Investor Summary
Fund Strategy
FUND PERFORMANCE AS OF 30th June 2026
| ANNUALIZED SINCE INCEPTION | QUARTERLY | YTD |
|---|---|---|
| 10.8% | - | 2.1% |
| ANNUALIZED SINCE INCEPTION | QUARTERLY | YTD |
|---|---|---|
| 10.8% | - | 2.1% |
The Rozendal Global Fund delivered modest absolute returns of 2.1% in H1 2026 but lagged its benchmark significantly, primarily due to absence of exposure to the artificial intelligence mania that drove Information Technology sector returns of nearly 30%. The Iran war caused major upheaval in global markets, with oil prices surging as approximately 20% of global supply was taken offline, while precious metals sold off sharply as inflation expectations reset higher. The fund completed three investment cycles during the period: Meta delivered a 31% annualized return over its holding period before being sold when momentum turned negative despite trading well above fair value; silver generated over 20% annualized returns as a currency alternative before being sold during a speculative mania; and Curro delivered 22-24% returns through both equity ownership and merger arbitrage. Contributors included Nextage benefiting from a soaring Japanese market, Noble lifted by surging oil prices, and SES caught up in space sector enthusiasm. Detractors included Prosus as Tencent lagged in AI, M Dias Branco facing consumer staples derating, and Reinet disappointing on capital return expectations. The manager maintains their contrarian, valuation-focused approach while acknowledging current market conditions favor speculation and momentum over fundamental analysis.
Rozendal Partners maintains a disciplined, valuation-based investment approach focused on buying quality businesses at significant discounts to intrinsic value, while incorporating momentum signals for position management and remaining willing to invest across unconventional asset classes when opportunities arise.
The manager expresses caution about current market conditions characterized by speculation, momentum-driven returns, and elevated valuations in technology. The letter emphasizes their contrarian, valuation-based approach and willingness to remain patient for opportunities. While acknowledging strong absolute returns in some holdings, the manager notes the Global Fund lagged its benchmark due to absence of AI exposure. The tone suggests continued selectivity and discipline around valuation rather than chasing momentum or popular themes.
| Date | Letter | Tickers | Keywords | Pitches | Quick Takes |
|---|---|---|---|---|---|
| Jul 30 2026 | 2026 Q2 | 7172.T, AFE.JO, BLU.JO, CLI.JO, COH.JO, CPI.JO, GEM.L, HAR.JO, MDIA3.SA, META, NE, PPC.JO, PRX.AS, RNI.AS, SESG.PA, VLT.JO | AI, Iran, momentum, oil, Precious Metals, semiconductors, valuation | - | Rozendal's Global Fund lagged in H1 2026 by avoiding the AI mania that drove tech 30% higher, while the Iran war disrupted oil and precious metals markets. Three successful investment cycles closed: Meta at 31% annualized, silver at 20%+, and Curro at 22-24%. The manager maintains disciplined valuation focus despite momentum-driven markets favoring speculation over fundamentals. |
| Jan 29 2026 | 2025 Q4 | 6586.T, AENA.MC, AMS.JO, BAYRY, BLU.JO, CGR.JO, COH.JO, DEO, HAR.JO, JD, KSPI.L, MTN.JO, SLV, TBS.JO, YRK.JO | emerging markets, Europe, gold, long-term, materials, Precious Metals, trade war, value | BAYN GR | Rozendal Global Fund delivered 42.8% returns in 2025, beating benchmark by 20% through European and Emerging Market focus while avoiding overvalued US equities. Materials sector surged 32% on precious metals boom, with gold reaching extreme valuations. Fund's behavioral edge in holding uncomfortable positions validated by academic research, maintaining discipline against current market manias for superior long-term outcomes. |
| Jul 30 2025 | 2025 Q2 | AFM.L, ASR.JO, B4B.DE, BLU.JO, CCOLA.IS, COH.JO, HCI.JO, HL.L, KSPI.L, MTN.JO, NE, NPK.JO, OCE.JO, PRX.AS, SESG.PA, WINE.L | global, Mining, private equity, Satellites, tariffs, Turkey, value | - | Rozendal Global Fund returned 23% in H1 2025, outperforming on underweight US positioning during tariff volatility. Successfully exited Turkish hyperinflation plays and mining positions due to conflict risk. SES satellite business doubled on spectrum and defense tailwinds. Multiple private equity takeouts validated value thesis. Maintains bottom-up focus on quality businesses facing temporary challenges. |
