On 1 October 2025, Martin Currie aligned under ClearBridge Investments and the distribution of all Australian Pooled Funds moved to Franklin Templeton

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Australian Value Equity Strategy

A high-conviction, actively managed investment approach focused on uncovering value across ASX-listed equities.

 

Designed for investors seeking long-term capital growth through the Value style, the Strategy targets our most compelling undervalued stock ideas carefully selected by our experienced investment team. This approach results in a differentiated portfolio that stands apart from traditional equity and value-focused strategies.

Why Invest in the Australian Value Equity Strategy

Key benefits of this Strategy include:

While equity markets are efficient over the long term, the market’s behavioural biases can create temporary mispricing. Investing in shares that are trading with an attractive discount to underlying value offers the potential for excess returns over the long term.

Bottom-up fundamental research enables the Strategy to look beyond short-term market noise, identifying divergences from true fair value. These mispricings are systematically exploited through a disciplined Value-style investment process.

Valuations are anchored in long-term earnings power, enabling the Strategy to navigate style and economic turning points more effectively. Stock selection is driven by fundamental forecasts rather than mechanical models reliant on backward-looking data, supporting a more adaptive and resilient investment approach.

A true-to-label Value approach complements other investment styles within a diversified asset allocation. This blend provides balanced exposure while capturing the long-term performance potential of the Value style relative to Growth.

Portfolio Management Team

The Australian Value Equity Strategy is co-managed by Reece Birtles and Michael Slack, and is supported by the broader ClearBridge Australian Equities Investment team through detailed fundamental research and quantitative analysis.

The Portfolio Management Team is employed by Franklin Templeton Australia Limited.

Reece Birtles, CFA

Reece Birtles, CFA

Managing Director, Portfolio Manager, Head of Australian Equities
Michael Slack, CFA

Michael Slack, CFA

Managing Director, Portfolio Manager, Director of Research, Australian Equities

What Makes Us Different

The Australian Equity Investment team has over 40 years of experience investing in Australian equities using a disciplined and repeatable multi-lensed investment approach.

Stock selection is grounded in bottom-up fundamental valuation research, supported by a disciplined risk framework. Risk is actively managed through multiple lenses — Quality, Short-Term Direction, and Long-Term Direction.

This Strategy is underpinned by a proprietary, multi-lensed investment process specifically designed to navigate the structural inefficiencies inherent in the Australian equity market. By addressing these persistent market dynamics, the approach enables us to identify and capitalise on compelling value opportunities.

Active Ownership is embedded directly within the investment process, with responsibility held by the research analysts and portfolio managers who make investment decisions. This integrated approach ensures that engagement and stewardship are aligned with deep fundamental insights and long-term value creation.

Key Portfolio Information

Growth of AUD $10,000

31 August 2025

As at 31 August 2025

Performance 1 Month 3 Months 1 Year 3 Years 5 Years Inception2
ClearBridge Australian Value Equity Strategy 1 2.1% 8.0% 14.5% 10.1% 13.6% 7.1%
S&P/ASX 200 Accumulation Index 3.1% 7.0% 14.7% 13.0% 12.3% 7.0%
Excess Returns -1.0% 1.0% -0.2% -2.9% 1.3% 0.1%

As at 31 August 2025

  • Australian Value Equity Strategy
  • S&P/ASX 200 Accumulation Index

As at 31 August 2025

Top 10 Positions Sector Portfolio
Weight %		 Benchmark
Weight %		 Active
Weight %
BHP Group Ltd Metals & mining 12.6% 8.1% 4.5%
ANZ Group Holdings Ltd Banks 8.6% 3.7% 4.9%
Santos Ltd Energy 5.3% 1.0% 4.3%
Aurizon Holdings Ltd Industrials 4.3% 0.2% 4.0%
Worley Ltd Industrials 4.0% 0.3% 3.8%
AGL Energy Ltd Utilities 3.4% 0.2% 3.3%
Amcor PLC Other materials 3.4% 0.3% 3.1%
Ampol Ltd Energy 2.9% 0.3% 2.6%
Flight Centre Travel Group Ltd Cons. discretionary 2.9% 0.1% 2.8%
Downer EDI Ltd Industrials 2.4% 0.2% 2.2%
Objective Long-Term Growth
Asset Class Equities
Style Value
Investable Universe Australian listed securities
Benchmark S&P/ASX 200 Accumulation Index
Market capitalisation All cap
Country limit N/A
Sector limit Benchmark +/- 12%
Security limit Benchmark +/- 7%
Number of stocks Typically 33
Portfolio turnover Typically 25% p.a.
Forecast tracking error We do not target tracking error but is typically 5% p.a. (ex ante)

Investing in the Australian Value Equity Strategy

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Franklin Templeton Australia Limited is the Responsible Entity and distributor for all ClearBridge managed Funds in Australia. To explore and access these Funds, you will be redirected to the Franklin Templeton website.

