Dear Investor,
Our September 2026 Quarterly Report for our Funds is now available to read or download. You can access the full report via the button below, with key highlights provided further down.
ANZ Fund Highlights:
The ELMRI ANZ Conviction Fund decreased by 6.1% for the quarter.
The ANZ Fund’s September quarter performance reflected a widening sector divergence as engineering and infrastructure holdings such as SKS Technologies and Maas Group delivered strong results on the back of record work on hand and expanding tender pipelines linked to data centres, electrification and infrastructure investment, while healthcare names including Fisher & Paykel Healthcare, Cochlear and ResMed continued their recovery with improving earnings and outlooks. These gains were offset by renewed selling pressure in Australian technology stocks such as Xero, Pro Medicus and Life360 as higher interest rates weighed on valuations of long duration growth businesses.
Global Fund Highlights:
The ELMRI Global Fund decreased by 1.5% for the quarter.
The Global Fund’s performance reflected continued strength in AI infrastructure and encouraging results from selected software and healthcare holdings, with Moderna, ServiceNow, Wolters Kluwer, FactSet, NVIDIA and AMD among the stronger contributors while CATL, Tesla and Grab detracted. Overall exposure to AI hardware and related infrastructure was reduced from around 40% to around 25% as valuations rose, with gains taken in a number of names. Housing and consumer businesses remained under pressure from elevated energy prices, inflation and interest rates linked to the Middle East conflict, and selective additions have been made where valuations already reflect a difficult outlook.
Conclusion
Both the ANZ Conviction Fund and the Global Fund remain deliberately tilted toward companies structurally well positioned to benefit from multi year themes including the continued scaling of artificial intelligence, the digitisation of enterprises, advances in healthcare technology, the energy transition and the rise of platform businesses with strong network effects. Semiconductor and hyperscaler exposure continues to form a core holding, while selective positions are maintained in SaaS and platforms with durable competitive advantages, healthcare technology innovators with differentiated pipelines, and environment and climate tech holdings that provide exposure to essential industrial and environmental services. Looking ahead, the focus remains on fundamental progress in earnings quality, competitive positioning and free cash flow generation rather than short term market noise, with valuation discipline monitored closely and positions adjusted as new information emerges. ELM RI’s concentrated high conviction approach means individual stock performance can drive meaningful quarterly results both positive and negative, yet over the longer term the portfolios of ANZ and global technology and growth leaders are believed to be well placed to compound capital for patient investors.
Thank you for your ongoing interest and support.
Kind regards,
Jai Mirchandani
Founder, CIO and Portfolio Manager
ELM Responsible Investments
This note has been prepared by ELM Responsible Investments (‘ELMRI’) ABN 70 607 177 711 AFSL 520428, for Australian wholesale clients for the purposes of section 761G of the Corporations Act 2001 (Cth).
The information is not intended for general distribution or publication and must be retained in a confidential manner. Information contained herein consists of confidential proprietary information constituting the sole property of ELMRI and its investment activities; its use is restricted accordingly.
This note is for general informational purposes only and does not purport to be comprehensive or to give advice. The views expressed are the views of the writer at the time of preparation and presenting and all forecasts, assumptions, opinions, data and other information are not warranted as to accuracy or completeness and are subject to change without notice. This is not an offer document and does not constitute an offer or invitation of investment recommendation to distribute or purchase securities, shares, units or other interests to enter into an investment agreement. No person should rely on the content and/or act on the basis of any material contained in this note. Any potential investor should consider their own circumstances and seek professional advice.
ELMRI funds, its directors, employees, representatives and associates may have an interest in the named securities.
Past performance is for illustrative purposes only and is not indicative of future performance.