The small end of the listed market might not snare the headlines but it’s a hotly contested sector among the nation’s fund managers.
The Mercer index of 54 small and microcap public equity managers is a closely watched measure of performance that is scrutinised by the industry.
Anacacia Capital’s Wattle Fund, which invests in listed small to medium-sized enterprises, came out on top this year on the measure of small caps (ex-ASX 100) and micro caps.
Mercer found that the fund had accrued an annual return of 15.87 per cent after it was started in 2015 when it raised $30m to invest in small companies.
The Wattle Fund focuses on profitable established companies with a market cap between $20m and $m.
Anacacia’s fund outperformed the Macquarie Small Companies fund, which generated a 13.8 per cent return, Sigma Emerging Companies, which grew by 12.9 per cent, and OC Dynamic Equity, up 12.8 per cent.to edit.