Vihari Ross, Portfolio Manager overseeing global equities at Sydney-based Antipodes Partners, offers insights into the firm’s investment strategy amidst evolving market dynamics. Antipodes Partners manages $20.6 billion in assets, focusing on long-term value investing. The firm’s global portfolios have delivered robust returns over the past 12 months, with performance stemming from diverse sectors including precious metals, auto, healthcare, energy, and technology supply chain. Ross indicates that many past winners have been actively recycled, with capital now redeployed into fresh opportunities.
The portfolios remain strategically positioned for market breadth to widen and extreme valuation dispersion to close. Antipodes is actively targeting new opportunities across Software-as-a-Service disruption from artificial intelligence, energy services, materials, infrastructure, healthcare innovation, and both AI enablers and adopters. The firm recently exited Hyundai Motor, a move prompted by the stock rallying over 100 per cent within months and reaching its valuation target. Notably, Antipodes has opted against participating in the much-discussed SpaceX initial public offering, citing its largely conceptual future potential and inherent popularity-contest dynamics.
Among current holdings, Japanese chemicals company Shin-Etsu Chemical, held since mid-last year, is highlighted. It is a global leader in producing polysilicon wafers crucial for microchips, with demand propelled by AI-driven sectors like autos and data centres, alongside cyclical opportunities in materials. Ross also points to SLB, an oil services leader, as undervalued. SLB, a key technology provider to oil majors for complex offshore projects, is well-positioned for a cyclical recovery in exploration capital expenditure. Its digital division and new energy exposure further enhance its appeal. Ross’s investment philosophy underscores that market change is inevitable, advising investors to assess impact and company resilience.
