K2 has six investment funds focused on Australian, Asian and International equities markets. Since inception each fund has consistently delivered solid returns for our investors.

Vigilance Rewards

K2’s performance is based on our unique approach: a flexible mandate to adapt to volatile equity markets, high conviction stock selection and a tested investment process. Our managers rely on their own research, intelligence and depth of experience together with market analysis and direct contact with companies to make investment decisions that deliver.

KSM - K2 Australian Small Cap Fund (Hedge Fund)

The K2 Australian Small Cap Fund (KSM) provides investors with the opportunity to invest in a diversified Australian Small / Mid cap equities fund directly via the ASX. The fund’s units trade on the ASX market, meaning investors can buy and sell units via their own online broker account, stockbroker or financial planner.

The K2 Australian Small Cap Fund has a mandate to invest both long and short, seeking to provide investors with absolute returns. Through the active management of equity and cash exposure this strategy has delivered significant returns to clients since the funds inception in 2013.

Developed with the self-managed super fund in mind the K2 Small Cap Fund provides investors ease of access to a market segment that would otherwise not be present in their portfolios.

If you would like to receive the Target Market Determination (TMD) for this Fund please contact us at invest@k2am.com.au


Click here for important information about this rating.

ASX Ticker KSM
Intraday Indicative NAV (iNAV) A$2.25* as at 4:15PM 9th Dec 2022
*quoted ex-distribution
Structure Australian Small Cap Equities Fund
Inception 1 December 2013
Management Fee 1.31% p.a. (incl. GST & RITC)
Performance Fee 15.38% p.a. (incl. GST & RITC) of the amount by which the NAV exceeds the High Water Mark. The fund must also exceed a net 6% p.a. hurdle before a performance fees applies on total performance.
ARSN 166 480 584

K2 Australian Small Cap Fund investment philosophy

At K2, we focus on delivering superior risk adjusted returns for our clients over the long term. We invest in equities to generate positive returns and aim to preserve our clients’ capital when market conditions change.

K2 has a flexible investment style as we believe that there is no one uniform cycle across the investment universe. By adopting the most appropriate style (for example, growth, value, momentum or income) that is best suited to the current market conditions allows K2 to maximise risk-adjusted returns.  Investment opportunities can come from any number of areas and as a result K2 incorporates top down macro-economic analysis with bottom up stock selection.

Each of K2’s experienced investment managers brings their own investment style and methodology to our portfolios, combining their individual research with direct contact with companies.  Investment managers are encouraged to invest autonomously and pursue investment opportunities within a well-documented framework.  As a result, K2’s portfolios tend to be high conviction and index unaware.  The investment team will always examine key investment variables, however, it is the team’s ability to identify major investment themes and catalysts on a timely basis that gives K2 its competitive advantage. 

In addition to identifying undervalued stocks, K2 has the ability to actively manage equity market exposure and currency exposure as well as having the ability to short sell. These provide K2’s portfolio managers with additional tools to deliver superior risk adjusted returns for our clients.

The K2 Australian Small Cap Fund seeks to add value by investing in mis-priced stocks, where a company’s fundamental value has not yet been recognised by the market.

K2's assessment of a company's management, industry structure and valuation leads to investments in high quality companies in industries with structural growth or which have barriers to entry for competitors.

The portfolio is constructed primarily via a bottom up investment process which identifies K2's highest conviction ideas. If there are limited opportunities in the equity market the fund will hold cash until profitable opportunities are uncovered.

Investment Process

The K2 Australian Small Cap Fund seeks to add value by investing in mis-priced stocks, where a company’s fundamental value has not yet been recognised by the market.

K2's assessment of a company's management, industry structure and valuation leads to investments in high quality companies in industries with structural growth or which have barriers to entry for competitors.

The portfolio is constructed primarily via a bottom up investment process which identifies K2's highest conviction ideas. If there are limited opportunities in the equity market the fund will hold cash until profitable opportunities are uncovered.

Management quality is assessed via:

  • Track record
  • Execution of business strategies
  • Capital Management
  • Alignment of interests with shareholders

Industry Structure is assessed via:

  • Growth outlook, supply and demand
  • Barriers to entry, potential competition
  • Regulatory environment
  • Substitutes
  • Pricing Power

Valuations are monitored on a relative basis with EPS growth and PER forming the criteria for determining current value and identifying when the intrinsic value assessment is reached.

In assessing intrinsic value, stock liquidity is a key consideration. As a high conviction portfolio with an ability to hold cash, monitoring valuations helps set realistic price targets.

