Change of Investment Managers – Investment Growth Funds (17 August 2021)
This Continuous Disclosure Notice (updated August 2021) provides important information to investors and updates the PDS in respect of the following Funds:
- Investment Growth Funds
- TPT Australian Share Fund (ARSN 093 457 955)
- TPT International Share Fund (ARSN 120 944 470)
- TPT Diversified Property Fund (ARSN 120 944 318)
- TPT Balanced Fund (ARSN 093 458 461)
What are the changes?
Following a strategic review of the Investment Growth Funds, we have decided to change the existing investment managers, with a new manager, Mercer Investments (Australia) Limited.
We have enhanced our existing offering from an outdated Fund-to-Fund structure to a more modern Multi-Manager structure. Utilising the larger scale of Mercer Investments we are able to maintain a diversification in underlying manager, sector and stock levels and the benefit of reduced overall investment risk.
The benchmarks used by Mercer for each fund and the benchmarks in the PDS are very similar and do not change the risk profiles of the funds. The underlying indices that form part of the composite benchmarks are comparable between the internal and Mercer benchmarks.
The Investment Objectives and Asset Allocation for each of the Fund’s remain unchanged. For more information please refer to https://tptwealth.com.au/managed-investments/growth-funds/.
Investors do not need to take any action. These manager changes were completed in September 2020. We recommend you seek financial advice before making any investment decisions in relation to these products.
Manager selection for the TPT Australian Share Fund will change as follows:
| Fund Name | Allocation |
|---|---|
| Current | |
| Vanguard Australian Shares High Yield Fund | 50% |
| Nikko AM Australian Share Income Fund | 15% |
| Plato Australian Shares Income Fund | 15% |
| Investors Mutual Equity Income Fund | 15% |
| TPT At Call Fund | 5% |
| New – Effective 30 September 2020 | |
| Mercer Australian Shares Fund | 45% |
| Mercer Passive Australian Shares Fund | 45% |
| Mercer Australian Small Companies Fund | 10% |
| PDS benchmark | New benchmark (Mercer) |
|---|---|
| FTSE ASFA High Dividend Yield Index | S&P/ASX 300 Accumulation Index |
| Bloomberg AusBond Bank Bill Index | S&P/ASX Small Ords Index |
Manager selection for the TPT International Share Fund will change as follows:
| Fund Name | Allocation |
|---|---|
| Current | |
| Vanguard International Shares Index Fund | 25% |
| Magellan Global Fund | 15% |
| Epoch Global Equity Shareholder Yield (Unhedged) Fund | 10% |
| AB Global Equities Fund | 10% |
| Antipodes Global Fund | 10% |
| Vanguard International Shares Index Fund (Hedged) – AUD Class | 25% |
| TPT At Call Fund | 5% |
| New – Effective 30 September 2020 | |
| Mercer International Shares Fund | 50% |
| Mercer Passive International Shares Fund | 50% |
| PDS benchmark | New benchmark (Mercer) |
|---|---|
| MSCI World ex Aust Index in AUD | MSCI World ex Aust Index in AUD |
| MSCI World ex Aust Index Hedged in AUD | |
| Bloomberg AusBond Bank Bill Index |
Manager selection for the TPT Diversified Property Fund will change as follows:
| Fund Name | Allocation |
|---|---|
| Current | |
| Vanguard International Property Securities Index Fund | 15% |
| Resolution Capital Global Property Securities Fund (Unhedged) – Series II | 15% |
| Vanguard Australian Property Securities Index Fund | 50% |
| Magellan Infrastructure Fund | 15% |
| TPT At Call Fund | 5% |
| New – Effective 30 September 2020 | |
| Mercer Passive Australian Listed Property Fund | 50% |
| Mercer Global Listed Infrastructure Fund | 50% |
| PDS benchmark | New benchmark (Mercer) |
|---|---|
| S&P/ASX300 A-REIT Accum Index | S&P/ASX200 Listed Property Trust |
| FTSE EPRA/NAREIR Developed Index | FTSE Global Core Infrastructure 50/50 index |
| S&P Global Infrastructure Index Hedged in AUD | |
| Bloomberg AusBond Bank Bill Index |
Manager selection for the TPT Balanced Fund will change as follows:
| Fund Name | Allocation |
|---|---|
| Current | |
| Vanguard Australian Fixed Interest Index Fund | 20% |
| TPT Long Term Fund | 15% |
| Nikko AM Australian Share Income Fund | 30% |
| Colonial First State Wholesale Equity Income Fund | |
| AB Global Equities Fund | 20% |
| Epoch Global Equity Shareholder Yield (Unhedged) Fund | |
| Magellan Infrastructure Fund (Unhedged) | 10% |
| TPT At Call Fund | 5% |
| New – Effective 30 September 2020 | |
| Mercer Growth Fund | 100% |
| PDS benchmark | New benchmark (Mercer) |
|---|---|
| Bloomberg AusBond Composite | S&P/ASX 300 Accumulation Index |
| Australia RBA Cash Rate Total Return Index + 1% | MSCI World Index (Ex Australia) Hedged/Unhedged |
| S&P ASX 200 Total Return Index | MSCI Emerging Markets Index (ex Tobacco and Weapons) in A$ |
| MSCI World ex Aus Index in AUD | CPI+4% |
| S&P Global Infrastructure Index Hedged in AUD | CPI+5% |
| Bloomberg AusBond Bank Bill Index | Bloomberg AusBond Bank Bill Index +3% |
| JP Morgan GBI-EM Global Diversified Index (Unhedged) | |
| Bloomberg AusBond Bank Bill Index +1% | |
| Bloomberg Ausbond Treasury Index 0+(all maturities) | |
| Bank of America Merrill lynch BB-B Developed Markets High Yield Constrained Index (Hedged) | |
| Bloomberg AusBond Bank Bill Index |
Why are these changes being implemented?
- Expected cost savings for investors
- Improve potential performance of the Funds
- Leverage buying power into underlying Funds through scalability
- Higher quality reporting, governance and insights for investors
- Investors will benefit from the global expertise of Mercer Investments (Australia) Limited
More information
If you have any questions or require further information please contact us on 1300 138 044 (between 9am and 5pm, Monday to Friday) or email info@tptwealth.com.au
This Continuous Disclosure Notice is issued by TPT Wealth Limited ABN 97 009 475 629 AFSL 234630. A wholly owned subsidiary of MyState Limited ABN 26 133 623 962.
The information is of a general nature and has been prepared without taking into account the investment objectives, financial situation or particular needs of any investor. It is essential that you obtain and read the relevant Product Disclosure Statement (PDS) and other disclosure documents, and you consider seeking independent professional financial, legal and taxation advice before making any investment decisions in relation to these products.
