Spheria is a fundamental-based investment manager with a bottom-up focus specialising in small and microcap companies.
the spheria advantage
The principals, Marcus Burns and Matthew Booker, are the ex-Portfolio Managers of the Schroders Smaller Companies & Microcap Funds. Together they have a combined experience of 40 years in the industry.
Marcus Burns has substantial global investing experience which provides significant competitive advantage as many market participants look at the Australian market in isolation. The ability to draw on global parallels is important in a technologically evolving environment. Matthew Booker brings substantial Australian small companies investment experience as he has managed several large scale portfolios since 2005.
The combination of the principals allows them to draw on a variety of experiences and knowledge which is a substantial competitive advantage for Spheria.
Our investment philosophy is to purchase securities where the present value of future free cash flows can be reasonably ascertained and the security is trading at discount to their intrinsic value.
Keeping an open mind to potential investments is critical to our process and expanding our horizons to consider global influences gives us a powerful edge.
Assessing risk is fundamental to Spheria’s investment philosophy. Explicit risk controls include a preference for companies with low or no balance sheet gearing. When the company does have debt, Spheria ensures that free cash flow can support the said level of gearing and is appropriate for the nature of the business.
RESPONSIBLE INVESTMENT & ESG
Spheria believes that integrating Environmental, Social and Governance (ESG) research and engagement into our work helps to focus on companies’ long-term risks and opportunities, allows a deeper understanding of their strategies, leadership teams and cultures, and ultimately leads to superior risk-adjusted returns for our portfolios.
We believe that our ESG research and corporate engagement helps align our work to our clients’ investment goals and helps address regulatory concerns with regards to long-term investment risks such as climate change.
Our full Responsible Investment Policy can be viewed below:
Our Proxy Voting Policy, designed to act in the best interest of our clients as shareholders can be viewed below:
Spheria has been a United Nations Principles for Responsible Investment (UNPRI) signatory since 2019.