Key facts about Fat Prophets Global Contrarian Fund (ASX:FPC) and its FY24 results

Fat Prophets Global Contrarian Fund Ltd (ASX:FPC) has reported a profit from ordinary activities (after tax) of $4,471,000 for the financial year ending June 30th, 2024. The Company's Net Tangible Assets per share after tax were $1.2186, marking a significant turnaround from the previous year. Despite the positive results, the Company will not be declaring a final dividend for the 2024 financial year due to volatile market conditions. The Board intends to pay dividends as soon as possible, considering best accounting and prudent business practice. The Company conducted a Share Purchase Plan (SPP) for eligible shareholders, raising $338,000 and issuing 423,125 shares in FPC. The CEO, Angus Geddes, will provide further details on the investment performance, portfolio, and positioning for the coming months in the CEO letter. The FPC AGM is scheduled to be held at Fat Prophets office at 10.30am on October 18th, 2024.

Executive commentary on investment performance and outlook

The financial year through to June 30th, 2024 was positive for the fund, with a number of key themes being recognized by the market. Japanese equities and banks & financials benefited from rising bond yields and higher rates, reaching the highest levels in almost two decades. Gold made new record highs during the year, driving a modest rerating of gold and silver miners. The US dollar has weakened significantly over the past month, which could lead to much higher spot gold prices in the coming year. Uranium miners were some of the strongest performing holdings during the year, and we believe that nuclear power is going to become prominent as the world requires more power due to AI and the renewable transition. The Company believes that stock markets are likely to correct in September and October, but with the Fed easing and the US economy still showing no signs of being in recession, financial markets could finish the year on a strong note when the uncertainty around the US election is finally out of the way. The Company also sees opportunity in China's mega-cap technology companies that have strong balance sheets and generate plenty of cash, as valuations are the cheapest in decades.

Summary of FY24 results and outlook

Fat Prophets Global Contrarian Fund Ltd (ASX:FPC) reported a profit from ordinary activities (after tax) of $4,471,000 for the financial year ending June 30th, 2024, with Net Tangible Assets per share after tax at $1.2186. Despite the positive results, the Company will not be declaring a final dividend for the 2024 financial year due to volatile market conditions. The Board intends to pay dividends as soon as possible, considering best accounting and prudent business practice. The Company conducted a Share Purchase Plan (SPP) for eligible shareholders, raising $338,000 and issuing 423,125 shares in FPC. The CEO, Angus Geddes, will provide further details on the investment performance, portfolio, and positioning for the coming months in the CEO letter. The FPC AGM is scheduled to be held at Fat Prophets office at 10.30am on October 18th, 2024. Looking ahead, the Company sees opportunities in Japanese equities, banks & financials, gold and silver miners, uranium miners, and China's mega-cap technology companies, and believes that stock markets are likely to correct in September and October, but could finish the year on a strong note when the uncertainty around the US election is finally out of the way.