During April, the HNW Australian Equity Portfolio gained +2.04%, behind the ASX 200 TR return of +3.46%. A positive absolute outcome for the month seemed very unlikely after the battering investors took in early April. April proved to be the most volatile month for many years, with the ASX collapsing by -6.5% on the 7th of April on tariff concerns, before recovering over the back end of the month predominantly due to offshore inflows into the ASX attracted Australia’s “safe haven” status. Indeed, the ASX was the top-performing developed market in April. The high degree of volatility saw the Portfolio’s relative performance against the index swing around daily.
Over the month, positions in Bapcor (+13%), JB Hi-Fi (+12%), Lotteries Corp (+10%), Atlas Arteria (+7%) and Transurban (+5%) adding value with the latter two toll roads giving solid quarterly updates. On the negative side of the ledger, Min Res (-14%), Dyno Nobel (-11%), Woodside (-10%), Amcor (-5%) and Macquarie Bank (-2%) hurt performance. Commonwealth Bank (+10%) hurt performance due to the Portfolio’s underweight, which increased in April at $166 per share on valuation grounds.
In April the HNW Australian Equities Income Focus Portfolio gained 2.53% ahead the behind its blended benchmark of +2.12%. As always April is a quiet month for income for the Portfolio, though this will reverse in May. A highlight in April was the performance from the Portfolio’s supermarket and childcare listed property trusts that had a solid month due to their safe have status from US tariffs. Over the month, positions in Region (+12%), JB Hi-Fi (+12%), Lotteries Corp (+10%), Wesfarmers (+9%) and Arena REIT (+8%) added value. On the negative side of the ledger Dyno Nobel (-11%) and Amcor (-5%) hurt performance.
