Overview

90 West Asset Management Limited

The company was founded by Clive Landale in July 2008 as a specialist Natural Resources Fund Manager.  Currently 90 West manages the 90 West Global Basic Materials Fund and was voted one of the three finalists in the 2010 Australia Hedge fund awards (Best Emerging Manager Category).  In July 2011 the company was recapitalized and David Whitten joined as an equal partner and Executive Chairman of 90 West Asset Management Ltd.

Market Opportunity

A massive wealth shift is occurring from West to East. China has placed itself as the manufacturing hub of the world and therefore its 'Achilles Heel' is cost based inflation. This has led to a thirst for raw material assets.

The resources industry has consolidated since the last serious recession. This has allowed a much quicker response time on closing supply to match a fall in demand. In the past this took longer and allowed a bigger build of inventories in the down-leg of the cycle. This led to a more extended cycle rather than the shorter cycle we are seeing now.

There is a gap in the perception of value in resources companies between Western based investors and Eastern based investors. That should see a continuance of the mergers and acquisitions in this space.

Every low point in a cycle throws up cheap asset prices. We have seen a liquidity driven bear market which drove asset prices lower than previous cycles. The bull market fuelled an exploration boom which has led to new discoveries. Quality explorers will survive and thrive.