I like to keep an eye on the substantial shareholder notices that are released to the ASX. This is because these notices give you an idea of which shares large investors, asset managers, and investment funds are buying or selling.
Two notices that have caught my eye this week are summarised below. Here's what these fund managers have been buying:
iSelect Ltd (ASX: ISU)
A change of interests of substantial holder notice reveals that Thorney International and its subsidiary Thorney Technologies Ltd (ASX: TEK) have been buying more of this comparison website operator's shares. According to the notice, the fund manager has recently added a further ~4.2 million shares to its holding, lifting its total to just under 24.1 million shares. This represents an 11.04% stake in iSelect.
The iSelect share price fell to a record low earlier today and is now down by a massive 74% since this time last year. Judging by its purchases, it would appear as though analysts at Thorney believe this selloff has been overdone and left its shares trading at an attractive level.
Kogan.com Ltd (ASX: KGN)
According to a notice of initial substantial holder, FMR LLC, better known as Fidelity Investments, has been buying this ecommerce company's shares. The notice reveals that Fidelity has been adding to its existing position since 23 June and now owns a total of 5,353,238 shares. This is the equivalent of a 5.08% stake in the company.
Over the last 30 days, Fidelity picked up a total of 2,559,265 shares. It was buying as low as $14.80 in June and as high as $17.94 last week. Given that the Kogan share price is currently changing hands for $17.41, it would appear as though this fund manager still sees value in the company's shares at the current level.