 

Performance Since Inception

Past performance is not a reliable indicator of future performance. View Full Disclaimer.

Sector Equity Exposure

Graph represents sector equity exposure as at 30/11/2022

KSM Daily Pricing Performance

DateNAV
08/12/222.25
07/12/222.26
06/12/222.30
05/12/222.33
01/12/222.34
30/11/222.32
29/11/222.29
28/11/222.30
25/11/222.30
24/11/222.29
23/11/222.30
22/11/222.28
21/11/222.27
18/11/222.29
17/11/222.28

Download Daily Pricing Performance CSV

K2 Australian Fund

The K2 Australian Fund invests in listed equities in both Australia and New Zealand. The fund aims to deliver long term growth by capitalising on investment opportunities present in all market cycles.

The K2 Australian Fund has a mandate to invest both long and short, seeking to provide investors with absolute returns.

Through the active management of equity and cash exposure, this strategy has delivered significant returns to clients since the fund’s inception in 1999.

K2 Australian Fund Performance
at: 30 November 2022 Net of fees
1 year
%
3 year
% p.a
5 year
% p.a
7 year
% p.a
10 year
% p.a
Since
Inception
% p.a
K2 Australian Fund -10.7% 8.3% 2.2% 1.8% 2.8% 9.2%

K2 Australian Fund investment philosophy

At K2, we focus on delivering superior risk adjusted returns for our clients over the long term. We invest in equities to generate positive returns and aim to preserve our clients’ capital when market conditions change.

K2 has a flexible investment style as we believe that there is no one uniform cycle across the investment universe. By adopting the most appropriate style (for example, growth, value, momentum or income) that is best suited to the current market conditions allows K2 to maximise risk-adjusted returns.  Investment opportunities can come from any number of areas and as a result K2 incorporates top down macro-economic analysis with bottom up stock selection.

Each of K2’s experienced investment managers brings their own investment style and methodology to our portfolios, combining their individual research with direct contact with companies.  Investment managers are encouraged to invest autonomously and pursue investment opportunities within a well-documented framework.  As a result, K2’s portfolios tend to be high conviction and index unaware.  The investment team will always examine key investment variables, however, it is the team’s ability to identify major investment themes and catalysts on a timely basis that gives K2 its competitive advantage. 

In addition to identifying undervalued stocks, K2 has the ability to actively manage equity market exposure and currency exposure as well as having the ability to short sell. These provide K2’s portfolio managers with additional tools to deliver superior risk adjusted returns for our clients.

If you would like to receive the Target Market Determination (TMD) for this Fund please contact us at invest@k2am.com.au

Investment Process

High Conviction Risk Controlled Ungeared Benchmark Unaware

K2 Australian Fund

Investment Team

Portfolio Managers
Currency Strategist
Range Committee

Cash Allocation

Range 0 - 100%
Macro top-down view

Shorting

Additional source of alpha Company specific

Liquidity

FUM Constrained

Currency Hedging

Protect offshore returns
Not a trading strategy

Stop Losses

Trigger Process
Sell losers / run winners
Constantly reviewed

Performance Since Inception

Past performance is not a reliable indicator of future performance. View Full Disclaimer.

Sector Equity Exposure

Graph represents sector equity exposure as at 30/11/2022

K2 Australian Fund Daily Pricing Performance

DateEntryNAVExitDistribution
08/12/22130.66130.33130-
07/12/22132.41132.08131.75-
06/12/22134133.67133.34-
05/12/22135.71135.37135.03-
01/12/22136.14135.8135.46-
30/11/22135.18134.84134.5-
29/11/22134.17133.84133.51-
28/11/22134.8134.46134.12-
25/11/22135.15134.81134.47-
24/11/22134.11133.78133.45-
23/11/22133.88133.55133.22-
22/11/22132.69132.36132.03-
21/11/22132.27131.94131.61-
18/11/22133.34133.01132.68-
17/11/22132.92132.59132.26-

All Prices in AUD. Download Daily Pricing Performance CSV

K2 Select International Fund

The K2 Select International Fund invests in listed equities throughout global markets. The fund aims to deliver long term growth by capitalising on investment opportunities present in all market cycles.

The K2 Select International Fund has a mandate to invest both long and short, seeking to provide investors with absolute returns.

Through the active management of equity, cash exposure and currency hedging, this strategy has delivered significant returns to clients since the fund’s inception in 2005.

