Boutique manager Paragon has been named Morningstar’s top Australian stock-picker for the 2024-2025 financial year. Paragon, a financial services company, achieved this recognition after its hedge fund remarkably doubled investors’ money. The $69.2 million commodity-focused long-short strategy capitalised on the surge in precious metal prices and increased deal activity, generating a 102.5 per cent return over the past 12 months, almost double its closest competitor.
Paragon’s chief investment officer, John Deniz, attributed much of the fund’s success to strategic picks in the gold sector, highlighting ASX-listed Ora Banda Mining, Antipa Minerals, and Toronto-listed K92 Mining. He also noted that the soaring price of silver, through investments in Canadian-listed Vizsla Silver and Discovery Silver, contributed significantly. Deniz stated the fund is well-positioned in stocks with strong fundamentals across gold, silver, and copper, continuing to hold attractive stocks viewed as potential M&A targets.
American asset manager WCM Investment Management secured the second position, with its Quality Global Growth Fund traded on the S&P/ASX 200 Index as an active ETF. Sydney-based global equity manager Antipodes Partners claimed third place, their $23 million Global Opportunities Fund climbing 44.4 per cent thanks to volatility in small and mid-cap stocks. Ophir Asset Management also benefited from small-cap volatility, with their Global Opportunities Fund returning 41.8 per cent.
The best-performing Australian equities fund, according to Morningstar, was Steve Johnson’s Forager Funds Management, ranking sixth overall with a return of 39.6 per cent. These results included a one-off benefit from the delisting of Forager’s Australian Share Fund from the ASX 200 in June of last year, though the underlying portfolio still returned 31.1 per cent over the year.
