Recording – Lincoln Managed Funds Quarterly Investor Update

As investors grapple with tightening financial conditions and multi-decade high inflation, equity markets across the globe have descended firmly into correction territory throughout the year. The sell-off in growth stocks has been extreme and largely indiscriminate. High-quality companies with extremely healthy balance sheets have experienced selling just as aggressively as highly levered ones that are producing negative cash flows. The Lincoln team believes this trading pattern is unlikely to continue, and fundamentals and financial health will drive the next phase in the market cycle.

We expect to see the so called ‘zombie’ companies, which have survived on cheap funding costs and an abundance of capital, fail under the weight of their own debts. And this should see investors behave more rationally – reallocating their capital back to quality stocks. That’s where our strategy will re-emerge from the carnage, as we see so many opportunities in the market today.

Watch Tim Lincoln, Co-Founder and Chief Investment Officer, and Matthew Swartz, Portfolio Manager, dissect the various themes influencing market conditions and provide insight into the management of your investment portfolios.

Webinar Agenda:

• When markets expect interest rates to peak
• Analyse the depth of the zombie companies in the market
• Identify beaten-up opportunities
• Managed Funds’ performance overview
• Individual stock contributions and portfolio changes
• Interactive Q&A

Information in this communication is current as of publication unless otherwise stated. It is provided for educational purposes only and may not reflect current market data or opinion. It should not be relied upon in respect to any current investment decision. Investments can go up and down. Past performance is not a reliable indicator of future performance.

Important information

The Investment Manager for the Lincoln Australian Growth Fund, Lincoln Australian Income Fund, Lincoln U.S. Growth Fund Hedged and Lincoln U.S. Growth Fund Unhedged (the Funds) is Lincoln Indicators Pty Ltd (Lincoln Indicators) ABN 23 006 715 573 as Corporate Authorised Representative of Lincoln Financial Group Pty Ltd ABN 70 609 751 966, AFSL 483167 (Lincoln Financial). Equity Trustees Limited (Equity Trustees) ABN 46 004 031 298, AFSL 240975 is the Responsible Entity for the Funds. Equity Trustees is a subsidiary of EQT Holdings Limited ABN 22 607 797 615, a publicly listed company on the Australian Securities Exchange (ASX: EQT).

This communication has been prepared by Lincoln Indicators, as Corporate Authorised Representative of Lincoln Financial, to provide you with general information only. In preparing this communication we did not take into account the investment objectives, financial situation or particular needs of any particular person. It is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information. Neither Lincoln Indicators, Lincoln Financial, Equity Trustees nor any of their related parties, their employees or directors, provide any warranty of accuracy or reliability in relation to such information or accepts any liability to any person who relies on it. Past performance should not be taken as an indicator of future performance. You should obtain a copy of our Financial Services Guide and the Product Disclosure Statements before making a decision about whether to invest in these products.

The Fund’s Target Market Determination is available here. A Target Market Determination is a document which is required to be made available from 5 October 2021. It describes who this financial product is likely to be appropriate for (i.e. the target market), and any conditions around how the product can be distributed to investors. It also describes the events or circumstances where the Target Market Determination for this financial product may need to be reviewed.
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