Kapstream Capital (Kapstream) combines capital preservation techniques with unconstrained portfolio management skills in the pursuit of stable, absolute returns.
Kapstream Capital was founded in 2006 by Kumar Palghat and Nick Maroutsos, both seasoned fixed income managers. Kumar and Nick started with a simple belief; that by removing the constraints inherent in conventional benchmark-relative fixed income portfolio strategies, and by setting absolute return targets and absolute risk limits, it would be possible to construct portfolios using predominantly investment grade assets that more closely met the requirements of a growing number of investors, in delivering consistent and positive returns.
Kapstream remains lead today by its founders (joined in 2010 by Steve Goldman) and manages A$14.7 billion (as at 31 March 2019) from offices in Sydney and Newport Beach, California. Since July 2015 Kapstream has operated as an autonomous boutique subsidiary, initially of Janus Capital Group and – since their merger in May 2017 with Henderson Global Investors – now of Janus Henderson Investors. Kapstream has always believed in an outsourced business model, appointing Fidante Partners to provide all back office, administration and retail distribution services.
Kapstream adheres to an active and less traditional approach to fixed interest management, one that blends top down macroeconomic outputs with bottom-up security selection. Unlike more mainstream competitors, it is not subject to the same benchmark relative constraints, providing the team with greater scope to incorporate best trade ideas and position the portfolio in response to varying market conditions.
The Kapstream Absolute Return Income Fund is managed with an innovative approach to fixed income, balancing the interests of capital preservation with the generation of consistent and stable income, and, free from conventional constraints in sourcing the most compelling fixed income investment opportunities in Australia and around the world, according to their global macroeconomic views.
50% Bloomberg AusBond Composite Bond 0-3 Year Index / 50% Bloomberg AusBond Bank Bill Index
*Funds under management displayed at a class level only.
Interests in the Kapstream Absolute Return Income Fund are offered by Fidante Partners Limited ABN 94 002 835 592 AFSL 234 668 (Fidante Partners). Fidante Partners has appointed Kapstream Capital Pty Limited as the investment manager of the Fund.
Past performance is not a reliable indicator of future performance.
1. Performance figures are calculated after fees have been deducted and assume distributions have been reinvested. No allowance is made for tax when calculating these figures.
2. The inception date for the Fund is 31 May 2007.
To view historical unit prices and distributionsclick here
Past performance is not a reliable indicator of future performance
1 Performance figures are calculated after fees have been deducted and assume distributions have been reinvested. No allowance is made for tax when calculating these figures.
2 The inception date for the Fund is 31 May 2007.
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Kapstream Capitalexamine recent market volatility and share their outlook for fixed income given shifting market dynamics and increasing political instability.
Kapstream Capitaldiscuss some of the current risks and opportunities relating to fixed income portfolios.