AR­GON wins in 2016

CityPress - - Business -

The year 2016 was a great one for Ar­gon As­set Man­age­ment, with a string of awards for the com­pany and its man­age­ment.

The com­pany was awarded the prize for the best as­set man­age­ment brand in South Africa by Global Brands Mag­a­zine. The com­pany’s CEO, Mothobi Se­seli, was also named best as­set man­age­ment CEO in South Africa.

And it was named best as­set man­age­ment com­pany 2016 by IFM and Global Busi­ness Out­look.

Since launch­ing op­er­a­tions in April 2005, Ar­gon has fo­cused on pro­vid­ing in­vest­ment man­age­ment ser­vices for in­sti­tu­tional in­vestors. It operates from of­fices in Cape Town and Jo­han­nes­burg.

Each of Ar­gon’s in­vest­ment port­fo­lios has been in the top quar­tile for over three years lo­cally. In­ter­na­tion­ally it has af­fil­i­ated with Schroders As­set In­vest­ment Man­age­ment through an exclusive in­sti­tu­tional in­vest­ment part­ner­ship, of­fer­ing spe­cific bench­mark-beat­ing prod­ucts.

“Port­fo­lio con­struc­tion is key to our in­vest­ment de­ci­sions; com­bin­ing ex­pected re­turns with cer­tainty of those out­comes en­sures a high prob­a­bil­ity of beat­ing the bench­mark,” says Manas Bapela, chief in­vest­ment of­fi­cer at Ar­gon As­set Man­age­ment. “We fo­cus on di­ver­si­fied, small, ac­tive po­si­tions that give con­sis­tent in­cre­men­tal al­pha.”

Bapela notes pos­i­tive move­ments in the South African mar­ket, par­tic­u­larly in nat­u­ral re­sources. South Africa is ben­e­fit­ing from the re­fla­tion trade like the rest of the world, as com­mod­ity prices come off their lows and earn­ings and growth im­prove. As such, re­sources are of­fer­ing su­pe­rior, longterm value.

He em­pha­sises the im­por­tance of high-qual­ity re­search in mak­ing the best in­vest­ment de­ci­sions.

“We fo­cus pri­mar­ily on our own re­search and port­fo­lios rather than mar­ket re­search,” he says. “We look at what sec­tors are the best per­form­ing in the short term and the rea­sons be­hind that. Re­sources are per­form­ing well at present ow­ing to the global re­fla­tion trade. “Our busi­ness is to as­sess the val­u­a­tion of a com­pany rel­a­tive to its un­der­ly­ing as­sets and make the most op­ti­mal de­ci­sion for our in­vestors. Not to op­er­a­tionally run a com­pany, but to use our votes to en­sure the best man­agers are in place to ac­tu­ally run the busi­ness,” he says. Pri­vate eq­uity or ven­ture cap­i­tal in­vestors, how­ever, are in a dif­fer­ent po­si­tion and are likely to be more in­volved in the run­ning of com­pa­nies.

Manas Bapela, chief in­vest­ment of­fi­cer at Ar­gon As­set Man­age­ment

Newspapers in English

Newspapers from South Africa

© PressReader. All rights reserved.