For possibly the first time ever, retail investors in Australia have been given access to a widely d...
For possibly the first time ever, retail investors in Australia have been given access to a widely diversified portfolio of international hedge funds.
The Coastal Magnum Diversified Performance fund, an Australian fund that is managed by Sydney-based Coastal Capital, is being offered to both retail and wholesale investors in Australia and New Zealand.
The fund is being run jointly by Coastal and Magnum Fund Management, a specialist hedge fund management group.
By investing in 15 diversified and non-correlated hedge funds, it aims to give a 15% to 25% return in both rising and falling markets by investing in equities, bonds and property. All currency exposure is hedged back into Australian dollars.
Investors can invest as little as $10,000 in the fund and, in the case of a withdrawal, there is provision to allow 70% of the amount invested to be redeemed within 15 business days, with the balance being paid within 10 days of the next valuation.
The management expense ratio is capped at 2.4% per annum and is somewhat less for investments larger than $500,000 through a free refund arrangement.
Income distributions are paid quarterly and Foreign Investment Fund taxes are not applicable to the fund or investors in the fund.
Coastal is currently attempting to bring alternative investments into the mainstream market by using alternative techniques that specifically reduce risk.
Partner Insight: Dennis Hall, director and CEO of Yellowtail Financial Planning, Julia Dreblow, founder of SRI Financial Services and Frank Potaczek, head of UK proposition at Architas met in London to discuss how they broach the topic of sustainability...
Two-thirds cannot evidence compliance
'Elaborate breach of trust'
'How to buy protection insurance'
As this year has proved