Fund Update – September 2020

State Street Australian Equity Fund

The S&P/ASX 300 Index fell -4.0% in September 2020, underperforming
developed market equity returns (MSCI World ex Australia NR Index - AUD). From a sector perspective, Health Care was the only sector to finish
in the green while Energy, Staples, IT and Financials underperformed the most. In contrast to global themes (particularly in the US), Value stocks continued to lag more than expensive stocks in September. The weakness in Value as an investment style was largely down to Financials and Energy.

The State Street Australian Equity Fund outperformed its benchmark during September after fees. From a sector perspective, good stock picking within Financials (AUB Group, not holding CBA) and having a lower than benchmark exposure to Energy were key contributors. On the other hand, negative stock selection within Health Care (not holding CSL) and Industrials (not holding Transurban) detracted from relative performance. The Fund outperformed during the down month of September, highlighting the benefits of the more defensive investment approach.