The Trust gains its exposure to a diversified portfolio of investments through a mix of investment managers. 

To provide capital growth over the medium to long term by investing in a diversified portfolio of growth and defensive assets through a range of investment managers and to achieve total returns after fees in excess of the CPI +3.5% over a rolling ten-year basis.

Benefits of investing in the IOOF Balanced Investor Trust

The Trust aims to provide capital growth over the medium to long-term by investing in a diversified portfolio of growth and defensive assets through a range of investment managers and to achieve total returns after fees in excess of the Consumer Price Index (CPI) plus 3.5% pa over a rolling ten year basis. 
The Trust has a greater exposure to growth assets such as property, Australian and international shares, and alternative assets, with a moderate exposure to defensive assets such as fixed interest and cash.
A mix of passive, factor-based1 and active investment managers have been selected to manage the assets of the Trust providing differing, yet complementary investment styles to achieve more consistent investment returns.

May be suitable for investors with a medium to high risk-tolerance level seeking both income and capital growth and consistent returns through a well-diversified portfolio, and who are prepared to tolerate short-term volatility

Investment strategy

The Trust gains its exposure to a diversified portfolio of investments through a mix of investment managers.

The balanced orientation of the Trust provides a greater exposure to growth assets, such as property, Australian and international shares, and alternative assets, with a moderate exposure to defensive assets, such as fixed interest and cash.

 mix of passive, factor and active investment managers may be selected to manage the assets of the Trust providing differing yet complementary investment styles to achieve more consistent investment returns.

The Trust is authorised to utilise approved derivative instruments for risk management purposes and investment efficiency. Please note that the derivative instruments are not used to gear the Trust’s exposure.

We recognise that currency can be a major component of risk for overseas investments. As such, we invest in some underlying managers that are fully hedged against currency fluctuations. As part of our approach, the Trust has the capacity to manage currency risk by adjusting its allocation to those underlying managers that are fully hedged.

How the IOOF Balanced Investor Trust works

The Trust is a registered managed investment scheme that is subject to the Corporations Act 2001 (Cth) (Corporations Act), its constitution and other applicable law. When you invest your money in the Trust, your money is pooled together with that of other investors. This money is pooled to buy investments and manage them on behalf of all investors in the Trust. So that you know what your share of the Trust is worth, the total value of the assets in the Trust is divided into ‘units’. Each unit that a unitholder holds in the Trust gives a unitholder beneficial interest in the Trust as a whole, but not in any particular asset of the Trust. Holding units in a Trust does not give a unitholder the right to participate in the management or operation of the Trust. Each unit in the Trust is of equal value and identical rights are attached to all units.

Unit prices: We will quote you a price for each unit and keep a record of your unit holdings. The unit price is generally calculated at the end of each business day. The unit price will change in response to rises and falls in the market value of the assets in the Trust. You can increase your investment at any time by purchasing more units in the Trust. Generally, you can reduce your investment by selling, transferring or withdrawing units, although in certain circumstances (such as if the Trust becomes illiquid or when there is a freeze on withdrawals) you may not be able to decrease your investment within the standard time frame.

Asset class Asset range Target allocation
Cash and short-term securities 0–15% 4%
Diversified fixed interest 15–40% 26%
Property3 0–20% 10%
Australian shares 10–35% 22%
International shares 15–40% 29%
Alternatives4 0–20% 9%