Summary
This product is likely to be appropriate for a consumer seeking returns of 1.5% to 3.0% p.a. above the RBA cash rate after management costs, over a rolling 1 year period, to be used as a short term or low duration fixed-interest solution within a portfolio where the consumer has a suggested minimum investment timeframe of 3 years, a low to very high risk/return profile and needs daily access to capital.
Details
Consumer's investment objective
Capital Growth
Not in target market
Capital Preservation
In target market
Capital Guaranteed
Not in target market
Income Distribution
In target market
More Information:
The Fund’s investment objective is to provide the investor with low-risk, quarterly income and total returns which are greater than the RBA Overnight Cash Rate plus 1.50% to 3.00% after fees and expenses on a rolling 12-month basis.
Distributions will generally be paid quarterly in January, April, July and October.
Consumer's intended product use
Solution/Standalone - a large allocation (75-100% of portfolio)
Not in target market
Core Component - a medium allocation (25-75% of portfolio)
In target market
Satellite - a small allocation (<25% of portfolio)
In target market
More Information:
The Funds’ investment strategy and approach is using an active investment manager to employ an active asset allocation between cash and riskier debt/ hybrid securities. The Fund is able to switch between cash and debt securities based on the portfolio manager’s valuation views of each sector.
The Fund aims to hold between 30 to 60 securities including bonds, asset backed securities, hybrid securities, cash and cash equivalents. The Fund may also use derivatives for risk management purposes, though not to a material extent.
The Fund’s typical asset allocation:
• Bonds: 50% to 90%
• Asset backed securities 0% to 40%
• Hybrid securities: 0% to 40%
• Cash and cash equivalents: 2% to 20%
The Fund has Medium portfolio diversification.
Consumer's investment timeframe
Short (<= 2 years)
Not in target market
Medium (>2 years)
In target market
Long (>8 years)
Potentially in target market
More Information:
The minimum suggested investment time frame for the Fund is 3 years.
Consumer's Risk (ability to bear loss) and Return Profile
Low - can tolerate up to 1 period of underperformance over 20 years
Potentially in target market
Medium - can tolerate up to 4 periods of underperformance over 20 years
In target market
High - can tolerate up to 6 periods of underperformance over 20 years
Not in target market
Very High - can tolerate over 6 periods of underperformance over 20 years
Not in target market
More Information:
The Investment Manager considers that the ‘standard risk measure’ for this Fund is a Low to Medium risk rating, which means that Fund is designed for consumers who are moderate or medium risk in nature, seeking to minimise potential losses (e.g. has the ability to bear up to 4 negative returns over a 20 year period (SRM 3)) and comfortable with a moderate target return profile.
Consumer's need to withdraw money
Quarterly
In target market
Annually or longer
In target market
More Information:
Given the Fund is admitted to trading status on the ASX AQUA Market, investors will normally be able to sell their units in the Fund on any business bay, being a day other than a Saturday or Sunday on which banks are open for general banking business in Sydney.
Subject to the Fund’s constitution and the Act, where the Fund is liquid but trading in the Units has been suspended on the ASX AQUA Market for more than 5 consecutive business days, investors may be able to apply directly to the Issuer to make an off-market withdrawal.
