Income & Growth Fund
Objective
The objective of the Fund is to provide both income and capital growth from a portfolio consisting mainly of:
In accordance with the investment strategy (described below), the Fund invests mainly in a mix of fixed interest securities and shares listed on the South Pacific Stock Exchange.
Investments are also made in unlisted shares, and in units in the International Fund (see page 14). The balance of the Fund is held as deposits with banks and other financial institutions.
We may also invest in the Income Fund (see page 10) and in property (land and buildings) in the future.
Where we invest in the Income Fund or the International Fund we will not charge additional fees.
Investment Strategy
The investment strategy of the Fund is aimed at producing a reasonable level of income derived from investment in fixed interest securities with different maturities and from share dividends, together with prospects of capital growth from a fall in interest rates and increases in share prices.
We vary the proportion of the Fund invested in fixed interest securities and in shares as we see the prospects of each sector change and as investment opportunities arise. By spreading the Fund's investments in this way we aim to decrease the risk that the entire portfolio will suffer if a particular sector performs poorly. It also increases the chance that part of the portfolio will benefit if a particular sector performs well. This means that you are not ‘putting all your eggs in one basket'.
Investments may (subject to the approval of the trustee and at fair value) be acquired from, or sold or transferred to, an associate of the manager. The Fund will not normally borrow to make investments but may (with the trustee's approval) do so on a temporary basis or to pay withdrawals.
Investments at 30 June 2002*
Income & Growth Fund
Performance History*
Income & Growth Fund
Although you can usually withdraw your investment at any time (see page 19), you should consider holding your investment for at least 3 to 5 years to reduce the chance that you will lose money. You should regularly review your investment decision because your investment needs or market conditions may change over time.
The objective of the Fund is to provide both income and capital growth from a portfolio consisting mainly of:
- fixed interest securities issued by government and corporate borrowers
- mortgage and debenture loans
- shares listed on the South Pacific Stock Exchange and unlisted shares
- deposits with banks and other financial institutions
- use the greater stability of returns from fixed interest securities to balance the more volatile (riskier) returns from investing in shares
- provide a regular dividend payment to you every six months.
In accordance with the investment strategy (described below), the Fund invests mainly in a mix of fixed interest securities and shares listed on the South Pacific Stock Exchange.
Investments are also made in unlisted shares, and in units in the International Fund (see page 14). The balance of the Fund is held as deposits with banks and other financial institutions.
We may also invest in the Income Fund (see page 10) and in property (land and buildings) in the future.
Where we invest in the Income Fund or the International Fund we will not charge additional fees.
Investment Strategy
The investment strategy of the Fund is aimed at producing a reasonable level of income derived from investment in fixed interest securities with different maturities and from share dividends, together with prospects of capital growth from a fall in interest rates and increases in share prices.
We vary the proportion of the Fund invested in fixed interest securities and in shares as we see the prospects of each sector change and as investment opportunities arise. By spreading the Fund's investments in this way we aim to decrease the risk that the entire portfolio will suffer if a particular sector performs poorly. It also increases the chance that part of the portfolio will benefit if a particular sector performs well. This means that you are not ‘putting all your eggs in one basket'.
Investments may (subject to the approval of the trustee and at fair value) be acquired from, or sold or transferred to, an associate of the manager. The Fund will not normally borrow to make investments but may (with the trustee's approval) do so on a temporary basis or to pay withdrawals.
Investments at 30 June 2002*
Income & Growth Fund
| Fixed interest securities | 78.5% |
| Shares - listed*** | 4.9% |
| Shares - unlisted*** | 5.8% |
| Bank deposits and other assets | 10.0% |
Performance History*
Income & Growth Fund
| For the Year Ended | Dividends | Growth | Total Return |
| 31.12.06 | 1.06% | -13.36% | -12.30% |
| 31.12.07 | 3.01% | 4.42% | 7.43% |
| 31.12.08 | 2.63% | 0.70% | 3.33% |
| Average per annum | 2.23% | -2.75% | -0.51% |
| Fund start date | November 1999 |
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- Investment portfolios are subject to change. Past performance is not an indication of future performance or of the amount of dividends payable. Please refer to page 27 for details on how the performance figures are calculated. For more recent information, please call Colonial EasyCall on 132 888. For general information about risk and return, refer to pages 8-9.
- Six months performance - annualised (unaudited).*** As at the latest practicable date prior to the issue of this prospectus, shares were held in the following listed companies: Atlantic & Pacific
Although you can usually withdraw your investment at any time (see page 19), you should consider holding your investment for at least 3 to 5 years to reduce the chance that you will lose money. You should regularly review your investment decision because your investment needs or market conditions may change over time.
