NAOS Ex-50 Opportunities Co. Ltd. · ASX:NAC
NAOS Ex-50 Opportunities — NAOS Absolute Opportunities Company — Q1 2018 Earnings Presentation
23 slides from NAOS Ex-50 Opportunities's earnings presentation, Oct 30, 2017
Slide 1: Quarterly Investor Briefing Q1 FY2018
For personal use only QUARTERLY INVESTOR BRIEFING Q1 FY2018 NAOS ABSOLUTE OPPORTUNITIES COMPANY LIMITED (ASX: NAC)
Slide 2: Important Information
IMPORTANT INFORMATION For personal use only This material has been prepared by NAOS Asset Management Limited (ABN 23 107 624 126, AFSL 273529) (NAOS) for general information purposes only and must not be construed as investment advice. It does not constitute an offer to purchase any security or fina
Slide 3: Call Details
CALL DETAILS For personal use only Date Monday, 30 October 2017 Time 1:30 pm AEDT Telephone Within Australia: 1800 857 029 Outside Australia: +61 3 8687 0635 New Zealand: 0800 449 288 Guest Access Code 1084 2873# Questions Please email all questions to enquiries@naos.com.au prior to the allotted cal
Slide 4: NAC Agenda
NAC AGENDA For personal use only 1. NAC Q1 FY18 • Performance • Capital Analysis Review • Portfolio Characteristics • Stock Contribution (Since Inception) • Dividend History • Total Return • Net Industry Exposure • Net Equity Exposure • Company Meetings 2. Market Outlook • Sustainable Economic Growt
Slide 5: 1. NAC Review
For personal use only 1. NAC Review ”It is impossible to produce a superior return unless you do something different to the majority” Sir John Templeton
Slide 6: NAC Performance
NAC PERFORMANCE For personal use only 1 Month 6 Month 1 Year 2 Years Inception Inception (p.a.) (p.a.) (nom.) NAC Investment +1.22% -0.85% -4.39% +18.14% +16.11% +53.83% Portfolio Performance* Benchmark (RBA Cash +0.35% +2.14% +4.33% +4.84% +4.70% +14.14% Rate + 250bps) Relative Performance +0.87% -
Slide 7: NAC Capital Analysis
NAC CAPITAL ANALYSIS As at 30 September 2017 For personal use only NTA $1.09 $1.11 $1.08 Pre Tax NTA Post Tax & Pre Post Tax NTA Unrealised Gains Tax SHARE PRICE $1.005 7.80% Share Price Discount to Pre Tax NTA SHARES ON ISSUE 52,536,889 DIRECTORS SHAREHOLDING 6,693,760 NUMBER OF HOLDINGS 15 *Invest
Slide 8: NAC Portfolio Characteristics
NAC PORTFOLIO CHARACTERISTICS For personal use only As at 30 September 2017 POSITIVE MONTHS 63% 60% XAOAI# STANDARD DEVIATION 9.18% 11.21% XAOAI# DOWNSIDE DEVIATION 3.02% 6.91% XAOAI# CORRELATION OF RETURNS TO 0.39 XAOAI SORTINO RATIO 5.33 PORTFOLIO BETA 0.21 *Investment performance is post all oper
Slide 9: NAC Positive Stock Attribution Summary (Since Inception)
NAC POSITIVE STOCK ATTRIBUTION SUMMARY (SINCE INCEPTION) AS AT 30 SEPTEMBER 2017 For personal use only Positive Stock Contribution Analysis (Contribution is what has attributed to NAC’s performance since Inception of 12 November 2014) The table below lists the top positive contributors to NAC’s tota
Slide 10: NAC Dividend History
NAC DIVIDEND HISTORY AS AT 30 SEPTEMBER 2017 For personal use only Net Yield 4.98% | Franking 100% | Gross Yield 7.11% Fully Franked Dividends $0.0500 $0.05 $0.0475 $0.04 $0.03 Part Year $0.0200 $0.02 $0.01 $0.00 FY2015 FY2016 FY2017 Long Term Value Investing | Copyright 2017 NAOS Asset Management L
Slide 11: NAC Total Return
NAC TOTAL RETURN AS AT 30 SEPTEMBER 2017 For personal use only Historical Shareholder Return Breakdown* $0.1200 $0.12 $0.10 $0.0925 $0.0900 $0.08 $0.06 $0.0396 $0.04 $0.02 $0.00 Franking Dividends NACO Options NTA (Pre-Tax) *All figures as at 30 September 2017. Assumes an intrinsic NACO value of $0.
