Australian share funds
Australian share funds invest primarily in approved unit trust schemes that have exposure to a diversified portfolio of Australian shares or invest directly into a range of actively managed Australian shares listed on the ASX. These funds provide attractive investment opportunities for investors seeking medium to long term capital growth with income.
| Investment Options | Risk Level | Investment Objective | Investment Strategy |
|---|---|---|---|
| Australian Share Funds | |||
| Vanguard Australian Shares Index Fund | 6 – High | The Vanguard Australian Shares Index Fund seeks to track the return of the S&P/ASX 300 Index before taking into account fees, expenses and tax. | The fund provides low cost, broadly diversified exposure to Australian companies and property trusts listed on the Australian Securities Exchange. It also offers potential long-term capital growth along with dividend income and franking credits. |
| AB Managed Volatility Equities Fund | 6 – High | The fund aims to achieve returns that exceed the S&P/ASX 300 Franking Credit Adjusted Daily Total Return Index (TaxExempt) after fees over the medium to long term. | The fund implements a managed volatility equities strategy that aims to reduce volatility by identifying, and investing in, high-quality listed equity securities that have reasonable valuations, high-quality cash flows and relatively stable share prices. This fund can invest up to 20% in international shares. |
| Yarra Ex-20 Australian Equities Fund | 6 – High | To achieve medium-to-long term capital growth through exposure to Australian Securities Exchange listed securities excluding those included in the S&P/ASX 20 Index. In doing so, the aim is to outperform the S&P/ASX 300 ex S&P/ASX 20 Accumulation Index over rolling three-year periods. | The philosophy of the fund is based on the belief that markets are competitive but not perfectly efficient and that mispricing opportunities arise when the market’s valuation (as depicted in the share price) doesn’t reflect the manager’s views on a company’s true value. The Fund invests in securities which are listed or to be listed on the Australian Securities Exchange (excluding securities in the S&P/ASX 20 Index) with a bias towards those within the S&P/ASX 300 ex S&P/ASX 20 Index. Investments in securities that are elevated to the S&P/ASX 20 Index will be sold within 18 months. Generally, 15 to 35 securities are held in the portfolio. Where appropriate, financial derivatives will be used to manage investment risk and gain or reduce exposure to relevant markets in an efficient manner whilst still remaining within allowable asset allocation ranges. |
| Firetrail Australian High Conviction Fund | 6 – High | The fund aims to outperform the ASX200 accumulation index over the medium to long term. | The fund provides exposure to a concentrated portfolio of approximately 25 Australian securities at any time. Only those securities that Firetrail’s investment team has the highest conviction to generate the greatest returns will be included in the portfolio. The process employs an unconstrained approach to fundamental research to identify companies Firetrail believes offer the most attractive forecast returns based on our medium-term view. |
| Firetrail Australian Small Companies Fund | 7 – Very high | The Fund aims to outperform the S&P/ ASX Small Ordinaries Accumulation Index over the medium to long term after fees. | The Fund will typically hold approximately 40 small company securities at any point in time. Typically, up to 20% of the Fund may be held in companies in the S&P/ASX 100 Index (but not in the S&P/ASX 50 Index). The Fund may invest in derivatives, including futures. A derivative is a contract between two parties that derives its value from an underlying asset (or group of assets) and can be a highly volatile investment instrument. The derivative itself is a contract between two or more parties based upon the asset or assets. In addition to managing exposure of the Fund, the use of derivatives offers the opportunity for higher gains and can also magnify losses to the Fund. The Fund will invest in over-the-counter (OTC) derivatives or derivatives that are traded on a regulated exchange. The total notional value of derivatives (OTC and exchange traded derivatives) for the Fund will not exceed 10% of the NAV of the Fund, excluding derivatives used for currency hedging purposes. The Fund will not use derivatives for gearing purposes. |
| Betashares Geared Australian Equity Fund (hedge fund) | 7 – High | Provide investors with a simple way to obtain cost-effective geared exposure to the returns of the Australian share market. | The fund implements its strategy by combining application money from investors with borrowed funds, and investing the proceeds in a broadly diversified share portfolio generally consisting of approximately 200 of the largest equity securities on the ASX. The responsible entity anticipates that the gearing ratio will generally vary between 50-65% on any given day. |
| Fidelity Future Leaders Fund | 6 – High | To achieve returns in excess of the S&P/ ASX Mid Small Index over the suggested minimum investment time period of five to seven years. | The fund provides investors with the potential for long-term capital growth by investing in a portfolio of listed mid- and small-cap Australian shares. It delivers significant diversification benefits by investing in 40 to 70 Australian companies. Through in-house, bottom-up company research, Fidelity aims to uncover the opportunities that it believes offer the greatest scope for outperformance. |
| Greencape Broadcap Fund | 6 – High | The fund aims to outperform S&P/ASX 300 Accumulation Index over rolling three-year periods. | Greencape is an active, ‘bottom-up’ stock picker. Whilst Greencape does not target any specific investment style and will invest in stocks displaying ‘value’ and ‘growth’ characteristics, its focus on a company’s qualitative attributes will generally lead to ‘growth’ oriented portfolios. This is an outcome of its bottom-up process. As such, Greencape’s investment style may be classified as ‘growth at a reasonable price’. The fund invests in 25 to 70 companies applying a ‘best ideas mentality’. This means that significant positions may be taken irrespective of the size of the company. The fund can invest in Australian listed companies as well as up to 10% in stocks listed on any international stock exchange. |
Alphinity Sustainable Share Fund  | 6 – High | The fund aims to outperform the S&P/ASX 300 Accumulation Index after costs and over rolling five-year periods. | The fund provides a diversified portfolio of Australian stocks listed on the ASX that have strong Environmental, Social and Governance (ESG) characteristics and, where possible, contribute towards the advancement of the UN Sustainable Development Goals (SDG) agenda.The fund aims to be invested across different industries and sectors in order to meet the fund’s investment objectives in a risk-controlled manner. The fund will utilise Alphinity’s unique process of seeking sustainable, undervalued companies in or about to enter an earnings upgrade cycle. |
| Perpetual Income Share Fund | 6 – High | The Fund aims to provide investors with exposure to a diversified portfolio of tax-effective high income yielding Australian securities that are also expected to produce some long-term capital growth and deliver an above market dividend yield as measured by the S&P/ASX 200 Accumulation Index. | Perpetual researches companies of all sizes using consistent share selection criteria. Perpetual’s priority is to select those companies that represent the best investment quality and are appropriately priced. In determining investment quality, investments are carefully selected on the basis of four key investment criteria: conservative debt levels, sound management, quality business and recurring earnings. Derivatives may be used in managing the Fund. |