| Dec 31 2024 | 2024 Q4 | AFE.JO, BLU.JO, BUR.L, GRT.JO, HCI.JO, JD, META, NE, PPH.JO, SES, TBS.JO, TSCO.L | China, commodities, financials, global, oil, Restructuring, South Africa, value | - | Rozendal Global Fund underperformed significantly in 2024 due to limited US exposure during a year favoring large-cap technology and financials. Meta was the key contributor while oil services and Brazilian consumer stocks detracted. The manager completed profitable wheat futures trades and disposed of Burford Capital, maintaining focus on undervalued international opportunities despite challenging market conditions. |
| Jun 30 2024 | 2024 Q2 | 0700.HK, B4B.DE, BAYN.DE, CGR.JO, HCI.JO, HL.L, KSPI.L, MDIA3.SA, META, MTN.JO, NPK.JO, NPN.JO, PPC.JO, SDRY.L | global, Passive investing, South Africa, technology, Turnarounds, value | - | Rozendal underperformed in H1 2024 by avoiding US tech while suffering from failed turnarounds like Superdry. Despite passive investing challenges to traditional value approaches, the managers defend focusing on cash flow generation over multiple re-rating, emphasizing patience and disciplined position sizing in their fundamental investment process. |
| Jun 30 2022 | 2022 Q2 | LKOH.L, MDC.L, META, MNZS.L, WINE.L | energy, growth, inflation, Platinum, Russia, Sanctions, technology, value | - | Rozendal Global Fund outperformed significantly during turbulent H1 2022, declining 9.8% versus benchmark's 20% fall. Limited tech exposure provided protection during sector selloff. Benefited from takeover activity in Menzies and Mediclinic. Completed profitable decade-plus platinum mining cycle. Lukoil marked to zero due to sanctions. Maintains value-focused approach avoiding overvalued growth sectors. |
| Dec 31 2021 | 2021 Q4 | AFMJF, AFT.JO, BKNG, BLU.JO, CCJ, IMP.JO, LUKOY, MGROS.IS, MTN.JO, PPC.JO, SAHOL.IS, SCP.JO, SDRY.L, YRK.JO | commodities, emerging markets, energy, Mining, Recovery, Travel, Turkey, value | - | Rozendal's Global Fund underperformed in 2021 due to limited tech exposure and Turkish currency volatility, while commodity holdings like Cameco and Alphamin drove positive contributions. The managers completed profitable investment cycles and maintain their value-focused approach, avoiding speculative areas while positioning for commodity recovery and eventual travel normalization. |
| Jun 30 2021 | 2021 Q2 | CCJ, CPI.JO, IVT.JO, META, MGROS.IS, MTN.JO, PPC.JO, PSG.JO, QUINENCO.SN, RCL.JO, SAHOL.IS, SESG.PA, YRK.JO | emerging markets, global, inflation, Mining, nuclear, Turkey, value | - | Rozendal delivered mixed H1 2021 performance with Turkish political volatility weighing on returns despite strong uranium and Facebook contributions. The manager successfully completed a PSG stub trade and continues focusing on discounted family-controlled holding companies. While acknowledging inflation risks, they avoid broad commodity exposure at current elevated prices, preferring selective opportunities where political turmoil creates fundamental value disconnects. |
| Dec 31 2020 | 2020 Q4 | AMZN, BAYRY, CCJ, SLV | growth, Mining, Precious Metals, small cap, South Africa, SPACs, technology, value |
CCJ BAYRY |
Rozendal's value-focused approach faced significant headwinds in 2020 as growth dramatically outperformed. Despite underperformance from cash holdings and limited tech exposure, the fund benefited from silver and uranium positions. Management maintains conviction in value investing, viewing current SPAC proliferation and growth valuations as signs of dangerous market exuberance reminiscent of historical bubbles. |
| QUARTER | THEMES | TAGS |
|---|---|---|
| 2026 Q2 |
AIThe letter describes an artificial intelligence mania driving markets in H1 2026, with Information Technology delivering nearly 30% returns. The manager explicitly avoided AI exposure in the Global Fund, contributing to underperformance. Meta's capital expenditure on AI infrastructure reached $125 billion in 2026, up from $4.5 billion in 2016, representing 58% of revenue. |
Information Technology Capital Expenditure Data Centers Meta |
SemiconductorsSemiconductor businesses benefited from a memory chip demand upcycle described as unprecedented in the industry's history. This drove strong returns in Emerging Markets and Asia indices during the first half of 2026, though the Global Fund had no exposure to this theme. |
Memory Asia Emerging Markets Semiconductor Cycle | |
OilThe Iran war caused massive upheaval in global oil markets, with approximately 20% of global oil taken offline due to closure of the Strait of Hormuz. Oil prices surged in Q2 2026, benefiting the Energy sector which returned 16.6% for the half. Noble, an oil driller held by the fund, was a contributor as the surging oil price lifted all industry participants. |
