About auscap
Auscap is a quality first, value focused Australian equities manager
WHAT WE BELIEVE
Our approach is deliberately simple. We look for great businesses to invest in, and then wait patiently for sensible opportunities to buy.
Quality First
Quality first means investing in businesses that have:
- Competitive advantages resulting in superior economic outcomes and higher returns on capital than competitors
- Opportunities for investment at high incremental rates of return, leading to strong earnings growth
- Simple business models with high and reliable cash generation
- Aligned, often founder led, management teams that respect and value their shareholders
- A sound balance sheet, with a sensible capital structure in place
Value Focused
Value focused is about:
- Evaluating the fundamentals of a business to form a view on company worth
- Having the patience and discipline to invest at prices that are at or below fair value
- Investing more capital in higher conviction opportunities
High Conviction
Auscap’s investment style is defined by:
- Portfolios of typically 30-60 positions, reflecting high conviction in selected ideas.
- Active management by a focused, experienced Australian equities team
- Long-only strategies, seeking to deliver strong absolute returns over time
Our Approach
Quality First
Auscap focuses on investing in companies that demonstrate:
- Durable competitive advantages and industry leadership.
- Attractive reinvestment opportunities that drive superior long-term earnings growth.
- Clear, understandable business models that deliver predictable performance.
- Shareholder-aligned management with a track record of value creation.
- Robust financial positions, including low debt and solid cash flows.
Long-Term
Auscap maintains a long-term perspective by:
- Targeting companies that can compound value over many years.
- Avoiding short-term market noise, focusing instead on fundamentals.
- Holding positions through cycles, allowing investment theses time to play out.
- Exhibiting patience and discipline, key traits in realising enduring value.
Diligent
Auscap uses a rigorous and disciplined investment process that includes:
- In-depth research to evaluate competitive position, financial strength and industry dynamics.
- Continuous monitoring of portfolio companies to assess ongoing performance and risks.
- Detailed analysis of management integrity and strategic execution.
- Strong risk management, ensuring positions align with portfolio objectives.
Aligned
Auscap fosters alignment with its investors by:
- Co-investing in the funds alongside clients, ensuring shared outcomes.
- Maintaining transparency in its investment philosophy and portfolio positioning.
- Embedding ESG considerations into investment decision-making.
- Demonstrating accountability through consistent communication and a long-term value focus.
Have any questions?
Feel free to contact us through the form below, or use the following contact details to speak with our team. We’re committed to ensuring that you feel informed and confident in your investment decisions.
