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28 Feb 2012 - Performance Report: Supervised High Yield Fund

By: Australian Fund Monitors
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Report Date27 February 2012
ManagerSupervised Investments Australia Ltd
Fund NameSupervised High Yield Fund
StrategyFixed Income
Latest Return DateJanuary 2012
Latest Return2.20%
Latest 6 Months5.25%
Latest 12 Months9.90%
Latest 24 Months27.03%
Annualised Since Inception12.42%
Inception Date01 April 2009
FUM (millions)AU$14
Fund OverviewThe investment objective of the fund is to outperform a benchmark of 1% above the RBA cash rate, whilst trying to minimise the risk of permanent loss of capital.

The fund will invest in all forms of marketable floating and fixed income debt securities, such as asset backed debt securities, residential mortgage backed securities, corporate debt, regional and sovereign debt securities, debt/equity hybrid securities, equities and currencies. All these investments will be either listed or traded in a market where prices can be independently verified.

The fund may also invest in interest rate swaps, options over authorised investments and exchange traded futures contracts. All these will be either listed or traded in a market where they can be independently valued.
Manager CommentsThe Supervised High Yield Fund returned 2.20% in January as the market re-rated the Australian Residential Mortgage Backed Securities (RMBS) sector which offers investors searching for high income and capital support an attractive alternative to other comparable investments.

Supervised anticipates that over the next six months Australian banks will be coming to the market with large borrowing requirements which should underpin credit margins at current levels and create opportunities for ongoing good returns in A$ credit markets.
More Information» View detailed profile of this fund

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