Elstree Investment Management Limited

AFSL 225721

Australian Enhanced Income Fund

Overview

Listed on the Australian Securities Exchange (ASX) in October 2006 the Australian Enhanced Income Fund is a listed managed hybrid fund. The Fund invests in a diversified portfolio of up to 35 ASX listed debt equity hybrid securities.

The Fund is suitable for investors who are seeking to earn a rate of return consistently above the bank bill and Bank Term Deposit rates of return but are prepared to accept a small degree of capital risk to achieve that objective.

The Fund’s total return outcome is determined by;

(1) the level of cash and franked income received from the Fund’s investments and

(2) changes in the capital value of the Fund’s investments.

The volatility of the Fund’s total return is low due to the greater proportion of the return outcome being attributed to stable cash and franked income with changes in the capital value of securities playing a minor role.

As a consequence an investment in the Fund is ideally suited to investors seeking capital stable franked income returns.

At a net asset value (NAV) of a Unit of $6.10 the Fund’s cash income yield is 5.74% per annum (assumes a $0.35 cents per annum distribution). The Responsible Entity estimates that the benefit of franking adds an additional 0.60% to the cash income yield on an annual basis.

The suggested timeframe for an investment in the Fund is at least 3 years.

As at 30 June 2017 the Fund's rolling 5 year return, expressed annually was 6.18% p.a. (net of fees but before the benefit of franking). This compares favourably with the Bank Bill rate of return over the same period of 2.49% per annum.

The Fund's ASX code is AYF.

Latest ASX Release: Securities Purchase Plan (SPP) Update.



Please click on the link below to view the ASX release in full.

Click here

To find out more about the Australian Enhanced Income Fund click on the links below.

How to Invest

You can buy units in the Australian Enhanced Income Fund (“Fund”) on the Australian Securities Exchange (ASX) through any stockbroker. A list of our preferred stockbrokers can be found on this page under the heading Finding a Stockbroker.

You can also purchase units in the Fund off market on a bi-monthly basis through your stockbroker or financial adviser. Details of how you can apply for units off market can be found in the Product Disclosure Statement (PDS) below.

The Responsible Entity (RE) provides an off market redemption facility as well. This means you can sell or redeem your units without having to transact on market through your stock broker or financial adviser. Details of the off market redemption process can be found in the PDS.

The RE reserves the right to reject any redemption request at its absolute discretion. A copy of the off market redemption form can be found below.

The Fund offers a Dividend Reinvestment Plan (DRP) allowing unit holders to elect to receive their dividends in new units rather than in cash. This is an excellent cost efficient way to increase your holding in the Fund as there are no transaction costs associated with units issued under the DRP.

Units issued under the DRP are issued at the volume weighted average price or VWAP which is determined in the 2 trading days immediately preceding the record date.

Details of the Fund's DRP can be found under the heading on this page entitled Dividend Reinvestment Plan.

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Latest Fact Sheet

To view the latest Fact Sheet Click here

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Product Disclosure Statement (PDS)

To view the latest Product Disclosure Statement (PDS) Click here

Note that a new PDS was lodged with ASIC on 28 February 2013.

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Net Asset Value (NAV)

The Fund's NAV of a unit at the close of business on 29 June 2018 was $6.011 per unit (ex distribution the Fund's NAV was $5.924). This compares with the NAV of a unit at close of business on 31 May 2018 of $5.914. The change in NAV over the period from 31 May 2018 to close of business on 29 June 2018 represents a return of 1.64%.

The franking benefit for June 2018 was estimated to be 0.20%.
To download the Fund's NAV history Click here

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Monthly NAV and Performance Review Commentary

To download a copy of the June 2018 Performance Review Click here

To download the May 2018 Review Click here
To download the April 2018 Review Click here
To download the March 2018 Review Click here

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Dividends and Franking estimates

Latest cash distribution: June Quarter 2017: $0.0875 cash per unit.

To view previous cash distributions Click here

We remind investors in the Fund that we will continue to provide a franking estimate with each published monthly NAV and at each distribution point.

We estimate that 49.99% of the $0.0875 cent per unit cash distribution paid to unit holders registered at the close of business on 29 June 2018 will be fully franked.

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Shareholder Services


Our share register is managed by Advanced Share Registry Limited. Investors can view their holdings, download forms, update their personal details, bank details, Tax File Number and communication preferences by Clicking here

To login, please have the following details available:

• Holder Identification Number (HIN) or Securityholder Reference Number (SRN)

• Postcode

For investors from outside of Australia:

• First choose your country

• Then insert the HIN or SRN

For all other investor enquiries, please call Advanced Share Registry on +61 8 9389 8033.

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Dividend Reinvestment Plan Rules

To download the Dividend Reinvestment Plan (DRP) rules simply click on the link below. The document covers definitions, conditions, eligibility, participation, operation, statements, acquisition and sale of units, termination, variation, suspension, costs and administration of the plan. Click here

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Off Market Redemption Form

To download a copy of the off market redemption form Click here

Off Market Application Form.


To download a copy of the off market Application Form Click here

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Annual Report

To download a copy of the latest Annual Report Click here

Quarterly Withholding Tax Distribution Statements


To download a copy of the Quarterly Withholding Tax Distribution Statements Click here

Investor Presentations


To download a copy of our most recent investor presentation Click here

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Latest Announcements


To download the latest ASX Announcements Click here

Constitution


To download a copy of the Fund's Constitution Click here

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Corporate Governance Statement


To download a copy of our Corporate Governance Statement Click here

Conflict of Interest Policy


To download a copy of our Conflict of Interest Policy Click here

Our Funds

Australian Enhanced Income Fund NAV (ASX Code AYF)

Latest: 29 June 2018 $6.011 (Ex-distribution $5.924).
Previous 31 May 2018 $5.914

Find Out More

To view the latest Monthly Review Click here


Elstree Enhanced Income Fund NAV

Latest: 10 July 2018 $0.7943.
Previous 3 July 2018 $0.7919

Previous month end: 29 June 2018 $0.7910 (Ex-distribution).

Find Out More

To view the latest Monthly Review Click here


Latest Share Price AYF

Click here for up to date share price
(20 minute delay)

Latest Fact Sheets

Elstree Enhanced Income Fund. To view the latest Fact Sheet Click here

Australian Enhanced Income Fund. To view the latest Fact Sheet Click here

Latest Press. November 2016. Elstree in the ASX

To view the article produced by the ASX Click here

The Swedish housing market; a harbinger of what might happen here?


Both the Swedish and Australian economies display a number of parallels. They are rich, employed, high income economies. Both feature high levels of household debt. An interesting facet of one of the economies is that property prices have fallen by 10% recently.

To view our thoughts in more detail Click here

Hybrid market performance in times of equity market weakness.


With global equity markets selling off heavily in the first few days of February 2018 amid inflation concerns in the US we thought it was timely to comment on the performance of ASX listed hybrids in periods of equity market weakness.

To read our thoughts in more detail please
Click here