K2 Select Int Fund Performance
at: 30 November 2022 Net of fees
1 year
%
3 year
% p.a
5 year
% p.a
7 year
% p.a
10 year
% p.a
Since
Inception
% p.a
K2 Select International Fund -20.6% 2.4% 0.5% 0.3% 3.5% 7.5%

K2 Select International Fund investment philosophy

At K2, we focus on delivering superior risk adjusted returns for our clients over the long term. We invest in equities to generate positive returns and aim to preserve our clients’ capital when market conditions change.

K2 has a flexible investment style as we believe that there is no one uniform cycle across the investment universe. By adopting the most appropriate style (for example, growth, value, momentum or income) that is best suited to the current market conditions allows K2 to maximise risk-adjusted returns.  Investment opportunities can come from any number of areas and as a result K2 incorporates top down macro-economic analysis with bottom up stock selection.

Each of K2’s experienced investment managers brings their own investment style and methodology to our portfolios, combining their individual research with direct contact with companies.  Investment managers are encouraged to invest autonomously and pursue investment opportunities within a well-documented framework.  As a result, K2’s portfolios tend to be high conviction and index unaware.  The investment team will always examine key investment variables, however, it is the team’s ability to identify major investment themes and catalysts on a timely basis that gives K2 its competitive advantage. 

In addition to identifying undervalued stocks, K2 has the ability to actively manage equity market exposure and currency exposure as well as having the ability to short sell. These provide K2’s portfolio managers with additional tools to deliver superior risk adjusted returns for our clients.

If you would like to receive the Target Market Determination (TMD) for this Fund please contact us at invest@k2am.com.au

Investment Process

High Conviction Risk Controlled Ungeared Benchmark Unaware

K2 Select International Fund

Investment Team

Portfolio Managers
Currency Strategist
Range Committee

Cash Allocation

Range 0 - 100%
Macro top-down view

Shorting

Additional source of alpha Company specific

Liquidity

FUM Constrained

Currency Hedging

Protect offshore returns
Not a trading strategy

Stop Losses

Trigger Process
Sell losers / run winners
Constantly reviewed

Performance Since Inception

Past performance is not a reliable indicator of future performance. View Full Disclaimer.

Geographic Equity Exposure

Graph represents geographic equity exposure as at 30/11/2022

K2 Select International Fund Daily Pricing Performance

DateEntryNAVExitDistribution
08/12/22114.12113.84113.56-
07/12/22115.41115.12114.83-
06/12/22116.47116.18115.89-
05/12/22117.97117.68117.39-
01/12/22118.33118.03117.73-
30/11/22117.98117.69117.4-
29/11/22115.77115.48115.19-
28/11/22115.38115.09114.8-
25/11/22115.59115.3115.01-
24/11/22115114.71114.42-
23/11/22115.55115.26114.97-
22/11/22114.7114.41114.12-
21/11/22113.7113.42113.14-
18/11/22114.67114.38114.09-
17/11/22114.74114.45114.16-

All Prices in AUD. Download Daily Pricing Performance CSV

K2 Asian Fund

The K2 Asian Fund invests in listed equities throughout the Asian Pacific region ex Japan. The fund aims to deliver long term growth by capitalising on investment opportunities present in all market cycles.

The K2 Asian Fund has a mandate to invest both long and short, seeking to provide investors with absolute returns.

Through the active management of equity, cash exposure and currency hedging, this strategy has delivered significant returns to clients since the fund’s inception in 1999.

K2 Asian Fund Performance
at: 30 November 2022 Net of fees
1 year
%
3 year
% p.a
5 year
% p.a
7 year
% p.a
10 year
% p.a
Since
Inception
% p.a
K2 Asian Fund -18.5% -2.7% -1.1% -1.2% 1.1% 7.2%

K2 Asian Fund investment philosophy

At K2, we focus on delivering superior risk adjusted returns for our clients over the long term. We invest in equities to generate positive returns and aim to preserve our clients’ capital when market conditions change.

K2 has a flexible investment style as we believe that there is no one uniform cycle across the investment universe. By adopting the most appropriate style (for example, growth, value, momentum or income) that is best suited to the current market conditions allows K2 to maximise risk-adjusted returns.  Investment opportunities can come from any number of areas and as a result K2 incorporates top down macro-economic analysis with bottom up stock selection.

Each of K2’s experienced investment managers brings their own investment style and methodology to our portfolios, combining their individual research with direct contact with companies.  Investment managers are encouraged to invest autonomously and pursue investment opportunities within a well-documented framework.  As a result, K2’s portfolios tend to be high conviction and index unaware.  The investment team will always examine key investment variables, however, it is the team’s ability to identify major investment themes and catalysts on a timely basis that gives K2 its competitive advantage. 