Energy Iran Geopolitical Drilling | |
Precious MetalsThe letter discusses both gold and silver extensively. Higher oil prices reset inflation and interest rate expectations, triggering a sharp sell-off in gold and platinum. The Hedge Fund's short gold position and modest platinum exposure supported relative returns. Silver completed an investment cycle after a speculative mania drove inflation-adjusted prices to levels not seen since 1980, delivering over 20% annualized returns. |
Gold Silver Platinum Inflation | |
Consumer StaplesConsumer staples businesses have experienced a multi-year derating after a decade of being loved by markets as high quality defensive businesses. M Dias Branco exemplifies this ongoing derating. Disruption to energy markets from the Iran war found its way into input costs, pressuring margins, while associated inflation pressures consumer spending. |
Food Inflation Margins Derating | |
JapanNextage, one of Japan's leading used vehicle retailers, navigated industry challenges adeptly and its share price climbed dramatically, aided by the tailwind of a soaring Japanese stock market. The Tokyo Stock Price Index delivered 14.3% returns in the first half of 2026. |
Used Autos Auto Retail Tokyo | |
South AfricaThe Hedge Fund delivered strong relative returns versus its South African benchmark, which was heavily weighted in precious metals miners that sold off sharply. Several South African holdings contributed positively including AECI, PPC, and Clientele. The South African consumer remains under pressure, affecting businesses like M Dias Branco and Clientele. |
Regional Banks Mining Consumer Finance | |
MomentumMomentum as an investment style delivered spectacular returns of 40.6% for the six months to June 2026. This points to a market where excitement and speculation has been the dominant sentiment. The manager uses momentum signals in portfolio construction, as evidenced by the Meta position being held above fair value until momentum turned negative in late 2025. |
Factor Investing Risk Appetite Speculation | |
| 2025 Q4 |
FinancialsThe Fund is currently substantially invested in the Financials sector, with performance closely tied to developments in this industry. Companies in the Financials sector may be adversely affected by changes in the regulatory environment and interest rate changes. |
Banks Insurance Interest Rates Regulation |
| 2025 Q2 |
TurkeyExtensive discussion of Turkish investments including Migros Ticaret, Sabanci Holdings, and Coca Cola Icecek. Turkey attracted attention due to political and economic turmoil creating cheap assets. The hyperinflationary environment and negative real interest rates created a consumption boom that benefited retailers and beverage companies. All Turkish positions were successfully exited with strong returns. |
Hyperinflation Consumption Currency Politics Retail |
TariffsTrump's Liberation Day tariffs caused market volatility with S&P 500 declining 19% before recovering. Historical analysis suggests tariffs have relatively minor long-term impacts on GDP, inflation, and equity markets. The manager maintains focus on bottom-up investing rather than macro events. |
Trade Policy Volatility Macro Politics | |
MiningDiscussion of Alphamin tin mining operations in Democratic Republic of Congo. Despite strong operational performance and favorable tin market dynamics, regional conflict risks prompted full exit. Single mine operations in unstable jurisdictions present high risk but can be lucrative with proper risk management. |
Tin Africa Geopolitical Risk Commodities | |
SatellitesSES satellite business benefited from multiple positive developments including potential C-band spectrum sales to US FCC, Intelsat acquisition providing additional spectrum exposure, and European defense spending tailwinds. Share price more than doubled in first half of year. |
Defense Spending Spectrum Communications | |
Private EquityMultiple portfolio companies were taken private by insiders or private equity investors including Metro AG and Hargreaves Lansdown. While these exits sometimes don't provide full value to minority shareholders, they validate the manager's assessment of intrinsic value. |
Buyouts Valuation Exit | |
| 2024 Q4 |
FinancialsBanking sector delivered strong performance in 2024, particularly US mega-cap banks benefiting from prospects of lighter regulation under Trump administration. The sector has been a perennial underperformer since 2007 financial crisis but showed renewed strength. |
