Fixed Income Strategy 2

The Fixed Income Strategy 2 (“FIS2” or “the Fund”) objective is to outperform the Bloomberg Global Aggregate Index (AUD Hedged) over rolling 5 year periods.

The Fund generally gains its investment exposure by investing in a diversified portfolio of fixed income securities which include both direct and indirect exposure through the use of derivatives.

Units will be issued at a price equal to the net asset value (“NAV”) of the Fund adjusted for estimated transaction costs (also described as Buy Spread), divided by the number of Units on issue at the relevant time. At the date of the new PDS effective 29 July 2024, the Buy Spread is 0.20% (or 20 basis points), and Sell Spread is 0.18% (or 18 basis points).

The minimum initial investment is $5,000 and thereafter in $1,000 increments.

The minimum suggested time frame for investment in the Fund is at least 5 years.

What are the benefits of investing in the Fund?

  • Access to specialist fund managers: Professional management through a set of experienced Underlying Investment Managers.

  • Active management: Active monitoring and investment manager selection with the objective of providing enhanced returns, risk management and diversification across fixed income markets.

  • Diversified exposure to global fixed income: The Fund provides diversified exposure to the global fixed income sector.

  • Quarterly income: Potential for quarterly income from the global fixed income asset class.

  • Lower minimum investment: A retail investor will be able to gain an indirect exposure to the Underlying Strategies of the Fund for a minimum investment of $5,000 in the Fund. (The Underlying Strategies in which the Fund invests may not all be available to Australian and New Zealand retail investors directly).

Target Market Summary

This product is intended for use within a portfolio as a minor component (up to 25%) or a core holding (up to 50%) for a consumer who is seeking capital growth and income distribution and has a medium risk and return profile for that portion of their investment portfolio. It is likely to be consistent with the financial situation and needs of a consumer with a medium-term (5 years) investment timeframe and who is unlikely to need to withdraw their money on less than five business days’ notice.

Important Information

This information is of a general nature only and has been prepared without taking into account your objectives, financial situation and needs. Before acting on this information you should consider its appropriateness having read to your circumstances. You should obtain and consider the latest product disclosure statement before making a decision to invest in the fund.