Brisbane-based Hyperion Asset Management, a major Tesla backer in Australia, saw its nearly $4 billion Global Growth Companies Fund outperform in September. The fund gained 4.5 per cent last month, surpassing the MSCI World Accumulation Index’s 2 per cent increase. Key contributors to the portfolio’s returns included electric vehicle manufacturer Tesla, Dutch semiconductor firm ASML Holding, and software company Palantir Technologies.
Hyperion Asset Management is a financial services company that manages investments for individuals and institutions. They aim to deliver superior long-term investment performance through a focused approach. The fund’s three-month performance rose 4.1 per cent, trailing the benchmark’s 6.2 per cent. However, year-to-date, it recorded a 40 per cent return, significantly above the index’s 23.3 per cent. Over five years, the fund returned 15.8 per cent, just under the benchmark’s 16.8 per cent, while its 10-year performance stood at 19.1 per cent per annum, compared with 13.7 per cent for the index.
Hyperion’s chief investment officer Mark Arnold and deputy CIO Jason Orthman noted the market’s shift towards third-quarter earnings and the accelerating influence of artificial intelligence. They highlighted that approximately 80 per cent of Hyperion’s portfolio is exposed to AI, with investments across semiconductors, cloud computing, and software. The fund managers described the rapid developments in the AI sector as a unique inflection point for investors.
Tesla, constituting 12 per cent of Hyperion’s portfolio, was a significant performance driver. Hyperion anticipates rapid adoption of Tesla’s robotaxi service following its initial Texas deployment, with Florida, Nevada, and Arizona expected to follow. The money manager also highlighted Tesla’s Megapack battery and expressed confidence in the electric vehicle maker’s energy business as a substantial long-term value driver. Other prominent holdings in the fund included Microsoft, Nvidia, Palantir Technologies and Amazon.
