| APIR Code | QIN0004AU |
| Status | Open |
| Investment Manager | QIC |
| Investment Objective | The Fund aims to achieve an investment return of Bloomberg AusBond Bank Bill Index plus 1.25% (before fees and taxes) over rolling three year periods, and to provide relatively stable returns over the medium
term with the potential for some long-term capital growth, through investment in the Underlying Funds. |
| Investment Strategy | In combination, the Underlying Funds allocate the majority of their investments to defensive assets such as fixed interest and cash with the objective of providing the combined portfolio with relatively stable returns. The residual amount of the portfolio is allocated to growth assets, such as listed shares, property and infrastructure securities, to provide the potential for capital growth. For risk management purposes, the option may hedge some of its currency exposure.
QIC seeks to add value by utilising a dynamic asset allocation (DAA) approach to allocating resources and through a disciplined approach to the selection of the investments held by the Underlying Funds. QIC believes that a well-governed DAA process is a significant improvement from the traditional strategic asset allocation approach. Through DAA, the asset allocation mix of the portfolios is adjusted in response to changing market prices and QIC’s proprietary estimates of fair value. Allocations are managed within pre-approved ranges that allow portfolio risk to be increased or decreased in response to changing economic risks. |
| Risk/Return Profile | Medium |
| Minimum Suggested Time Frame | 3 years |
| Benchmark Asset Allocation |
| Asset Allocation | Minimum (%) | Maximum (%) |
| Cash | 30 | 75 |
Diversified Fixed Interest
(See Note 1) | 5 | 50 |
| Property | 0 | 15 |
| Australian Shares | 0 | 25 |
| International Shares | 0 | 20 |
| Alternative Investment | 0 | 30 |
Foreign Currency Exposure
(See Note 2) | -2 | 25 |
| Note 1 - Includes Australian and International Fixed Interest |
| Note 2 - Due to currency movements, the value of currency is managed as closely as possible to zero, but can be negative for brief periods |
|
| Investment Requirements |
| Minimum Initial Investment | $2,000 (Lump Sum)
$500 (Regular Savings Plan) |
| Minimum Additional Investment | $500 per Fund (Lump Sum) or $100 per month per Fund (Regular Savings Plan) |
| Regular Savings Plan | Yes |
| Minimum Switch | $500 per Fund (subject to minimum balance requirement of $500 per Fund) |
| Minimum Balance per Fund | $500 per Fund |
| Minimum Withdrawal | $500 per Fund (subject to minimum balance requirement of $500 per Fund) |
| Distributions |
| Income distribution frequency | Half-yearly |
| Payment options | Direct credit or reinvestment (reinvestment only if using Regular Savings Plan) |
| Fees and Costs |
| Establishment fee | Nil |
| Contribution fee | Nil |
| Withdrawal fee | Nil |
| Termination fee | Nil |
| Management costs | 1.25% p.a. reducing to 0.925% p.a. for amounts greater than $200,000 |
| Buy / sell spreads | +0.10%/-0.10% |