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Related Perpectives

Australian Equity Insights Webinars
Webinar: Australian Equities Reporting Season Wrap

Webinar: Australian Equities Reporting Season Wrap

Expectations vs Impact: Will earnings get rewarded or punished this season? Reece Birtles, Head of Australian Equities and Portfolio Manager, presents his key takeaways from Australia's bi-annual reporting season.

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Disclaimer

This information is provided on the basis that you are a wholesale investor in Australia. Any distribution of materials or products in Australia is by Franklin Templeton Australia Limited (FTAL).

FTAL (ABN 76 004 835 849) is part of Franklin Resources, Inc., and holds an Australian Financial Services Licence (AFSL No. 240827) issued pursuant to the Corporations Act 2001 (Cth). The ClearBridge Australian Equities Investment team, a division of FTAL, is operationally integrated under the “ClearBridge Investments” global brand, alongside ClearBridge Investments, LLC (“CBI”), and other ClearBridge entities indirectly, wholly owned by Franklin Resources, Inc.

The information on this website does not constitute an offer of, or an invitation to apply for securities in any jurisdiction where such an offer or invitation is unlawful, or in which the person making such an offer is not qualified to do so.

Past performance is not a reliable indicator of future performance.

The views expressed are opinions of the portfolio managers and are subject to change based on market and other conditions and may differ from other portfolio managers or of the firm as a whole. These opinions are not intended to be a forecast of future events, research, a guarantee of future results or investment advice.

Some of the information provided has been compiled using data from a representative account. This account has been chosen on the basis it is an existing account managed by the investment team of this strategy. Representative accounts for each strategy have been chosen on the basis that they are the longest running account for the strategy. This data has been provided as an illustration only, the figures should not be relied upon as an indication of future performance. The data provided for this account may be different to other accounts following the same strategy. The information should not be considered as comprehensive and additional information and disclosure should be sought.

The information provided should not be considered a recommendation to purchase or sell any particular strategy / fund / security. It should not be assumed that any of the securities discussed here were or will prove to be profitable. It is not known whether the stocks mentioned will feature in any future portfolios managed by the investment team. Any stock examples will represent a small part of a portfolio and are used purely to demonstrate our investment style.

The analysis of Environmental, Social and Governance (ESG) factors forms an important part of the investment process and helps inform investment decisions. The strategy/ies do not necessarily target particular sustainability outcomes.

Performance
1 Data presented is the ClearBridge Australian Value Equity composite in AUD, gross of fees. Periods over a year are annualised. The composite contains fully discretionary Australian Equity accounts containing diversified portfolios of Australian equity securities with a “value” investment style bias. For comparison purposes the composite is measured against the S&P/ASX 200 Accumulation Index.
2 Composite inception date: 1 December 2006.

The Firm (defined for GIPS purposes as the ClearBridge Australian Equities Investment team, a division of FTAL) claims compliance with the Global Investment Performance Standards (GIPS®). GIPS® is a registered trademark of CFA Institute. CFA Institute does not endorse or promote this organisation, nor does it warrant the accuracy or quality of the content contained herein. To receive a complete list and description of composites and/or a presentation that adheres to the GIPS standards, please contact [email protected].

Sector Breakdown and Top 10 Stocks
Data shown for the ClearBridge Australian Value Equity representative account. Index: S&P/ASX 200 Accumulation.

The information provided should not be considered a recommendation to purchase or sell any particular security. It should not be assumed that any of the security transactions discussed here were, or will prove to be, profitable. References to particular industries, sectors or companies are for general information and are not necessarily indicative of the Strategy's holding at any one time.

Risk Warnings – Investors should also be aware of the following risk factors which may be applicable to the Strategy:

  • Investing in foreign markets introduces a risk where adverse movements in currency exchange rates could result in a decrease in the value of your investment.
  • This Strategy may hold a limited number of investments. If one of these investments falls in value this can have a greater impact on the Strategy’s value than if it held a larger number of investments.
  • Smaller companies may be riskier and their shares may be less liquid than larger companies, meaning that their share price may be more volatile.
  • The Strategy may invest in derivatives (index futures) to obtain, increase or reduce exposure to underlying assets. The use of derivatives may restrict potential gains and may result in greater fluctuations of returns for the portfolio. Certain types of derivatives may become difficult to purchase or sell in such market conditions.