MLC Wholesale Inflation Plus - Assertive Portfolio
About this Fund
|FUND MANAGER||MLC Investments|
|INVESTMENT STYLE||The portfolio is broadly diversified across asset classes and investment managers from around the world.|
|INVESTMENT PROFILE||The portfolio aims to deliver a return of 6% p.a. above inflation (before deducting fees) over seven-year periods.|
|CURRENCY MANAGEMENT||Active management|
|BENCHMARK||Consumer Price Index|
|FUND SIZE||Consumer Price Index|
|NO. OF HOLDINGS|
|FEES||0.95% p.a. of the net asset value of the Trust|
Benefits of investing in the MLC Wholesale Inflation Plus - Assertive Portfolio
More confidence that you'll achieve your financial goals
We've designed the Trust to give investors more confidence that they'll receive a return above inflation over a three year timeframe, regardless of ups and downs in investment markets.
Most traditional diversified funds aim to match or outperform a market benchmark. However, even an above-benchmark return won't always be the return investors need, especially when markets are weak. Instead, the Trust's focus is maintaining and growing your real wealth.
We aim to achieve a return above inflation by carefully managing risk, particularly by avoiding the big losses that can set back an investment.
We focus strongly on managing the Trust's risk of negative returns over seven years, mainly through:
Although our investment experts carefully manage the Trust, we can't remove all risk that at times, the Trust may not achieve its objective.
A smoother path to your financial goals
Traditional diversified funds usually have tight asset allocation ranges. This prevents the manager making large adjustments to the mix of assets to manage changing market risk. It also means the fund's returns tend to reflect market movements.
In contrast, in managing the Trust our investment experts can move flexibly between asset classes to manage risk. This means we expect the Trust to perform better in weak markets than a traditional diversified fund. As there's a trade-off between risk and return, this may also mean the Trust lags in strong markets.
We anticipate the outcome for investors will be a pattern of returns that's smoother and less influenced by market movements than a traditional diversified fund.
A proven investment strategy
Since 2005, we have successfully used this flexible, outcome-focussed approach to manage an MLC Inflation Plus portfolio.
A market-leading approach to portfolio design
The approach we use to design and manage the portfolio recognises we live in a complex, changing world.
Key to our approach is a unique Investment Futures Framework, which guides our forward-looking approach to managing risk.
Our investment experts constantly explore the many ways events could unfold in markets worldwide and the potential impact on our portfolios.
Through this careful analysis, our experts discover changing risks and opportunities. We can then adjust the portfolio to manage the risks and capture the potential returns.
This means our portfolios are better positioned to deliver more reliable medium to long-term returns to investors.
Investors who are focused on achieving a return above inflation over a 7 year period, understand the return achieved by the portfolio may be significantly higher or lower than its objective, understand that the portfolio's asset allocation will change significantly over time, and want to manage investment risk by diversifying across asset classes and strategies.
About the Fund
The portfolio aims to deliver a return of 6% pa above inflation (before deducting fees) over seven-year periods, regardless of what global markets are doing.
We aim to achieve the target return by carefully managing risk, particularly by focusing on limiting the risk of big losses that can set back your investment. We manage risk mainly through the portfolio's flexible asset allocation, which we adjust as markets change, and by investing in a very wide range of assets and strategies.
MLC's approach to investing
For over 30 years our investment experts have been designing portfolios using a multi-manager approach to help investors achieve their goals.
The four key aspects of this market-leading investment approach are:
How we invest your money
The key aspects of the way the Trust is managed are:
MLC expects that by managing the Trust in this way, movements in the Trust's value (both up and down) should be less significant.
Asset allocation ranges
TOTAL FIXED INTEREST & CASH: 0%-120%
TOTAL SHARES & LISTED PROPERTY TRUSTS: 0%-120%
TOTAL ASSETS: 100%-140%