Datt Capital, a Melbourne-based boutique firm founded by Chief Investment Officer Emanuel Datt, oversees approximately $120 million in assets. The firm focuses on identifying mispriced investment opportunities across various sectors. The fund experienced a challenging period up until August 2026, primarily due to exposure to the energy sector following the closure of the Strait of Hormuz and investments in large-cap ASX-listed technology stocks during the “SaaSpocalypse.” Despite these detractors, the fund reported a stellar August, regaining significant ground lost earlier in the year.
Reporting season revealed a broad weak economic outlook, with the Australian retail consumer showing significant softening in July numbers. This downturn is largely attributed to lower consumer confidence stemming from aggressive tax measures announced in the May budget, which have affected property prices and led to a “reverse wealth effect.” In response, Datt Capital has entirely cut its discretionary retail exposure and reduced the portfolio’s duration, re-weighting more heavily into cash-generative stocks trading at lower earnings multiples.
Among the fund’s specific holdings, WA1 Resources stands out. The company’s Luni project in Western Australia is noted as a global unicorn, holding the highest quality, longest-life niobium deposit on Earth. Niobium is a critical mineral for emerging technologies, particularly electric batteries and data centre applications, with a pre-feasibility study expected this year to act as a catalyst for value accretion. Another key holding is WiseTech Global, which, despite past governance issues, is considered an ASX high-quality technology company. Datt Capital sees significant upside, citing board and management refreshment, the acquisition of e2open, and a transition to value-based pricing. WiseTech’s move into supply chain finance solutions further highlights its growth potential, with the company trading at approximately half its Nasdaq-listed peers, potentially leading to a dual listing. Emanuel Datt emphasises the importance of maintaining composure and making impartial decisions through all market cycles.