Banks Regulation Trump Profitability |
ChinaChina remains a battleground market with mixed views - some see it as economy of the future while others consider it uninvestable due to political risk. JD.com benefited from government policy support for consumption and capital markets during 2024. |
Policy Consumption Political Risk Government Support | |
OilOil drilling companies like Noble faced challenges due to weak economies, particularly China, and fluctuating oil prices around levels where new exploration investment is not compelling. This weighed on share prices of oil service companies. |
Drilling Exploration Capital Expenditure Price Volatility | |
WheatUkraine invasion caused wheat prices to reach extreme levels due to supply disruptions and fertilizer cost pressures. The fund successfully shorted wheat futures as prices normalized over two years, generating useful returns through the commodity cycle. |
Ukraine Supply Disruption Fertilizer Commodity Cycle | |
South AfricaSouth African market showed mixed performance with Tiger Brands benefiting from CEO restructuring efforts and PPC supported by Government of National Unity positivity. However, traditional gaming and bingo operations struggled in constrained consumer environment. |
Restructuring Consumer Environment Government Gaming | |
| 2024 Q2 |
ValueThe letter extensively discusses value investing challenges in the current market environment, including David Einhorn's assertion that passive investing has broken traditional value investing approaches. The managers defend value investing principles while acknowledging the need for patience in waiting for cash flow generation rather than multiple re-rating. |
Value Passive Investing Mean Reversion Cash Flow Fundamentals |
TurnaroundsDetailed analysis of the failed Superdry investment highlights the challenges of business turnarounds, even when led by founder-CEOs. The managers note that while founder-led turnarounds have better odds of success, they remain difficult propositions with substantial risks. |
Turnarounds Founder Restructuring Operational Recovery | |
| 2022 Q2 |
Platinum Group MetalsCompleted decade-plus investment cycle in platinum miners Anglo American Platinum and Impala Platinum. Industry experienced severe downturn from 2011-2018 due to oversupply, recycling, and demand shifts, followed by spectacular recovery driven by palladium and rhodium price increases. Sold final positions after recognizing top-of-cycle indicators including elevated capex, M&A activity, and new supply coming online. |
Platinum Palladium Rhodium Mining Commodities |
InflationExtensive analysis of current inflation environment reaching 40-year highs in developed markets. Historical data shows weak correlation between point-in-time inflation and long-term equity returns. Asset class performance varies significantly across different inflationary and growth regimes, with commodities and value stocks historically outperforming during inflationary periods. |
Inflation Rates Commodities Value | |
EnergyEnergy sector benefited significantly from Russian oil and gas supply constraints following Ukraine invasion, with energy being the only positive-performing sector in first half 2022. Russian energy exposure through Lukoil became problematic due to Western sanctions, with shares marked to zero despite fund still owning the position. |
Oil Natural Gas Russia Sanctions | |
TechnologyTechnology sector experienced severe selloff extending beyond speculative names to high-quality blue chips. Meta Platforms declined 25% on single day due to TikTok competition, Apple privacy changes affecting ad targeting, and first-ever decline in daily users. Former high-flying tech stocks moved from growth to value indices, reflecting dramatic sentiment shift. |
Technology Social Media Growth | |
SanctionsWestern sanctions on Russia following Ukraine invasion created significant challenges for investors holding Russian assets. Lukoil shares became untradeable and were marked to zero in the Global Fund, despite the fund still owning the physical shares with work underway to preserve value. |
Russia Sanctions Geopolitical | |
| 2021 Q4 |
UraniumUranium markets experiencing significant tightness with prices rising from $30 to $45 per pound. New production requires prices around $50-65 per pound to be viable. Sprott Physical Uranium Trust has brought new demand to the market. Kazakhstan continues to curtail output by 20% pursuing value over volume strategy. |
Nuclear Energy Transition Critical Minerals |
