking forward to catching up with their management team in early May.

    Ansell (-10%) fell following the announcement of a new tariff regime by the US, with the company deriving around 43% of its revenue from the US. Most of the products it sells there are sourced from its own manufacturing facilities or third-party suppliers located in Malaysia and Sri Lanka. The proposed tariff rates for these two countries are 24% and 44%, respectively. While these are high rates, Ansell’s major competitors are also located in these regions, so they face similar potential headwinds, and Chinese producers face even higher tariffs. There is negligible glove or body protection manufacturing capacity in the US, so local production cannot be substituted for imports. Against this backdrop, Ansell plans to fully offset tariff increases through pricing. The market seems sceptical given the share price weakness in April. We are a little more positive as Ansell has historically demonstrated its ability to recover higher input costs via modest price rises in the financial years 2022, 2023, and the second half of 2025, and the use of PPE being largely non-discretionary. Ansell reiterated guidance for 2025 financial year earnings growth of +12-28%.

    Portfolio Team

      Our Managed Funds

      • Conservative Fund

        Aims to provide stable returns over the long term by investing mainly in income assets with a modest allocation to growth assets.

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      • Growth Fund

        Aims to grow your investment over the long term by investing mainly in growth assets.

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      • Income Fund

        Aims to provide stable returns over the long term by investing in New Zealand and international fixed interest assets.

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      • Property & Infrastructure Fund

        Focuses on growth of your investment over the long term by investing in New Zealand and international property and infrastructure assets.

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      • New Zealand Growth Fund

        Focuses on growth of your investment over the long term by investing in quality New Zealand companies which can consistently produce increasing earnings.

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      • Australian Growth Fund

        Focuses on growth of your investment over the long term by investing in quality Australian companies which can consistently produce increasing earnings.

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      • International Growth Fund

        Focuses on growth of your investment over the long term by investing in quality international companies which can consistently produce increasing earnings.

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