L1 Long Short Fund (LSF) Q1 2026 TU earnings summary

Executive summary

• Portfolio returned 13.3% for the September quarter, outperforming the ASX200AI's 4.7%; calendar year return is 28.7% versus ASX200AI's 11.5%.

• Five-year annualized return stands at 22.0%, well above the ASX200AI's 13.0%.

• Strong performance driven by broad-based gains, especially in gold, copper, and uranium-related stocks.

• Portfolio positioning favors undervalued offshore stocks, infrastructure, mid-cap gold, copper, travel, and 'quality value' equities.

Financial highlights

• 13.3% net return for the quarter, 28.7% for the calendar year, and 22.0% p.a. over five years.

• 19 stocks each contributed more than 0.5% to returns; notable contributors include CRH, NexGen Energy, Fraport, Imdex, and Chorus.

• Key stock gains: Mineral Resources (+91%), Westgold (+56%), NexGen Energy (+32%), Hudbay Minerals (+46%), Imdex (+24%), CRH (+31%), Fraport (+15%), Chorus (+8%).

• Key detractor: Santos (-12%) due to a failed takeover bid.

Outlook and guidance

• Australian equity index seen as fully valued; more attractive opportunities identified offshore.

• Portfolio maintains a value skew, with median long P/E of ~11x and double-digit EPS growth expected.

• Positive outlook for infrastructure, gold, copper, uranium, and travel sectors.