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Microequities Value Income Fund

About this Fund

Fund Detail

PDS https://informedinvestor.com.au/view/pds/106603-2022-09-03-02:34.pdf
FUND MANAGER Microequities Asset Management Pty Ltd
ASX Code
APIR PIM9091AU
ASSET CLASS EQUITY INCOME
INVESTMENT STYLE

Invests in a hand picked concentrated portfolio of undervalued ASX listed microcaps with proven business models that can fund and sustain high long term dividend payments.
INVESTMENT PROFILE

The Fund aims to protect capital, provide a sustainable income stream to investors and attain long term capital growth.
CURRENCY MANAGEMENT
INCEPTION DATE 31-01-2019
BENCHMARK S&P/ASX Emerging Companies Accumulation Index
FUND SIZE S&P/ASX Emerging Companies Accumulation Index
DISTRIBUTION FREQUENCY Semi-annual
NO. OF HOLDINGS 20-40
FEES 1.30%
STRUCTURE

Benefits

Benefits

Investing in the Fund offers investors a range of benefits including:
• portfolio structured with the objective of providing long term capital growth and regular (semi-annual) cash income; 
• higher long term growth profile than large cap funds;
• Investment Manager with extensive experience in the microcap sector; 
• value investing philosophy; 
• in-house research expertise and capability; 
• bottom-up investment research based experience; 
• early access to potential high growth companies; 
• performance based incentive for the Investment Manager;
• Microequities is a co-investor in the Fund; 
• distributions may carry imputation tax credits; and 
• investments are generally held for longer than 12 months thus delivering mostly discounted capital gains to unitholders. 
RISK LEVEL Very High risk/return profile
INVESTOR SUITABILITY

This product is likely to be appropriate for a consumer seeking capital growth and capital preservation over the medium to long term to be used as a small or core component within a portfolio where the consumer has a 5 year investment  timeframe, high risk/return profile and needs daily access to capital. 

Risks

Title
Detail

Key Features

 The Fund aims to protect capital, provide a sustainable income stream to investors and attain long term capital growth.

✓ Invests in a hand picked concentrated portfolio of undervalued ASX listed microcaps with proven business models that can fund and sustain high long term dividend payments.

✓ Microequities’ management, staff and directors have over $60m co-invested across all funds, providing strong alignment with clients.

✓ The Fund is a registered managed investment scheme that is an unlisted Australian unit trust governed by a constitution together with Corporations Act 2001 (Corporations Act) and other laws.

Mandate

INVESTMENT APPROACH

Value driven approach
Investee companies must be highly undervalued, profitable and meet demanding investment criteria.

In-house investment research
All research done “in-house” by our specialist microcap investment team, independent of market noise and views.

Some of the factors that may be looked at when considering an investment by the fund are:

  • Companies with a well-established business model
  • Companies generally should have at least 2 years of operating profitable
  • Companies with low or no debt are preferred
  • High cash flow generating businesses
  • Companies with high earnings visibility and disclosure
  • Companies with a predictable future earnings stream
  • Companies in a growing sector
  • Companies that have a growth catalyst division, product or service
  • Companies with a highly competitive advantage or brand name
  • Companies with a stable management and track record for delivering value to shareholders
  • Companies where management has a significant stake
  • Companies with a reputable board of directors