Argo Investments Limited
Overview
| LIC Name | Argo Investments Limited |
| ASX Ticker | ARG |
| Listing Year | 1946 (77 years operating) |
| Size (Market Cap) | $6.7B |
| Investment Focus | Australian Equities |
| Portfolio Bias | Large Cap |
| Benchmark | S&P/ASX 200 Accumulation Index |
| Management Structure | Internally Managed |
| Investment Manager | N/A (Internally Managed) |
| Management Fee Structure | N/A (Internally Managed) |
| Performance Fee Structure | No Performance Fee |
| Cost Indicator (FY23) | 0.16% |
| Objective | To maximise long-term shareholder returns through reliable fully franked dividend income and capital growth. Actively managing a diversified portfolio of Australian shares with a low-cost, internally managed business model, we apply a conservative, long term investment approach which has proven resilient since 1946. |
| Objective | |
| To maximise long-term shareholder returns through reliable fully franked dividend income and capital growth. Actively managing a diversified portfolio of Australian shares with a low-cost, internally managed business model, we apply a conservative, long term investment approach which has proven resilient since 1946. |
|
| Recent Annual Reports | 2023, 2022, 2021, 2020, 2019, 2018, 2017, 2016, 2015, 2014 |
Key Personnel
Board Members
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Russell Higgins AO
Independent Non-executive Director and Chairman
Joined ARG: 2011
Shares Owned: 119K
Share Value: $1.0M
*Share data from 2023 Annual Report
Russell Higgins joined the Board in 2011 and was appointed Chairman on 1 July 2018. He is also a member of the Audit and Risk Committee. <br><br>Russell is an experienced company director who has worked at very senior levels of both government ...
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Jason Beddow
Non-Independent Managing Director
Joined ARG: 2001
Shares Owned: 415K
Share Value: $3.7M
*Share data from 2023 Annual Report
Jason Beddow was appointed Managing Director in February 2014 after four years as Chief Executive Officer. He has over 20 years' experience in the investment industry. <br><br>After completing an engineering degree while working in the mining ...
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Roger Davis
Independent Non-executive Director
Joined ARG: 2012
Shares Owned: 34K
Share Value: $298K
*Share data from 2023 Annual Report
Roger Davis joined the Board in 2012. He is currently Chair of the Remuneration Committee. <br><br>His extensive executive career includes over 30 years' experience in banking and investment banking in Australia, Japan and the US. He spent more ...
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Christopher Cuffe AO
Independent Non-executive Director
Joined ARG: 2016
Shares Owned: 15K
Share Value: $132K
*Share data from 2023 Annual Report
Christopher Cuffe joined the Board in 2016 and is a member of the Audit and Risk Committee. He has more than 30 years of experience in wealth management practices. Most notably he joined Colonial First State in 1988 and became its CEO two years ...
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Elizabeth Lewin
Independent Non-executive Director
Joined ARG: 2018
Shares Owned: 15K
Share Value: $130K
*Share data from 2023 Annual Report
Elizabeth Lewin was appointed to the Board on 1 July 2018 and is currently a member of the Remuneration Committee. <br><br>She has over 25 years of international experience in the financial services sector, with an extensive background in wealth ...
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Lianne Buck
Independent Non-executive Director
Joined ARG: 2022
Shares Owned: 10K
Share Value: $90K
*Share data from 2023 Annual Report
Lianne Buck joined the Board in 2022 as an independent Non-executive Director. She is currently Chair of the Audit and Risk Committee. <br><br>Lianne has over 20 years of experience in Australian and global investment markets. She commenced her ...
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Peter Warne
Independent Non-executive Director
Joined ARG: 2022
Shares Owned: 0
Share Value: $0
*Share data from 2023 Annual Report
Peter Warne joined the Board in 2022 and is a member of the Remuneration Committee. <br><br>He is an experienced director with extensive knowledge of the financial services and investment banking sectors. An actuary by background, his executive ...
Investment Management
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Jason Beddow
Non-Independent Managing Director
Joined ARG: 2001
Shares Owned: 415K
Share Value: $3.7M
*Share data from 2023 Annual Report
Jason Beddow was appointed Managing Director in February 2014 after four years as Chief Executive Officer. He has over 20 years' experience in the investment industry. <br><br>After completing an engineering degree while working in the mining ...
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Andy Forster
Senior Investment Officer
Joined ARG: 2010
Andy Forster joined Argo in 2010 as an Investment Analyst and was promoted to Senior Investment Officer in 2015. Andy has over 20 years experience as an analyst and portfolio manager. <br><br>Prior to joining the Company, Andy was a founding ...
