The HM1 portfolio rose by 4.9% in July, outperforming the MSCI World Accumulation Index (AUD), which gained 3.4%. Since inception, HM1 has delivered an annualised pre-tax investment return of 12.2% p.a. As at 31 July, the current annualised yield is 4.7%, fully franked.
During the month, as part of our regular manager engagement, we spoke with HM1 Core Fund Manager TDM Growth Partners on one of their recommended stock picks: Rokt.
Rokt is a rare find. A founder-led, global technology business with a unique (and difficult to penetrate) competitive moat. Rokt reported revenue growth of over 40% year over year in 2024, reaching US$600 million, with this growth expected to continue this financial year. Its customers include Uber, PayPal and Ticketmaster. The company is highly cash generative and boasts growth and profitability metrics rivalling the best listed tech stocks.
HM1 first invested in Rokt in 2023 on the recommendation of Core Fund Manager TDM Growth Partners, viewing it as a high-conviction growth asset unavailable on public markets. A US$335 million secondary share sale was announced in early 2025 valuing the business at US$3.5 billion. Since that date, Rokt has significantly outperformed expectations and given this performance, we have made the decision to lift our holding value by approximately 30% to better reflect a true portfolio weighting. You can learn more about Rokt here.
