Vanguard Ethically Conscious Global Aggregate Bond Index Fund (Hedged)
About this Fund
Fund Detail
PDS | https://informedinvestor.com.au/view/pds/101775-2023-10-31-03:33.pdf |
FUND MANAGER | Vanguard Investments Australia |
ASX Code | |
APIR | VAN2989AU |
ASSET CLASS | EXCHANGE TRADED FUNDS |
INVESTMENT STYLE | The Fund seeks to track the return of the Bloomberg MSCI Global Aggregate SRI Exclusions Float Adjusted Index hedged into |
INVESTMENT PROFILE | The Fund aims to hold an appropriate number of securities so as to produce a portfolio risk exposure profile consistent with that of |
CURRENCY MANAGEMENT | Hedged |
INCEPTION DATE | 13-11-2018 |
BENCHMARK | Bloomberg Barclays MSCI Global Aggregate SRI Exclusions Float Adjusted Index Hedged into Australian dollars |
FUND SIZE | Bloomberg Barclays MSCI Global Aggregate SRI Exclusions Float Adjusted Index Hedged into Australian dollars |
DISTRIBUTION FREQUENCY | Quarterly |
NO. OF HOLDINGS | Around 5000 |
FEES | 0.28% p.a. |
STRUCTURE |
Benefits
Benefits | Benefits of investing in the Vanguard Ethically Conscious Global Aggregate Bond Index Fund (Hedged)The significant features and benefits of investing in the Fund include:
The significant features and benefits of investing with Vanguard include:
Risk levelMedium Investor suitabilityInvestors seeking exposure to a diversified portfolio of international fixed interest securities with an ethically conscious screen that is relatively unaffected by currency fluctuations. |
RISK LEVEL | Medium: The potential for relatively higher returns than lower risk investments with the potential for loss of capital over the medium term |
INVESTOR SUITABILITY | Investors seeking exposure to a diversified portfolio of international fixed interest securities with an ethically conscious screen that is relatively unaffected by currency fluctuations |
Risks
Title | |
Detail |
Key Features
About the FundThe Fund provides low-cost exposure to high-quality, income-generating securities issued by governments, government-owned entities, government- guaranteed entities, investment-grade corporate issues and securitised assets from around the world. In constructing the Index, using MSCI research, Bloomberg Barclays (the Index provider) excludes the securities of issuers that engage in activities in, and/or derive revenue (above a threshold specified by the Index provider) from, fossil fuels, nuclear power, alcohol, tobacco, gambling, weapons and adult entertainment. This index methodology also excludes the securities that have a controversy score above a threshold specified by MSCI. Where MSCI has insufficient or no data available to adequately assess a particular security relative to the ethically conscious criteria of the Index, these securities may not be excluded. Investors should be aware that the index methodology only screens the securities of issuers that are researched by MSCI. The screening process does not review government securities, and certain securitised assets and company structures, particularly government related corporations and non-listed companies. Accordingly, securities issued by non-screened entities may also be contained in the Index that is tracked by the Fund. The investments in the Fund are predominantly rated BBB- or higher by Standard & Poor's or equivalent ratings agency. The Fund is hedged to Australian dollars so the value of the Fund is relatively unaffected by currency fluctuations. Investment objectiveVanguard Ethically Conscious Global Aggregate Bond Index Fund (Hedged) - AUD Hedged seeks to track the return of the Bloomberg Barclays MSCI Global Aggregate SRI Exclusions Float Adjusted Index Hedged into Australian dollars before taking into account fees, expenses and tax. Benefits of investing with VanguardCompetitive long-term performance
Diversification
Low cost investing
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Mandate
How we invest your moneyThe Fund seeks to track the return of the Bloomberg Barclays MSCI Global Aggregate SRI Exclusions Float Adjusted Index hedged into Australian dollars (AUD) (Index) before taking into account fees, expenses and tax. The Index is a market value weighted index comprised of global investment grade securities (securities) including government, government-related, corporate and securitised fixed rate bonds from both developed and emerging market issuers. Bloomberg Barclays (the Index provider) constructs the index based on ethically conscious criteria with research data supplied to the Index provider by MSCI. Index construction and any securities that are excluded based on the ethically conscious criteria, is independent of Vanguard. In constructing the Index, using MSCI research, the Index provider excludes the securities of issuers that engage in activities in, and/or derive revenue (above a threshold specified by the Index provider) from, fossil fuels, nuclear power, alcohol, tobacco, gambling, weapons and adult entertainment. This index methodology also excludes the securities that have a controversy score above a threshold specified by MSCI. Where MSCI has insufficient or no data available to adequately assess a particular security relative to the ethically conscious criteria of the Index, these securities may not be excluded. Investors should be aware that the index methodology only screens the securities of issuers that are researched by MSCI. The screening process does not review government securities, and certain securitised assets and company structures, particularly government related corporations and non-listed companies. Accordingly, securities issued by non-screened entities may also be contained in the Index that is tracked by the Fund. Further details in relation to the Index including details as to its exact composition, methodology, and exclusions and any revenue thresholds, can be obtained by visiting Bloomberg Barclays at www.bloomberg.com/professional/product/indices/bloomberg- barclays-indices-fact-sheets-publications/. The Fund aims to hold an appropriate number of securities so as to produce a portfolio risk exposure profile consistent with that of the index. This is generally achieved by holding a representative sample of securities included in the index or securities that provide similar characteristics to those securities in 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 gain exposure to securities directly or through interests in other funds, such as exchange traded funds. 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. Vanguard will seek to hedge the Fund's currency exposure back to the Australian dollar using forward foreign exchange contracts. 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. |