Slide 12: NAC Net Industry Exposure
NAC NET INDUSTRY EXPOSURE AS AT 30 SEPTEMBER 2017 For personal use only Financials 22.57% Commercial Services 18.35% Telecommunications 17.64% Media 15.30% Food & Beverage 6.19% Software 6.05% Health Care 4.75% Materials 3.36% Capital Goods 1.75% Household Products -1.36% -10% 0% 10% 20% 30% Long Te
Slide 13: NAC Net Equity Exposure
NAC NET EQUITY EXPOSURE AS AT 30 SEPTEMBER 2017 For personal use only Net Equity Weighting Cash and Cash Equivalents Weighting Short Exposure 120% 100% 94.86% 80% 60% 40% 20% 5.14% 0% -1.36% -20% -40% -60% Nov-14 Feb-15 May-15 Aug-15 Nov-15 Feb-16 May-16 Aug-16 Nov-16 Feb-17 May-17 Aug-17 Long Term
Slide 14: NAC Company Meetings
NAC COMPANY MEETINGS For personal use only The NAOS investment philosophy is based around the belief that for a company to succeed and generate strong returns for shareholders it must be led by a motivated, proven and experienced management team. The NAOS Investment Team has direct contact with many
Slide 15: 2. Market Outlook
For personal use only 2. Market Outlook “ It's a huge amount, one and half times the size of the mining boom, and people tend to lose sight of it [new infrastructure spending] because it's scattered around Australia.” Craig James, Commsec
Slide 16: Sustainable Economic Growth
SUSTAINABLE ECONOMIC GROWTH For personal use only Long Term Value Investing | Copyright 2017 NAOS Asset Management Limited 16
Slide 17: Sustainable Economic Growth
SUSTAINABLE ECONOMIC GROWTH For personal use only Source: NAB Monthly Business Survey September 2017 Long Term Value Investing | Copyright 2017 NAOS Asset Management Limited 17
Slide 18: NAC Stocks
NAC 3 STOCKS For personal use only MNF Group (ASX: MNF) • Market Cap $400m • Software Services • NAOS position since: early 2015 Elders Limited (ASX: ELD) • Market Cap $550m • Agricultural Producers • Held in NAC since: early 2017 Long Term Value Investing | Copyright 2017 NAOS Asset Management Limi
Slide 19: NAC Stocks
NAC 3 STOCKS For personal use only Virtus Health (ASX: VRT) • Market Cap $450m • Health Care Services • Held in NAC until early 2017 Long Term Value Investing | Copyright 2017 NAOS Asset Management Limited 19
Slide 20: NAOS Investment Beliefs
NAOS INVESTMENT BELIEFS For personal use only We believe success is achieving returns for our investors, over a three to five year period, better than and without correlation to the broader market with less risk of permanent capital loss. We see value in the sharing of ideas with our investment comm
Slide 21: 3. Keeping up to Date
For personal use only 3. Keeping up to Date “The market can remain irrational longer than you can remain solvent.” – John Maynard Keynes
Slide 22: Investor Awareness and Communications
INVESTOR AWARENESS AND COMMUNICATIONS For personal use only CEO Insights, Quarterly Monthly The news and Twice yearly Weekly NAOS Shareholder Investment Report media section of National Newsletter, Conference Calls, & NTA email our website is Roadshow subscribe via our subscribe via our updates, sub
Slide 23: NAOS Team and Board
NAOS TEAM For personal use only THE BOARD Sebastian Evans Mark Bennett Warwick Evans David O’Halloran David Rickards Managing Director, NAOS Asset Director, NAOS Asset Chairman, NAOS Asset Director, NAOS Asset Chairman & Director, Management Limited & Management Limited Management Limited & Manageme
NAOS Absolute Opportunities Company — Q1 2018 Earnings Presentation on 6ix