Property and infrastructure funds
Property and infrastructure funds blend a range of strategies that invest in Australian and global property and infrastructure securities. Property includes industrial, retail, office, residential and commercial property assets. Infrastructure includes (but not limited too) toll roads, airports, ports, power stations and other essential community projects. Property and infrastructure assets can produce higher returns with reliable income with a moderate to high level of risk.
| Investment Options | Risk Level | Investment Objective | Investment Strategy |
|---|---|---|---|
| Property & Infrastructure Funds | |||
| Vanguard Australian Property Securities Index Fund | 6 – High | The funds seeks to track the returns S&P ASX A-REIT 300 Index before taking into account fees, expenses and tax. | The fund provides a low-cost way to invest in property securities listed on the Australian Securities Exchange. The property sectors in which the Fund invests include retail, office, industrial and diversified. The Fund offers potential long term capital growth and tax-effective income that may include a tax-deferred component. |
| Magellan Infrastructure Fund | 6 – High | To achieve attractive risk-adjusted returns over the medium to long term, while reducing the risk of permanent capital loss. | The fund will invest in companies that generate the dominant part of their earnings from the ownership of infrastructure assets. The investment manager endeavours to acquire these companies at discounts to their assessed intrinsic value. The investment manager anticipates that the fund’s portfolio will comprise 20 to 40 investments and believes such a portfolio will achieve sufficient diversification to ensure the fund is not overly correlated to a single company or to macroeconomic risks. It is the investment manager’s intention to substantially hedge the capital component of the foreign currency exposure of the fund arising from investments in overseas markets back to Australian Dollars. |
