Australian Bond Fund

ETL0115AU

Updated 14 December 2018

Objective

To achieve maximum total return by investing in fixed interest securites predominantly denominated in Australian or New Zealand currencies, and to seek to preserve capital through prudent investment management.

Investments Held

Primarily invests in government, semi-government, corporate, mortgage and other fixed interest securities denominated in Australian and New Zealand dollars. The Fund may hold securities in other denominations hedged back to Australian dollars.

Overview

Fund Overview

True core bond holding

The Australian Bond Fund seeks to provide all the benefits investors have come to expect from a core bond holding, including consistent income and low volatility, which can help stabilise portfolio returns. The Fund is a well-diversified portfolio of primarily Australian and New Zealand fixed interest securities that seeks to lower risks while providing opportunities for enhanced returns.

Why Invest In This Fund

Australian high-quality yield opportunities

Designed specifically for Australian investors, the Fund invests predominantly in a wide range of high-quality bonds from issuers in Australia and New Zealand, ranging from Commonwealth and state government bonds to corporate bonds and mortgage-backed securities.

Flexibility at work

The Fund has the flexibility to anticipate and respond to changes in the Australian credit market and interest rate environments. It aims to avoid investments that put capital permanently at risk and has a strong track record of providing returns above its benchmark

A time-tested investment process with proven Australian expertise

The Fund's portfolio positioning and security selection are guided by PIMCO's time-tested investment process: our rigorously developed macro outlook, our bottom-up credit analysis and our robust risk management. The Fund's portfolio management team includes specialists dedicated to each sector in the Australian market.

Investing in the bond market is subject to risks, including market, interest rate, issuer, credit, inflation risk, and liquidity risk. The value of most bonds and bond strategies are impacted by changes in interest rates.

Our Expertise

Local management, global expertise

PIMCO’s Australian Fixed Interest mandates are managed locally from the Sydney office by a specialised and highly experienced domestic portfolio management team who are fully integrated into PIMCO’s investment process and has access to PIMCO’s vast global resources.

PRIMARY BENCHMARK

Bloomberg AusBond Composite 0+ Yr Index

PRIMARY BENCHMARK DESCRIPTION

The Bloomberg AusBond Composite 0+ Yr Index is an unmanaged market index representative of the total return performance of AUD-denominated bonds. It is not possible to invest in an unmanaged index.

DISTRIBUTION FREQUENCY

Quarterly

SHARE CLASS INCEPTION

12/07/1999

APIR Code

ETL0115AU

Currency

AUD

RELATED

Managers

Robert Mead

Co-head of Asia-Pacific Portfolio Management

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Adam Bowe

Portfolio Manager, Fixed Income, Australia

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Aaditya Thakur

Portfolio Manager, Australia and Global

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Yields & Distributions

Historical Prices & Distributions

Latest Dividend Distribution ($ Share)1 as of 27/09/2018 $2.24320
Dividend Distribution (FYTD) as of 27/09/2018 $2.24320
Yields & Distributions Footnotes & Disclosures

disclosures

1Distribution is paid quarterly in March, June, September and December.

Fees & Expenses

Total Annual Management Costs %2 0.45%
Fees & Expenses Footnotes & Disclosures

disclosures

2Management costs quoted are inclusive of Goods and Services Tax (GST) and net of any Reduced Input Tax Credits (RITC) at the prescribed rate, which is currently either 55% or 75% (depending on the nature of the fee or expense).

Performance

  • Average Annual Returns
  • Cumulative Returns

All data as of

  • Month End
  • Quarter End

All data as of

  • Month End