DNR’s flagship fund lands ‘highly recommended’ rating

DNR Capital’s Australian equities high conviction portfolio and fund have received glowing praise from the research house Zenith, landing a ratings upgrade.

The newly re-rated ‘Highly Recommended’ fund represents, according to Zenith, “one of our premier investment options within the Australian shares asset class”.

“Zenith’s strong conviction in the Portfolio is underpinned by DNR Capital’s robust investment process and high calibre investment team,” the research house wrote in its report.

The portfolio boasts returns of 12.16% (as at 31 May 2024) since its inception in October 2002, outperforming the S&P/ASX Total Return Index by 3.13% per annum.

DNR Capital reports an 8.73% return per annum to investors over a three-year basis, 1.93% above the index.

The strategy holds between 15 and 30 quality-focused stocks from a diversity of sectors.

Among its top five active holdings are biotech research and development firm CSL, gaming and entertainment services group The Lottery Corporation, job search website SEEK, Telstra Group, and Xero.

“Zenith believes that DNR Capital’s portfolio construction process ensures that the fund has a bias towards high-quality companies,” the ratings house said.

“Zenith draws a high degree of confidence in DNR’s investment process, which has been consistently applied over the long term, producing impressive investment outcomes.”

DNR Capital chief investment officer Jamie Nicol said the firm was “delighted” by the ratings upgrade, which he said recognises “that our high conviction approach to investing provides strong results for investors”.

The DNR Capital Australian equities socially responsible portfolio and the DNR Capital Australian equities income portfolio and fund retain their recommended rating from Zenith.