| ANNUALIZED SINCE INCEPTION | QUARTERLY | YTD |
|---|---|---|
| 7.4% | 0.4% | 2.6% |
| 2025 |
|---|
| 2.6% |
The Devon Alpha Fund delivered a modest 0.2% return in December, bringing the full-year 2025 return to 2.6%. The concentrated strategy focuses on 10-15 select companies from New Zealand and Australian markets, with active currency hedging. Key contributors included Capstone Corporation (+14.9%) and Freightways (+3.6%), while Infratil (-5.1%) and Summerset (-2.1%) detracted due to profit-taking despite being successful holdings over the year. The fund maintains a copper theme through Capstone Copper, benefiting from structural supply constraints and growing demand from electric vehicles, renewable energy, and infrastructure upgrades. The manager has fully hedged Australian dollar exposure, demonstrating disciplined risk management by only taking investment risk in areas of high confidence. Despite disappointing performance in the final six months of 2025, the manager expresses high conviction that current holdings will deliver strong risk-adjusted returns in 2026. The portfolio allocation is 54% New Zealand equities, 37.3% Australian equities, and 8.7% cash.
Concentrated portfolio of 10-15 select companies from New Zealand and Australian markets focused on generating long-term capital growth through active stock selection and currency management.
We have high conviction that the companies we currently own will deliver strong risk-adjusted outcomes for us in the current year.
| Date | Letter | Tickers | Keywords | Pitches | Quick Takes |
|---|---|---|---|---|---|
| Jan 12 2026 | 2025 Q4 | CNI.NZ, CS.TO, FWD.AX, IFT.NZ, MET.NZ, OML.AX, SIQ.AX, SUM.NZ, VGL.NZ, WFD.AX | alpha, Australia, concentrated, Copper, infrastructure, New Zealand | - | Copper price continues to shift higher with structural advantages including challenges bringing new supply to market and degradation of mining grades at major mines. Global demand outlook strengthens from electric vehicles, renewable energy, digital infrastructure, and electricity grid upgrades. |
| Oct 7 2025 | 2025 Q3 | IFT NZ | Artificial Intelligence, Electrification, Energy Transition, infrastructure, Utilities | - | The fund focuses on long-term growth companies benefiting from secular trends despite short-term volatility. Market drawdowns are viewed as opportunities to accumulate high-quality franchises at improved risk-reward levels. Growth investing remains attractive when paired with valuation sensitivity and competitive advantages. |
| Jun 30 2025 | 2025 Q2 | JHX AU | Australasian equities, catalysts, Concentration, execution, valuation | - | The commentary focuses on a concentrated portfolio of Australasian equities with strong competitive positioning and earnings resilience. Stock selection emphasizes execution quality, valuation support, and identifiable catalysts. Concentration is viewed as a driver of differentiated long-term returns. |
| Mar 31 2025 | 2025 Q1 | - | - | - | |
| Dec 31 2024 | 2024 Q4 | - | - | - | |
| Sep 30 2024 | 2024 Q3 | - | - | - | |
| Jun 30 2024 | 2024 Q2 | - | - | - | |
| Mar 31 2024 | 2024 Q1 | - | - | - | |
| Dec 31 2023 | 2023 Q4 | - | - | - | |
| Sep 30 2023 | 2023 Q3 | - | - | - | |
| Jun 30 2023 | 2023 Q2 | - | - | - | |
| Mar 31 2023 | 2023 Q1 | - | - | - | |
| Dec 31 2022 | 2022 Q4 | - | - | - | |
| Sep 30 2022 | 2022 Q3 | - | - | - | |
| Jun 30 2022 | 2022 Q2 | - | - | - | |
| Mar 31 2022 | 2022 Q1 | - | - | - |
| QUARTER | THEMES | TAGS |
|---|---|---|
| 2025 Q4 |
CopperMarket shifted from deficit to surplus as Chinese demand stalled for first time in 25 years while supply expanded by 3 million tonnes since 2021. Exchange inventories reached 1.2 million tonnes, highest since 2003. Bearish outlook as China transitions from under-consuming to over-consuming copper. |
Base Metals China Inventories Surplus |
| 2025 Q3 |
AIAI has been integrated into RGA's research process through tools like NotebookLM, Gems in Gemini, and Claude Code. The firm views AI as a force multiplier for human judgment rather than a replacement, emphasizing the Kasparov Law principle. They believe the market narrative around AI displacement is swinging to unhelpful extremes, creating investment opportunities. |
Machine Learning Automation Software Productivity Innovation |
ElectrificationPortfolio maintains largest absolute and relative exposure to Industrials sector representing conviction in Electrification theme. This includes companies like Bloom Energy providing power solutions for AI data centers and First Solar manufacturing solar panels. The theme benefits from energy transition and infrastructure needs. |
Power Solar Energy Storage Infrastructure Clean Energy | |
EnergyBHE operates regulated utilities serving 5.4 million customers and natural gas pipelines. The business faces significant investment needs driven by AI computing demand and wildfire risk mitigation, particularly in the Western U.S. |
Regulated Utilities Natural Gas Renewable Energy Grid Infrastructure | |
Growth |
||
InfrastructureDigital 9 Infrastructure holds telecom infrastructure assets including Arqiva stake. Despite poor 2025 performance, potential capital returns and asset sales could unlock value. Infrastructure assets provide defensive characteristics. |
Telecom Infrastructure Digital Infrastructure | |
| 2025 Q2 |
ConcentrationFive companies now represent roughly 30% of the S&P 500's market cap. The top 10 exceed 40%—the highest concentration in 50 years. Nearly $340 billion flowed into U.S. deals, yet it was packed into the fewest deals of the decade, with nearly half the capital concentrated in a few dozen deals over $500 million. |
Market Capital Risk Deals Venture |
| Date | Pitch Type | Author | Ticker | Company | Industry | Sub Industry | Bull / Bear | Exchange | Keywords | Action |
|---|---|---|---|---|---|---|---|---|---|---|
| No Elevator Pitches found | ||||||||||
| TICKER | COMMENTARY |
|---|---|
| CS.TO | Capstone Corporation (+14.9%) positive contributor to performance. Capstone Copper performed well as the copper price continues to shift higher. We see copper as having several structural advantages, including challenges with bringing new supply to market and the degradation of mining grades at some of the world's biggest copper mines. Additionally, the outlook for global demand continues to strengthen thanks to the increasing demand for electric vehicles, renewable energy, digital infrastructure, and the upgrading of global electricity grids. Capstone Copper owns and operates mines in the US, Mexico, and Chile. The company is in a strong position as it is significantly increasing its copper production into a tightening copper market. The company is targeting over 10% growth per annum in production over the next five years, assuming management executes on its stated strategy. |
| FWD.AX | Freightways (+3.6%) positive contributor to performance. |
| IFT.NZ | Infratil (-5.1%) offset positive performance. Both Infratil and Summerset have been successful holdings for the portfolio over the past year but succumbed to profit taking in the latter stages of the month. |
| SUM.NZ | Summerset (-2.1%) offset positive performance. Both Infratil and Summerset have been successful holdings for the portfolio over the past year but succumbed to profit taking in the latter stages of the month. |
| Ticker | Put/Call | Amount Bought | Shares Bought | % Change | Weight % |
|---|---|---|---|---|---|
| No Recent Buys Data | |||||
| Ticker | Put/Call | Amount Sold | Shares Sold | % Change | Weight % | Status |
|---|---|---|---|---|---|---|
| No Recent Sells Data | ||||||
| Industry | Prev Quarter % | Current Quarter % | Change |
|---|---|---|---|
| No industry data available | |||
