Chris Prunty, Investment Analyst at Ausbil Investment Management shares some insights into why he has been adding Equity Trustees to his portfolio

Livewire Exclusive

Livewire Markets

Chris Prunty, Investment Analyst at Ausbil Investment Management shares some insights into why he has been adding Equity Trustees to his portfolio. We bought Equity Trustees both in the capital raise they did to fund the acquisition of the ANZ trustee business and in the aftermarket. EQT has a high degree of earnings certainty and quality earnings given that a proportion of their Funds Under Management is permanent and highly sticky in nature (e.g. they administer charitable trusts). We think the market underestimates the quality of EQT's earnings but are happy to wait for a re-rating as the capital light nature of the business sustains a high payout ratio and forward yield of over 5%.


Livewire Exclusive
Livewire Markets

Livewire Exclusive brings you exclusive content from a wide range of leading fund managers and investment professionals.

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.

Comments

Sign In or Join Free to comment