01
Aug

Quest has a solid year

The Quest portfolio has appeared in the InTech performance table for the first time since our inception two years ago.

The result was good and ahead of our expectations. Quest finished 2nd out of 60 managers for the year to 30 June 2006. An extract appears below.

InTech Investment Consultants maintain a database of portfolio returns covering Investment Managers’ products in Australian Equities as well as many other asset classes. The tables are produced monthly.

Quest funds under management currently totals $1 billion, with $30 million in the Sophisticated Investor category while $970 million is managed for 7 large superannuation funds.

An additional $100 million mandate will initiate in August. While we will continue to grow our Sophisticated Investor clients, we are unlikely to seek any further large mandates this year.

The Quest portfolio outperformed the market for the year ended June. Since inception in January 2005 the portfolio to the end of June 2006 has risen over 40% after fees. This is well ahead of the ASX 300 Accumulation index as shown in the chart below.

Quest has a solid year

The significant contributors to performance have been services, resources and healthcare businesses and a lower exposure to banks.

The current year presents a challenge with a major shift in the investment environment underway.

Returns are expected to be lower for the current year. We will be concentrating on cash flow, business sustainability, management and capital management issues.

Our team is looking forward to the challenges of the coming year and intend to deliver a solid result in 2007.