Joseph Ziller’s Global Fund is launching its equity strategy on the ASX as an exchange-traded fund (ETF) on Monday, despite recent volatility in the tech sector. The fund, which focuses on high-growth companies run by their founders, has faced headwinds due to a sell-off in software companies amid artificial intelligence concerns. The portfolio is down 21.9 per cent over the past three months, including an 11.5 per cent drop in January.
Ziller believes the current correction presents an attractive valuation for investors. He noted the pullback of software stocks relative to the S&P 500 has been as aggressive as during the dotcom bust. Ziller’s fund management business, which recently saw Perennial Partners take a 50 per cent stake, currently manages $11 million and has delivered annual returns of 25.1 per cent since its inception in 2022.
While some growth investors have reduced their exposure to software, Ziller has used the pullback to increase positions in high-conviction bets like Palantir and Figma. Palantir develops analytics platforms used by governments and businesses to analyse complex data. Figma provides a design tool that allows teams to collaborate on digital products in real time.
Ziller joins other fund managers listing their funds as actively managed ETFs on the ASX, citing improved accessibility, liquidity, and operational efficiency. He believes the ETF structure will allow advisors to implement and adjust positions intraday, integrate the strategy into model portfolios, and access daily transparency.
