Capacity Update: Kopernik Global All-Cap Equity Fund

Kopernik Global All-Cap Equity Fund Soft Close to New Investors

After significant consideration, and consistent with Kopernik’s approach of limiting capacity to enhance return potential, the decision has been taken to soft close the Kopernik Global All-Cap (GAC) strategy. This will come into effect as of 30/04/2026 and will include the soft close of the $2.5bn Heptagon Kopernik Global All-Cap Equity Fund (“UCITS Fund”). Please note that investors of the UCITS Fund at the soft close date will continue to be able to access the fund going forward.

Why is Kopernik soft closing the Strategy?

To optimise Kopernik’s ability to generate superior returns, it is important that they maintain a size that allows for full participation in all of the capitalization segments of the markets, during all market environments. Kopernik is committed to putting client needs first and to continue to invest in the best bargains. Kopernik manages capacity carefully to ensure sufficient investment liquidity, and to preserve their ability to generate alpha and prevent permanent loss of invested capital for their clients. This means that they need to maintain the ability to take advantage of investment opportunities across different markets, countries, industries/sectors, and across the market capitalization spectrum. When mid and smaller capitalization stocks are bargains, Kopernik must be able to take advantage of those opportunities. Therefore, as has been stated from the launch of Kopernik Global Investors, Kopernik intends to maintain a manageable level of AUM ($8-$10bn in the GAC strategy, sub-$20bn firmwide).

As the GAC strategy is now above $8bn, with the UCITS Fund at $2.5bn, Kopernik believe now is a prudent time to limit investment in the strategy.

What does this mean for clients?

We hope that this action demonstrates Kopernik’s commitment to placing the wellbeing of their clients first. We are, of course, cognizant that this causes some inconvenience for clients, but are hopeful that clients agree that it is well worth the inconvenience due to the enhanced alpha generating potential of the investment portfolios and the preservation of clients’ ability to manage future fund flow needs by minimizing hard close possibility.

Why investors should still consider the Kopernik Global All‑Cap Equity Fund, even after a very strong 2025.

Despite the Fund’s 63.9% return in 2025, the investment case remains compelling because the strategy is driven by valuation, not momentum. Kopernik’s investment process is to invest in companies that have a large discount to intrinsic value. During 2025, Kopernik trimmed positions where discounts narrowed (e.g., gold miners falling from c.15% to 6.5% of the fund) and redeployed capital into areas with more valuation upside—such as platinum/palladium, copper, base and bulk metals, iron ore and diversified miners.

As Kopernik has recently highlighted, valuation bifurcations today are among the most extreme historically. If capital begins to rotate even modestly out of mega cap growth into undervalued real asset businesses, the move could be significant. With the Fund still 132% below Kopernik’s Risk Adjusted Intrinsic Value (“RAIV”) estimate (as of 30.09.2025), the case for forward returns remains compelling.