Allan Gray portfolio manager Suhas Nayak says it’s no coincidence that his $2.6 billion Australian equities fund has blitzed the market in what has been a character-building year for fund managers, with several rivals shutting down and the local sharemarket going backwards.

That’s because Nayak is a contrarian investor, so he’s buying stocks when others are running for the exits, and selling when things are good. In theory, that means returns are entirely dislocated from the tides of the broader market.

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