In addition to identifying undervalued stocks, K2 has the ability to actively manage equity market exposure and currency exposure as well as having the ability to short sell. These provide K2’s portfolio managers with additional tools to deliver superior risk adjusted returns for our clients.

If you would like to receive the Target Market Determination (TMD) for this Fund please contact us at invest@k2am.com.au

Investment Process

High Conviction Risk Controlled Ungeared Benchmark Unaware

K2 Asian Fund

Investment Team

Portfolio Managers
Currency Strategist
Range Committee

Cash Allocation

Range 0 - 100%
Macro top-down view

Shorting

Additional source of alpha Company specific

Liquidity

FUM Constrained

Currency Hedging

Protect offshore returns
Not a trading strategy

Stop Losses

Trigger Process
Sell losers / run winners
Constantly reviewed

Performance Since Inception

Past performance is not a reliable indicator of future performance. View Full Disclaimer.

Geographic Equity Exposure

Graph represents geographic equity exposure as at 30/11/2022

K2 Asian Fund Daily Pricing Performance

DateEntryNAVExitDistribution
08/12/22149.85149.48149.11-
07/12/22152.33151.95151.57-
06/12/22153.83153.45153.07-
05/12/22155.39155154.61-
01/12/22156.71156.32155.93-
30/11/22156.17155.78155.39-
29/11/22154.19153.81153.43-
28/11/22153.93153.55153.17-
25/11/22154153.62153.24-
24/11/22153.36152.98152.6-
23/11/22153.53153.15152.77-
22/11/22152.8152.42152.04-
21/11/22152.88152.5152.12-
18/11/22154.1153.72153.34-
17/11/22153.51153.13152.75-

All Prices in AUD. Download Daily Pricing Performance CSV

K2 Global High Alpha Fund

The K2 Global High Alpha Fund aims to deliver long term growth by capitalising on undervalued companies through all market cycles.

The K2 Global High Alpha Fund has a mandate to invest both long and short, seeking to provide investors with absolute returns.

Through the active management of equity, cash exposure and currency hedging, this strategy has delivered significant returns to clients since the funds inception in 2009.

K2 Global Alpha Fund Performance
at: 30 November 2022 Net of fees
1 year
%
3 year
% p.a
5 year
% p.a
7 year
% p.a
10 year
% p.a
Since
Inception
% p.a
K2 Global Alpha Fund -22.3% 4.2% -1.7% 0.1% N/A 10.2%

K2 Global High Alpha Fund investment philosophy

At K2, we focus on delivering superior risk adjusted returns for our clients over the long term. We invest in equities to generate positive returns and aim to preserve our clients’ capital when market conditions change.

K2 has a flexible investment style as we believe that there is no one uniform cycle across the investment universe. By adopting the most appropriate style (for example, growth, value, momentum or income) that is best suited to the current market conditions allows K2 to maximise risk-adjusted returns.  Investment opportunities can come from any number of areas and as a result K2 incorporates top down macro-economic analysis with bottom up stock selection.

Each of K2’s experienced investment managers brings their own investment style and methodology to our portfolios, combining their individual research with direct contact with companies.  Investment managers are encouraged to invest autonomously and pursue investment opportunities within a well-documented framework.  As a result, K2’s portfolios tend to be high conviction and index unaware.  The investment team will always examine key investment variables, however, it is the team’s ability to identify major investment themes and catalysts on a timely basis that gives K2 its competitive advantage. 

In addition to identifying undervalued stocks, K2 has the ability to actively manage equity market exposure and currency exposure as well as having the ability to short sell. These provide K2’s portfolio managers with additional tools to deliver superior risk adjusted returns for our clients.

If you would like to receive the Target Market Determination (TMD) for this Fund please contact us at invest@k2am.com.au

Investment Process

High Conviction Risk Controlled Ungeared Benchmark Unaware

K2 Global High Alpha Fund

Investment Team

Portfolio Managers
Currency Strategist
Range Committee

Cash Allocation

Range 0 - 100%
Macro top-down view

Shorting

Additional source of alpha Company specific

Liquidity

FUM Constrained

Currency Hedging

Protect offshore returns
Not a trading strategy

Stop Losses

Trigger Process
Sell losers / run winners
Constantly reviewed

Performance Since Inception

Past performance is not a reliable indicator of future performance. View Full Disclaimer.

Geographic Equity Exposure

Graph represents geographic equity exposure as at 30/11/2022