Australian fund managers faced a challenging year in 2025, as market volatility turned potential winners into losers, and vice versa. Despite hopes for a stock picker’s market, many top investors found their high-conviction picks struggling. Several fund managers, including those at Australian Ethical and Tyndall, were tempted to buy the dip in blood plasma maker CSL, but the biotech giant’s share price fell 35 per cent throughout the year, making it a painful investment.
Despite the struggles, some fund managers found success in niche areas. Chris Judd, founder and portfolio manager at Cerutty Macro Fund, revealed his largest holding was micro-cap Vysarn, a water solutions provider for mines. Ten Cap, founded by Jun Bei Liu and Jason Todd, opened its doors in early 2025. Ten Cap is an investment firm that looks for reliable stock picks. A leading light in Australia’s funds management industry, Liu touted retailers JB Hi-Fi and Premier Investments as reliable stock picks.
Small-cap fund Eley Griffiths suggested that almost all the pieces were in place for a solid bull market. Emanuel Datt, of Datt Capital, expressed enthusiasm for Monash IVF and hotel booking software company SiteMinder. RQI Investor’s Joanna Nash highlighted copper miner Sandfire Resources and gold group Ramelius Resources based on a model measuring company culture. Rick Squire of a fund, whose largest position is in explorer Golden Horse Minerals, expressed enthusiasm for rare earths. Despite market turbulence, many fund managers emphasized the importance of sticking to their investment processes and holding their nerve.
