Firetrail Australian High Conviction Fund
The Fund aims to outperform the S&P/ASX 200 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 our 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 we believe offer the most attractive forecast returns based on our medium-term view.
James Miller, Patrick Hodgens, Blake Henricks
Unlisted, open-ended Australian unit trust
Semi-annually, subject to the Fund having sufficient distributable income as at 30 June and 31 December.
Management fee 1,2
Performance fee 3,4
15% of the Fund’s excess return versus its benchmark, net of the management fee
Minimum initial investment5
Buy / sell spread
+ 0.25% / – 0.25%
Prices and distributions
Prices and distributions
The Fund’s key investment guidelines are summarised below. For further details, please refer to the latest Product Disclosure Statement.
|Benchmark||S&P/ASX 200 Accumulation Index|
Australian and New Zealand equities: Typically 0 – 90%
Cash: 0 – 10%
|Stock numbers||Approximately 25|
|Suitable investor profile||The Fund may be suitable for investors who are looking to outperform the S&P/ASX 200 Accumulation Index over the medium to long term and are prepared to accept the risks of the Fund set out in section 4 of the Product Disclosure Statement.|
|Suggested investment timeframe||5 years or more|
|Short selling||Not permitted|
|Linear Managed Accounts||✔|
1.The management fee is payable to the Investment Manager for managing the investments of the Fund. The management fee is calculated on the Fund’s net asset value, reflected in the daily unit price and payable monthly in arrears from the Fund.
2.Fees are inclusive of GST and of any applicable reduced input tax credits (‘RITC’).
3.The performance fee is calculated and accrued each business day and is payable quarterly, if applicable
4.The Fund’s benchmark is the S&P/ASX 200 Accumulation Index. Refer to ‘Performance fees’ information in ‘Additional explanation of fees and costs’ in the Product Disclosure Statement for further information.
5.The Responsible Entity has the discretion to accept lower initial investments. Does not apply to IDPS investments.
^The portfolio allocation ranges provided are indicative only. The Fund will be rebalanced within a reasonable period of time should the exposure move outside these ranges. The Fund is typically expected to be fully invested. A portion of the portfolio may be allocated to cash or derivatives for liquidity purposes. The Fund may hold exchange traded derivatives to a maximum of 10% of the Fund’s NAV.
The Zenith Investment Partners (“Zenith”) Australian Financial Services License No. 226872 rating (WHT3810AU assigned June 2018 ) referred to in this document is limited to “General Advice” (s766B Corporations Act 2001) for Wholesale clients only. This advice has been prepared without taking into account the objectives, financial situation or needs of any individual and is subject to change at any time without prior notice. It is not a specific recommendation to purchase, sell or hold the relevant product(s). Investors should seek independent financial advice before making an investment decision and should consider the appropriateness of this advice in light of their own objectives, financial situation and needs. Investors should obtain a copy of, and consider the PDS or offer document before making any decision and refer to the full Zenith Product Assessment available on the Zenith website. Past performance is not an indication of future performance. Zenith usually charges the product issuer, fund manager or related party to conduct Product Assessments. Full details regarding Zenith’s methodology, ratings definitions and regulatory compliance are available on our Product Assessments and at https://www.zenithpartners.com.au/regulatory-guidelines-funds-research
Firetrail Australian High Conviction Fund received a Morningstar Analyst RatingTM of ‘Bronze’ on 22 October 2019. © 2019 Morningstar, Inc. All rights reserved. Neither Morningstar, its affiliates, nor the content providers guarantee the data or content contained herein to be accurate, complete or timely nor will they have any liability for its use or distribution. Any general advice or ‘class service’ have been prepared by Morningstar Australasia Pty Ltd (ABN: 95 090 665 544, AFSL: 240892) and/or Morningstar Research Ltd, subsidiaries of Morningstar, Inc, without reference to your objectives, financial situation or needs. Refer to our Financial Services Guide (FSG) for more information at www.morningstar.com.au/s/fsg.pdf. You should consider the advice in light of these matters and if applicable, the relevant Product Disclosure Statement before making any decision to invest. Our publications, ratings and products should be viewed as an additional investment resource, not as your sole source of information. Past performance does not necessarily indicate a financial product’s future performance. To obtain advice tailored to your situation, contact a professional financial adviser.
The Lonsec Ratings (assigned as follows: Firetrail Australian High Conviction Fund – assigned July 2019, Firetrail Absolute Return Fund – assigned July 2019) presented in this document are published by Lonsec Research Pty Ltd ABN 11 151 658 561 AFSL 421445. The Ratings are limited to “General Advice” (as defined in the Corporations Act 2001 (Cth)) and based solely on consideration of the investment merits of the financial products. Past performance information is for illustrative purposes only and is not indicative of future performance. They are not a recommendation to purchase, sell or hold Firetrail Investments Pty Limited products, and you should seek independent financial advice before investing in these products. The Ratings are subject to change without notice and Lonsec assumes no obligation to update the relevant documents following publication. Lonsec receives a fee from the Fund Manager for researching the products using comprehensive and objective criteria. For further information regarding Lonsec’s Ratings methodology, please refer to Lonsec’s website at: https://www.lonsecresearch.com.au/research-solutions/our-ratings