If you are one of our self managed superannuation fund (SMSF) clients in the Perth area, you may be interested in this news. Our parent company, AMP Capital, has just added its Core Infrastructure Fund to their SMSF suite due to a growing number of SMSF trustees expressing interest in the class of infrastructure assets.*
Entitled the “AMP Capital Core Infrastructure Fund,” this fund provides retail investors with access to an asset class that is usually available only to large institutional investors: direct infrastructure assets. The AMP Capital Core Infrastructure Fund invests in what AMP Capital calls a “targeted 50-50 mix” of listed infrastructure securities and direct infrastructure. The listed infrastructure securities provide investors with a degree of liquidity.*
According to the AMP Capital website, the AMP Capital Core Infrastructure Fund provides SMSF trustees with the opportunity to own “high quality direct assets” such as Angel Trains in the UK or Melbourne Airport in Australia. The minimum investment for the AMP Capital Core Infrastructure Fund is $10,000.*
According to John Julian, who is the Portfolio Manager for the AMP Capital Core Infrastructure Fund, the fund “aims to provide investors with both sustainable income and capital growth over the long term.”*
Mr Julian sees investment in infrastructure growth as a “never-ending cycle” in which investment creates infrastructure, infrastructure boosts “long-term economic growth” and growth creates the need for more infrastructure.*
In the five year period to 31 December 2015, the AMP Capital Core Infrastructure Fund delivered a return of 11.3% pa, which includes a cash yield of 6.6% pa. When compared to the S&P/ASX 200 Accumulation Index over the same period, the AMP Capital Core Infrastructure Fund displayed only 40% of the volatility of Australian equities while providing 162% of the return.*
Call a Self Managed Superannuation Adviser in Perth
To learn more or to express interest in the AMP Capital Core Infrastructure Fund, call us today: 1300 787 274.
* AMP Capital, 10 February 2016. “AMP Capital adds its Core Infrastructure Fund to SMSF Suite.”