TinStrong demand for tin driven by booming consumer electronics requiring solder for circuit boards. Supply constraints from traditional producers Myanmar and Indonesia have pushed prices higher from depressed levels. Alphamin owns premier tin deposit with high grade compensating for political risks. |
Battery Metals Consumer Electronics Critical Minerals | |
OilOil prices increased sharply from $50 to $80 per barrel during 2021. Strong demand from recovering global economy post-Covid and muted supply response from oil producing countries drove price increases. This benefited holdings like Lukoil despite ongoing political concerns about Russia. |
Energy Exploration & Production Integrated Oil & Gas | |
Iron OreIron ore prices reached unsustainably high levels well above incentive levels of $50-60 per ton, eventually declining from $220 to $140 per ton after Chinese property crackdown. Afrimat's profits became heavily dependent on iron ore through Demaneng operation. |
Steel China Commodities | |
TurkeyTurkish politics chaotic with flip-flopping monetary policy causing volatile exchange rates. Turkish lira depreciated over 40% during the year despite government interventions. President Erdogan losing support ahead of 2023 elections which may be positive for the country. |
Emerging markets Currency Political Risk | |
TravelCovid-19 represented the most severe disruption to travel industry since modern aviation began. Booking Holdings investment thesis based on eventual recovery to 2019 revenue levels, though recovery took longer than initially anticipated. OTA business model remains attractive with network effects. |
Online Travel Hotels Recovery | |
| 2021 Q2 |
ValueValue stocks made a strong showing during the first half of 2021, reversing years of underperformance. The manager notes this is typical during economic recovery periods when more economically sensitive investments outperform. |
Value Economic recovery Outperformance |
UraniumCameco featured as a top contributor with continued supply discipline by major uranium producers and strong commodity markets supporting mining companies. Nuclear energy expected to become greater part of US energy mix under Paris Climate Agreement. |
Uranium Nuclear Supply discipline Climate | |
TurkeyTurkish investments including Sabanci and Migros have delivered volatile returns due to political turmoil. The manager expects good opportunities in emerging markets where political issues cause assets to sell off regardless of business fundamentals. |
Turkey Political risk Emerging markets Volatility | |
InflationInflation has been increasing sharply in global economies with fiscal and monetary stimulus effects visible. Historically commodities and mining stocks have done well during high inflation periods, though current commodity prices are at record levels above marginal production costs. |
Inflation Commodities Mining Stimulus | |
CommoditiesMining equities offer low forward earnings multiples but commodity prices are at almost record levels above marginal production costs. The manager warns against relying on earnings multiples for mining sector allocation and advocates caution when prices are well above marginal costs. |
Commodities Mining Valuations Marginal cost | |
| 2020 Q4 |
ValueThe fund continues to focus on value investing despite value's worst underperformance relative to growth on record in 2020. Management discusses the tobacco industry as an example of how value stocks can deliver returns through cash flows even without market re-rating, making money slowly but forever. |
Value Growth Underperformance Tobacco Dividends |
SilverSilver was a top contributor to returns, rising sharply after reaching historically low prices relative to gold. The metal benefited from safe-haven demand during the equity crash and perceived inflation hedge characteristics as central banks initiated money printing. |
Silver Gold Inflation Safe Haven Industrial Demand | |
UraniumCameco benefited from growing nuclear demand as the global reactor fleet expands, particularly in China and Japan. News of BHP abandoning expansion plans at Olympic Dam mine excited investors and pushed uranium prices higher. |
Uranium Nuclear Cameco China Supply | |
SPACsThe prevalence of SPAC listings is viewed as a sign of market exuberance, with investors willing to put faith in managers without even knowing what business they will acquire. Management sees this as reminiscent of bubble conditions. |
SPACs Bubble Exuberance IPO Speculation |
| Date | Pitch Type | Author | Ticker | Company | Industry | Sub Industry | Bull / Bear | Exchange | Keywords | Action |
|---|---|---|---|---|---|---|---|---|---|---|
