Morningstar reiterates Gold ratings for IML’s Australian Share and Concentrated Australian Share Funds

05 October 2021
Mstar gold rating

Leading independent investment research house Morningstar has reiterated its Morningstar Analyst RatingTM for the Investors Mutual Australian Share Fund and the Investors Mutual Concentrated Australian Share Fund at ‘Gold’ as of 16 September 2021, the highest-possible designation.

This signals Morningstar’s view that Investors Mutual should be the first choice for financial advisers, brokers, and investors seeking a value-style Australian share fund manager, Morningstar stating: “we retain strong conviction in IML and maintain that the strategy is still one of the best ways to get exposure to Australian equities with a value quality focus”.

In the Morningstar Global Fund Report on the IML Australian Share Fund (dated 16 September 2021), Morningstar says that:

  • the “robust and well-executed process make it a top pick for value- and quality-focused investors”
  • the investment discipline “is one of the strictest in the market, comprehensively assessing companies to ensure the resulting portfolio is low turnover and low volatility”
  • the “process is inherently conservative, placing emphasis on identifying stocks with predictable and recurring earnings streams”
  • the “strength of the analyst team is apparent, with consistently excellent insights and depth of research”
  • “Investor activism has been a commendable feature at the firm, aiming to unlock additional investment value by resolving governance issues”

In the Morningstar Global Fund Report on the IML Concentrated Australian Share Fund (dated 16 September 2021), Morningstar says that:

  • the Fund “remains an outstanding choice for those seeking concentrated value and quality Australian equity exposure”
  • “[Hugh] Giddy’s considered approach backed by the excellent insights offered by the broader IML team will reward investors in the longer term, thus we maintain our utmost conviction”
  • “Turnover is low at around 10%, which helps tax efficiency”

Anton Tagliaferro, IML’s Investment Director, says: “We remain confident about the positioning of our Australian Share and Concentrated Australian Share Funds, given the quality of the underlying businesses, their long-term prospects, and their attractive valuations. The significant disparities in valuations in the sharemarket continue to provide us with opportunities for identifying and investing in companies which are undervalued by the sharemarket, but which we believe possess significant upside potential. IML’s process has successfully delivered to our investors’ expectations since our inception in 1998, and we continue to stay disciplined, looking to pick the right stocks at attractive prices so that we can deliver a very positive long-term outcome for our investors.”




While the information contained in this article has been prepared with all reasonable care, Investors Mutual Limited (AFSL 229988) accepts no responsibility or liability for any errors, omissions or misstatements however caused. This information is not personal advice. This advice is general in nature and has been prepared without taking account of your objectives, financial situation or needs. The fact that shares in a particular company may have been mentioned should not be interpreted as a recommendation to buy, sell or hold that stock. Past performance is not a reliable indicator of future performance.
The Investors Mutual Australian Share Fund and the Investors Mutual Concentrated Australian Share Fund received a Morningstar Analyst RatingTM of ‘Gold’ as of 16 September 2021.
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