Global Capital Aware Fund Update – August

The Insync Global Capital Aware Fund returned -0.97% over the month and has gained 11.08% for the last 12 months to August 2025. Approximately 27% of the fund is covered by index puts on a notional basis.

Alphabet was a key contributor to portfolio returns in August, with both quarterly results and broader
newsflow providing further evidence that the company remains well positioned among the leading enablers and beneficiaries of GenAI adoption. Over the month, investor focus gradually shifted from lingering concerns over the durability of its Search franchise toward the breadth of its AI-driven growth engines, underpinned by a steady stream of announcements on deeper Gemini integrations, new enterprise customer wins, robust Google Cloud deal activity, and, notably, the rapid rollout of AI Overviews. Search growth also re-accelerated, and YouTube returned to faster growth on the back of improved ad formats, stronger engagement from Shorts and the introduction of new AI-driven recommendation and content tools. Collectively, these developments have strengthened market confidence in Alphabet’s ability to convert its unmatched traffic base and enterprise relationships into durable, multi-year AI-driven revenue streams.

Rightmove was the largest detractor in the month. The company is the UK’s leading real-estate classifieds platform, where estate and lettings agents, new-homes developers and private vendors pay for memberships and premium packages to list and promote properties on its marketplace. Renewed macro uncertainty around the UK housing market and volatile gilt yields weighed on sentiment toward domestic property-linked stocks, overshadowing a solid first-half performance in which Rightmove delivered 10% revenue growth and a 71% operating margin, achieved rising Average Revenue per Advertiser and record agent retention. Despite the short-term share price pressure, Rightmove’s high-margin, subscription-based model and strong customer retention continue to provide a resilient earnings base and long-term growth opportunity.

Global equity markets, as measured by the MSCI ACWI ex-Australia Index (AUD), posted a modest gain of 0.8% in August, led by strong performances from Japan where ongoing corporate reforms and more supportive policy signals bolstered investor confidence. In the U.S., the S&P 500 Index advanced 2% in local currency, supported by a better-than-expected earnings season across a broad range of sectors and renewed optimism that the Federal Reserve can ease monetary policy without reigniting inflation. Signs of softness in the labour market – most notably a sharp downward revision to non-farm payrolls showing fewer job gains than previously reported – have heightened expectations that the Fed may move more quickly to cut rates in support of economic stability. This shift in policy expectations, combined with resilient corporate profitability and subdued tariff-related inflationary pressures, helped sustain equity market gains despite ongoing geopolitical and fiscal uncertainties.

While market volatility remains elevated, we view it as a source of opportunity. Short-term price dislocations, driven by shifting macro narratives and investor sentiment, have created a͵ractive entry points into high quality businesses in the U.S., China and Europe whose long-term fundamentals remain intact. We are selectively adding to companies that are temporarily out of favour yet continue to exhibit durable competitive advantages, strong balance sheets and compelling growth prospects, thereby positioning the portfolio to benefit as sentiment normalises and intrinsic value is recognised.