| Jan 29, 2026 | Fund Letters | Wilhelm Hertzog | BAYN GR | Bayer AG | Health Care | Pharmaceuticals | Bull | Xetra | litigation, pharmaceuticals, pipeline, rerating, turnaround | Login |
| Dec 31, 2020 | Fund Letters | Rozendal Global Fund | CCJ | Cameco Corporation | Uranium | Uranium | Bull | New York Stock Exchange | China, Commodities, energy transition, Japan, Mining, nuclear energy, Supply Constraint, uranium, Zero Carbon | Login |
| Dec 31, 2020 | Fund Letters | Rozendal Global Fund | BAYRY | Bayer AG | Drug Manufacturers - General | Pharmaceuticals | Neutral | - | Agricultural, Class Action, Crop Science, Diversified Healthcare, Germany, Legal Settlement, litigation risk, pharmaceuticals | Login |
| TICKER | COMMENTARY |
|---|---|
| 7172.T | Nextage is one of Japan's leading used vehicle retailers. The industry went through an existential crisis in 2023 and 2024 due to an insurance fraud scandal at one of the major competitors in the industry. The industry was also coming off the cyclical boom in used vehicle sales following the supply disruptions in the new vehicle market caused by Covid. Nextage navigated all these challenges adeptly, and its share price has climbed dramatically – aided by the tailwind of a soaring Japanese stock market. |
| NE | The Iran war has caused huge upheaval in the global oil market. With c.20% of global oil effectively taken off the market due to the closure of the Strait of Hormuz, the oil price surged in the second quarter of this year. A surging oil price drags along all companies in the industry in its wake – oil drillers like Noble included. |
| SESG.PA | The major space and satellite-related news of the first half of this year was of course the listing of SpaceX. SES has been a longstanding holding in the Global Fund. As a legacy satellite operator, its business prospects have been more muted than what the market associates with the likes of SpaceX and its Starlink business. However, so infectious has been the enthusiasm for everything space-related in the market recently that share prices have risen almost indiscriminately. SES went along for the ride. |
| PRX.AS | After a very strong performance in 2025, the share price of Tencent (still by far the largest asset in the Prosus stable) swooned in the first half of 2026. Market perception appears to be that Tencent is behind the leaders in artificial intelligence in China – and spending to catch up, but without tangible results yet. Growth rates for the business have also moderated somewhat from the levels the market was used to in the past. This has pulled the share price of Tencent – and hence Prosus – lower. |
| MDIA3.SA | After a decade or more of being loved by the market as high quality, defensive businesses that perpetually deliver market-beating investment returns, most of the consumer staples industry has now gone through a multi-year period of derating. M Dias Branco has not been immune to this ongoing derating. The disruption to energy markets from the Iran war inevitably also finds its way into input costs for consumer staples businesses, which pressures margins – and the associated inflation pressures consumer spending. This challenging combination has been readily evident in the share price of M Dias Branco so far this year. |
| RNI.AS | Rupert-controlled investment holding company Reinet effectively turned itself into a cash shell with the disposal of its major investments British American Tobacco and Pension Insurance Corporation during 2025 and 2026. There were great expectations in the market that this presaged the winding up of the company or a material return of capital – which would deliver appealing returns to investors, given the meaningful discount to net asset value that the stock had been trading at. When no announcement to this effect was forthcoming with the release of the company's recent results, the market was gravely disappointed – and this disappointment was unleashed on the share price. |
| AFE.JO | The appointment of a new CEO and strong demand for mining explosives has kindled some new enthusiasm for leading explosives and chemicals business AECI. The positive results of a simplification of the group following the disposal of several non-core businesses are also now becoming apparent. |
| PPC.JO | PPC is also a company where the results of a new management team and focused restructuring and cost cutting are now becoming evident in very impressive fashion. The recovery in profit margins in the face of a stagnant South African cement market has been striking, and the market has rewarded the company's shares for this. |
