The Third Link Growth Fund returned +6.3% over the 30 June 2025 quarter, compared to +9.5% for its benchmark, the S&P/ASX 300 Accumulation Index. The past quarter was marked by elevated volatility, reflecting ongoing macroeconomic uncertainty, shifting policy settings, and global geopolitical developments. Despite these headwinds, many of our underlying managers delivered solid results for FY25, underlining the value of active management in a complex market environment.
However, a key detractor from relative performance over the past 12 months was the Fund’s underweight exposure to large-cap stocks, most notably, Commonwealth Bank of Australia shares which surged more than 45%*. Given our managers’ focus on identifying opportunities outside the top 20 ASX-listed companies, the Fund did not participate in this rally, which weighed on performance relative to the benchmark.
Looking ahead, we believe the current environment, characterised by valuation dispersion, shifting market narratives, and structural transitions, offers fertile ground for active, research-led strategies. Our underlying managers continue to uncover value in underappreciated sectors, support long-term growth themes, and avoid overhyped parts of the market.
The Fund’s multi-manager structure remains a core strength, offering diversified exposure to a range of investment styles and perspectives. Many of our managers reported strong individual results over the financial year, reinforcing the benefits of our approach through market cycles.
We were also pleased to welcome two new managers this quarter: Chester Asset Management (Chester High Conviction Fund) and Firetrail Investments (Firetrail Australian Small Companies Fund). Their addition further enhances the depth and breadth of our portfolio.
We remain committed to delivering strong investment performance while driving meaningful social impact through the Third Link Growth Fund. As the Fund asset size grows, so too does the amount donated to charities.
Thank you for continuing to make a difference in the community through your investment.
Regards,
Chris Cuffe AO
Founding Director and Portfolio Manager Third Link Investment Managers Pty Limited
The objective of the Third Link Growth Fund is to provide a well-managed investment in Australian listed shares. To achieve this, the Fund extensively invests with professional third party investment managers.
As at the end of June 2025, the portfolio was invested as below:
AUSTRALIAN EQUITIES
General
Auscap Ex-20 Australian Equities Fund
11.6%
Eley Griffiths Group Mid Cap Fund
8.4%
DNR Capital Australian Equities High Conviction Fund
7.9%
Cooper Investors Australian Equities Fund
7.0%
Australian Eagle Equities Fund
7.0%
Greencape Wholesale High Conviction Fund
6.5%
Chester High Conviction Fund
6.4%
ECP Growth Companies Fund
6.2%
L1 Capital Catalyst Fund
6.0%
Total – General
67.0%
Small Caps
1851 Emerging Companies Fund
8.7%
Lennox Capital Australian Small Companies Fund
7.3%
Eiger Small Companies Fund
4.8%
Pengana Emerging Companies Fund
4.6%
Firetrail Australian Small Companies Fund
3.1%
Total – Small Caps
28.5%
Total – Australian Equities
95.5%
CASH & CASH EQUIVALENTS
Custody Account & Other
4.5%
Total – Cash & Cash Equivalents
4.5%
TOTAL
100.0%
A description of each of the fund managers we invest with can be found on our website. Each of these managers rebates their management fees and performance fees, effectively meaning they are managing the assets of the Fund for free. It is through this extraordinary generosity, together with that of other service providers, that Third Link is able to make sizeable donations to the charitable sector without diluting the returns to investors from the Fund.
As of 30 June 2025, the Fund’s size was $165.3m. All fees received from managing the Third Link Growth Fund, net of fund expenses, continue to be donated to the charitable sector. Since inception, the Fund has donated more than$23.5mto the charities we support, with $528k contributed in the last quarter.
The Fund will pay a distribution for the period ending 30 June 2025, however, we are currently awaiting final distribution declarations from all underlying managers and will notify investors in the coming weeks regarding the amount and payment timing.
The aim of the Fund is to outperform, after fees and over rolling five year periods, the S&P/ASX 300 Accumulation Index¹. As at the end of June 2025 the Fund performance relative to the Fund benchmark was as below:
Returns are calculated after fees have been deducted and assuming reinvestment of distributions. Figures greater than one year are expressed as annual compound returns. No allowance is made for tax. The benefits of franking credits from dividends received have not been included.
1. The S&P/ASX 300 Accumulation Index covers the largest 300 shares listed on the Australian market. Being an accumulation index, it measures changes in both the value and income of the shares.
2. February 2012 reflects the date when the Fund’s investment strategy changed from multi sector growth to Australian equities.
Investors should be aware that past performance is not indicative of future performance. Returns can be volatile, reflecting rises and falls in the value of underlying investments.
Investor Update
We’re pleased to invite you to our upcoming Investor Update, held in person on Tuesday, 21 October at The Mint, Sydney.
Join Chris Cuffe, Founder and Portfolio Manager of the Third Link Growth Fund, and Andrew Denton, CEO of Go Gentle Australia, as they share insights into the Fund’s impact and the charities it supports. You’ll also hear from several of our underlying fund managers, who will provide market updates and portfolio highlights.
Third Link Growth Fund retains 'Recommended' Rating
We are pleased to announce that the Third Link Growth Fund has once again received a Recommended rating from respected research house Zenith Investment Partners, reaffirming the Fund’s long-standing reputation as a high-quality, actively managed Australian equities strategy with a strong philanthropic mission. For a copy of the research rating, please click here.
Navigating uncertainty, finding opportunity
Thank you to The Inside Adviser for featuring insights from several of the underlying managers of the Third Link Growth Fund, highlighting how they’re navigating today’s dynamic investment landscape.
Discover why giving money away can be the most rewarding part of retirement. In this episode of the Australian Retirement Podcast, Chris Cuffe shares expert insights on philanthropy, legacy planning, and how retirees can make a lasting impact. Listen to the Podcast.
The Third Link Growth Fund has proudly supported batyr since 2012, backing the organisation when it was a start-up with just three staff members and a handful of speakers. Today, batyr is a national leader in youth mental health education, reaching more than 450,000 young people across 400 high schools and 16 universities in five states.
Created by young people, for young people, batyr delivers peer-led programs that break down stigma, encourage help-seeking, and empower teens and young adults (aged 14–24) to take charge of their mental health, before crisis point. Their lived-experience storytelling and preventative approach have been recognised as global best practice.
Thanks in part to Third Link’s long-term, flexible funding, batyr has grown into a trusted voice in the sector, now employing over 50 staff and training 1,400+ young people to share their stories. We are proud to have played a role in this journey, supporting batyr’s mission to ensure young Australians are heard and equipped to look after their mental wellbeing.
Important Information: This information has been issued by Third Link Investment Managers Pty Ltd (Third Link), ABN 31 128 965 702, AFSL 321611 as investment manager of the Third Link Growth Fund (Fund). This information provided is general information only. It does not constitute financial, tax or legal advice or an offer or solicitation to subscribe for units in the Fund. This information has been prepared without taking account of your objectives, financial situation or needs. Before acting on the information or deciding whether to acquire or hold a product, you should consider the appropriateness of the information based on your own objectives, financial situation or needs or consult a professional adviser. There can be no assurance that the Fund will achieve its targeted rate of return and no guarantee against loss resulting from an investment in the Fund. All investments carry risks. Past fund performance is not indicative of future performance. Fundhost Ltd ABN 69 092 517 087, AFSL No. 233045 is the Responsible Entity for the Fund. Applications can only be made on the application form dated 30 June 2022 accompanying the Fund Product Disclosure Statement (PDS) dated 01 May 2025. Potential investors should consider the PDS and the Additional Information to the PDS (AIB) before deciding whether to invest, or continue to invest in the Fund.
