News & Insights

Just launched! New Global Shares Income Fund



30 November 2015: Plato Investment Management Limited (‘Plato’) has launched the first global share income fund designed specifically for retirement income. This fund will provide greater investment opportunities and enhanced diversification, while delivering high income for retirees.

The Plato Global Shares Income Fund targets a net income of 6 per cent per annum, which is approximately 4 per cent higher than the global equity index, with the added benefit of diversifying out of the bank-heavy Australian equity market.

In addition to income and capital growth, the fund also provides greater access to different markets with diverse industries and economic cycles, and the benefits of monthly dividends compared to the primarily bi-annual dividends paid in Australia.

Plato Managing Director, Dr Don Hamson explained that while the majority of Australian pension phase SMSFs have small global shares allocations due to their typically low yield, the Plato Global Shares Income Fund has been modelled on the award-winning Plato Australian Shares Income Fund1 to deliver a higher income with the diversification benefits of accessing new markets and industry sectors.

“Retirees need two things: income and a well-diversified portfolio. As one of the first Australian retirement income specialists, we are always looking to innovate for this market to deliver upon both objectives, and this fund certainly will”, said Dr Hamson.

“We have a strong track record of delivering outstanding income for retirees through the Plato Australian Shares Income Fund, which has delivered 8.7 per cent annually1 since its inception in 2011, so we are thrilled to apply that very focused strategy to global markets.

“Importantly, we appointed three global equity specialists to help develop this capability, Dr Johnathon Whiteoak from SSgA as a Senior Quantitative Researcher, Wilson Thong from State Street Markets as Quantitative analyst and Daniel Pennell from Real Index as Senior Portfolio Manager for Global Shares,” Dr Hamson added. “We are investing strongly in our global equity capability as we know the market is more than ready for it.”

The management fee for foundation investors (‘Class F’) who invest in the fund from now until 30 June 2016 will be 0.49% per annum for perpetuity.

Minimum initial investment for a Class F investor is $50,000 and $30,000 for other investors with a management fee of 0.99% per annum (‘Class A’).