| CLI.JO | As a long-term insurance provider in the lower end of the South African market, Clientele has faced challenges from both a South African consumer under pressure and fierce competition from new entrants to its market – notably Capitec. The share price historically more than reflected these pressures, and management and the controlling shareholders of the business recently used the opportunity to make an offer to take the company private. As usual with these bids, the price offered was far higher than the prevailing share price (hence the contribution to the Hedge Fund's return for the period), but below our estimate of fair value. Fortunately, the Hedge Fund was able to retain its (now unlisted) Clientele shares, so we have not had to conclude the investment cycle in Clientele just yet. |
| HAR.JO | Given the sharp move lower in the gold price so far this year, it comes as no surprise that a short position in gold miners have been profitable. Being short Harmony in 2025 was painful. The experience in 2026 so far has been more pleasant. |
| BLU.JO | Blu Label's share price has been on a roller coaster ride over the past 18 months. The share had a spectacular run up in mid-2025 as the market became excited about a restructuring of the group and a listing of key asset Cell C finally coming to fruition. This excitement has gradually petered out as the realities of an intensely competitive South African mobile communications market have hit home. |
| VLT.JO | On the flip side of Harmony within the Fund's precious metals holdings, Valterra Platinum's share price suffered as the platinum price decreased in tandem with the gold price this year. |
| GEM.L | Gemfields is a small holding in the Fund, but it has faced business challenges on a grand scale. Competitive pressure in the emerald market has abated but not disappeared. The security situation around its Mozambican ruby operations is unstable, resulting in escalating problems with illegal mining. The building of a second wash plant at its ruby operations – the largest single capital project ever undertaken by the company - has suffered setbacks in achieving full commissioning. And the company's balance sheet is under pressure. These problems have been reflected in both a lower share price, and the departure of the CEO. |
| META | Meta has been a somewhat unique constituent of the Rozendal Global Fund. We wrote up Meta (then still known as Facebook) as an investment idea early in 2019. At a price well below $200 per share, Meta offered compelling value to us. Meta has been a fantastic investment for the Global Fund. It delivered an internal rate of return of 31% per annum over its holding period, compared to the benchmark's 13% odd. The recovery in profitability of the company, the return to strong revenue growth and the very real prospects for the company to benefit meaningfully from artificial intelligence in its business re-awakened the kind of market enthusiasm for Meta which had characterised its share price in its early years after becoming a public company. Meta's capital expenditure has grown from $4.5 billion in 2016 to a guided $125 billion in 2026 – rising from 14% of revenue to 58% of revenue over the same period. It was the turn in momentum which was the final nail in the coffin for the Global Fund's investment in Meta, prompting our complete sell down during December 2025 and January 2026. |
| COH.JO | The Hedge Fund's investment in leading South African private school business Curro bears an uncanny resemblance to the Global Fund's investment in private hospital company Mediclinic. By mid-2023, the market was thoroughly despondent about Curro's prospects. Our view of Curro was somewhere between the wild enthusiasm of the market in the mid-2010's, and the dire disdain on display in the early 2020's. We proceeded to allocate capital to Curro shares, and for the next two years, Curro was a 2% - 3% position in the Hedge Fund. With the release of the (weak) half year results in August 2025, the company announced that the Jannie Mouton Foundation was making a bid to acquire 100% of Curro. Up to that point, the Hedge Fund had earned an internal rate of return of about 22% on its investment in Curro. We converted the Hedge Fund's Curro shares to swaps, shorted the requisite Capitec and PSG Financial Services shares, and waited for the transaction to close. The internal rate of return the Hedge Fund earned on this merger arbitrage investment was a most satisfactory 24%. |
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