Shareholders & Portfolio Size
Number of Shareholders
Portfolio Size
Portfolio Holdings
Top 20 Holdings at end of FY 2023
Performance
Historical Performance
| Updated: February 2024 | 1yr | 3yrs | 5yrs | 10yrs |
|---|---|---|---|---|
| With Dividends Reinvested - Net | 1.8% | 5.5% | 6.9% | 5.9% |
| With Dividends Reinvested - Gross | 3.5% | 7.1% | 8.6% | 7.6% |
Chart of Historical Performance
Dividends
Dividend History
| Payment Date | Dividend Type | Dividend Amount | Franking Level |
|---|---|---|---|
| 15 Sep, 2023 | Final | $0.18 | 100% |
| 10 Mar, 2023 | Interim | $0.165 | 100% |
| 16 Sep, 2022 | Final | $0.17 | 100% |
| 11 Mar, 2022 | Interim | $0.16 | 100% |
| 17 Sep, 2021 | Final | $0.14 | 100% |
| 12 Mar, 2021 | Interim | $0.14 | 100% |
| 18 Sep, 2020 | Final | $0.14 | 100% |
| 06 Mar, 2020 | Interim | $0.16 | 100% |
| 13 Sep, 2019 | Final | $0.17 | 100% |
| 08 Mar, 2019 | Interim | $0.16 | 100% |
Chart of Dividend History
Corresponding Dividend Yields
Dividend Comparison
Costs
Cost Indicator (%)
Actual Costs
Share Price vs NTA
Some Common Questions about ARG
Argo Investments Limited (ARG) is an Australian Listed Investment Company (LIC) listed on the Australian Stock Exchange (ASX) with the ticker code ARG. ARG has a rich history, dating back to its listing in 1946. It is known for its focus on Australian equities, particularly in the large-cap segment of the market.
Argo Investments is a well-established LIC with a market capitalisation of around $6 billion, making it one of the significant players in the Australian LIC space. The company follows a conservative, long-term investment approach, aiming to provide reliable fully franked dividend income and capital growth to its shareholders.
Argo Investments Limited (ARG) has been actively managing shareholder funds for over 77 years, making it one of the oldest and most trusted LICs in Australia. During its long history, it has earned the trust of investors, and its shareholder base has grown steadily.
As of now, Argo Investments has a market capitalisation of approximately $6 billion, a testament to its enduring presence and successful investment strategies. This places Argo Investments among the largest LICs on the ASX.
When evaluating Argo Investments Limited (ARG) as an investment choice, there are several key metrics to consider:
- Long-term performance: One crucial factor is the company's long-term performance. Has Argo consistently delivered returns at or above its benchmark, the S&P/ASX 200 Accumulation Index, over a period of 5 years or more?
- Dividend reliability: ARG aims to provide reliable fully franked dividend income. It's essential to assess whether the company has a history of maintaining or growing its dividend over time. Investors should also consider the net and gross dividend yields to understand the cash dividend and its franking tax credits.
- Underlying holdings: Understanding where ARG invests your money is vital. As an internally managed LIC, it focuses on Australian equities, particularly in the large-cap segment. Reviewing its portfolio and being comfortable with its investment choices is crucial.
- Fees: Consider the cost of investing in ARG. The Management Expense Ratio (MER) is a helpful metric, and in the most recent financial year, ARG's MER was 0.14%, indicating relatively low fees for investors.
Argo Investments Limited's objective is to maximize long-term shareholder returns through a conservative, long-term investment approach. This approach has proven resilient since 1946, making ARG an attractive option for investors seeking reliable fully franked dividend income and capital growth.
A Listed Investment Company (LIC) is one type of investment fund structure (i.e. shareholder funds pooled together and invested together, either actively by a manager, or passively). Other types of investment funds include Exchange Traded Funds (ETFs) (which can be both actively managed or passive), Listed Investment Trusts, or Managed Funds.
The different structures have their own positives and negatives, which are dependent on the goals of the investor and their own individual investment structure.
Some of the benefits of the LIC structure (the structure of ARG) include:
- It's a closed-end investment vehicle: Meaning the manager has a fixed pool of capital to invest with a long-term mindset, and doesn't have the risk of fast redemptions by investors in a time of market panic.
- They can smoothen out income to the investors: Which can be beneficial for both tax efficiency and emotional mindset, due to being able to retain profits over time (as compared to the trust structure, which must distribute income and crystallized capital gains to the investor in that financial year).
- The income will most likely be in the form of fully franked dividends: Which is an attractive form for Australian retirees due to the franking system in Australia. Since LICs are companies themselves and pay tax in Australia on profits, they receive franking credits paid on the tax they pay, in addition to the franking credits they receive from their investment portfolio. Well-managed LICs ensure their franking credit reserves are sufficient to pay future fully franked dividends (see 'franking reserves' chart above).