Platinum Asset Management vs Platinum Capital

A question re: Platinum Asset Management vs Platinum Capital. Would your opinion favour one over the other?

 

A: PTM (Platinum Asset Management) and PMC (Platinum Capital) are two very different entities.


The former is an investment management company, and gets paid a fee for managing unlisted and listed funds. It doesn’t own the investment assets. Returns for shareholders are largely dependent on how much money it manages – and any performance management fees.


Platinum Capital is a listed investment company. It owns the investment assets – and shareholders get a return based on the investment decisions that the company makes.


Assuming that you are not seeking geography or sector specific funds, and if seeking to invest through Platinum, I would probably start with their flagship fund, Platinum International. Alternatively, as I feel that there may be a little more weakness in the AUD, I would also consider the Platinum Unhedged Fund.


You pay top dollar to invest through Platinum, and unfortunately, their track record on some funds over the last few years has lagged the benchmarks. I would also consider some other managers.



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