Vanguard Australian Government Bond Index Fund
About this Fund
Fund Detail
PDS | https://informedinvestor.com.au/view/pds/101047-2024-02-16-03:33.pdf |
FUND MANAGER | Vanguard Investments Australia |
ASX Code | |
APIR | VAN0025AU |
ASSET CLASS | EXCHANGE TRADED FUNDS |
INVESTMENT STYLE | The Fund invests in high-quality, income-generating securities issued by the Commonwealth Government of Australia, Australian State Government authorities and treasury corporations. |
INVESTMENT PROFILE | The Fund seeks to track the return of the Benchmark before taking into account fees, expenses, and tax. |
CURRENCY MANAGEMENT | Unhedged |
INCEPTION DATE | 22-12-2008 |
BENCHMARK | Bloomberg AusBond Government 0+ Yr Index |
FUND SIZE | Bloomberg AusBond Government 0+ Yr Index |
DISTRIBUTION FREQUENCY | Quarterly |
NO. OF HOLDINGS | 100-150 |
FEES | 0.24% p.a. |
STRUCTURE |
Benefits
Benefits | Benefits of investing in the Vanguard Australian Government Bond Index FundThe significant features and benefits of investing in the Fund include:
The significant features and benefits of investing with Vanguard include:
Risk levelLow Investor suitabilityInvestors with a medium term investment horizon, seeking a steady and reliable income stream. |
RISK LEVEL | Low: The potential for relatively stable returns, with a low potential for loss of capital |
INVESTOR SUITABILITY | Investors with a medium term investment horizon, seeking a steady and reliable income stream. |
Risks
Title | |
Detail |
Key Features
About the FundThe Fund invests in high-quality, income-generating securities issued by the Commonwealth Government of Australia, Australian State Government authorities and treasury corporations. While being low cost, the Fund also provides some protection against capital volatility. The investments in the Fund are predominantly rated AA or higher by Standard & Poor's ratings agency or equivalent. Investment objectiveVanguard Australian Government Bond Index Fund seeks to track the return of the Bloomberg AusBond Govt 0+ Yr Index before taking into account fees, expenses and tax. |
Mandate
How we invest your moneyThe Fund seeks to track the return of the Bloomberg AusBond Government 0+ Yr Index before taking into account fees, expenses, and tax. The Bloomberg AusBond Government 0+ Yr Index is a market value-weighted index of securities (bonds) issued by the Commonwealth Government of Australia and Australian State Government financing authorities and treasury corporations. The Fund aims to hold all of the securities in the index, where practical, or otherwise a representative sample of the securities included in the index. Vanguard selects the securities it holds based on liquidity, access to markets, portfolio cash-flow and minimum trade quantities with the aim of tracking the return of the index. Security weightings in the Fund may vary from the index weightings. The Fund may exclude certain securities that are included in the index or may invest in securities that have been or are expected to be included in the index. The Fund may utilise derivative instruments including futures traded on a licensed exchange and over the counter derivative financial instruments. Derivative instruments are used to manage the overall interest rate and credit risk exposure of the Fund where it is either unable to invest directly in physical securities or is in the Fund's best interest to do so. Derivative financial instruments will not be used to leverage the assets of the Fund. In accordance with the index methodology, at the time of purchase the eligible fixed income securities in the Fund must be of an investment grade credit quality, which is determined by reference to ratings published by independent credit research firms. Strategic asset allocation*
*This is a targeted strategic asset allocation. In addition, cash may be held for the purposes of liquidity management and derivatives may be used to manage market exposure. |