Airlie Australian Share Fund (Managed Fund) (ASX: AASF)

Fund Overview

Fund Overview

The Airlie Australian Share Fund provides an opportunity to access a highly experienced investment team with a proven track record of prudent, common sense investing.

The fund will hold a concentrated basket of between 15-35 quality Australian listed companies – Airlie's best ideas. Maximum cash holding of 10% with an aim to be fully invested. The partnership between Airlie and Magellan offers Airlie’s experience in Australian equities with Magellan’s considerable expertise in operating and distributing retail funds for Australian investors.

Investment objective

The Fund’s primary objective is to provide long-term capital growth and regular income through investment in Australian equities.

Investment Approach

Airlie Funds Management, is an active bottom-up investor that aims to build a concentrated portfolio of Australian equities.

Airlie employs a prudent, common-sense investment approach that identifies companies based on their financial strength, attractive durable business characteristics and the quality of their management teams. Airlie invests in these companies when their view of their fair value exceeds the prevailing market price.

Fund Facts

Portfolio managers
Structure
Australian Equity Fund, $AUD.
Inception date
1 June 2018
Fund size
$187.00 million 30 Sep 2021
ASX Ticker
AASF Market Data Tickers
  Units
Bloomberg AASF AU EQUITY
Thomson Reuters AASF.AX
IRESS AASF.AXW
ICE iNav**
AUD $
Ticker details
  Units Indicative NAV
Bloomberg AASF AU EQUITY AASFIV INDEX
Thomson Reuters AASF.AX AASFAUiv.P
IRESS AASF.AXW AASF-AUINAV.NGIF.
Solactive iNav
AUD $
Ticker details
  Indicative NAV
Bloomberg AASFAUIV
Thomson Reuters AASFAUDINAV=SOLA
IRESS AASFAUDINAV
More about iNAV
More information about iNav

Magellan has engaged ICE Data Indices, LLC and Solactive AG as iNAV calculation agents to independently calculate and disseminate an iNAV. Both iNAVs are freely available to investors. From time to time there may be differences between the two iNAVs as a result of different calculation methodologies or timing of the data.

The iNAV reflects the estimated NAV per Unit updated for portfolio stocks or equivalent securities that have live market prices during the Trading Day. The iNAV will not be updated for market-based movements such as movements in stock market indices.

Buy / Sell Spread
0.14%/0.14%
(only applicable to investors who apply for units directly with the Fund)
Management & Administration fee
0.78% p.a.
Distribution Frequency
Bi-annual
Benchmark
S&P/ASX 200 Accumulation Index
APIR Code
MGE9705AU

All management costs described above are inclusive of the estimated net effect of GST.

Click here for further information on the benchmark.

** iNAV calculations as shown on www.airliefundsmanagement.com.au (the "data") provided by ICE Data Indices, see ICE Terms of Use, and is updated during ASX trading hours. Powered by Factset. iNAV is indicative and for reference purposes only. The Fund is not sponsored, endorsed, sold or marketed by ICE Data Indices, LLC, its affiliates ("ICE Data") and ICE Data or its respective third party suppliers MAKE NO EXPRESS OR IMPLIED WARRANTIES, AND HEREBY EXPRESSLY DISCLAIM ALL WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE WITH RESPECT TO THE iNAV, IOPV, FUND OR ANY FUND DATA INCLUDED THEREIN. IN NO EVENT SHALL ICE DATA HAVE ANY LIABILITY FOR ANY SPECIAL, PUNITIVE, DIRECT, INDIRECT, OR CONSEQUENTIAL DAMAGES (INCLUDING LOST PROFITS), EVEN IF NOTIFIED OF THE POSSIBILITY OF SUCH DAMAGES. You acknowledge that the data is provided for information only and should not be relied upon for any purpose.

Research ratings 1

Zenith

Recommended

Lonsec

Recommended

Morningstar

Neutral

Portfolio Construction

"The Airlie investment process weighs four factors when considering a potential investment. "

Financial Strength

The first thing we consider is the balance sheet. Only those companies with solid financial characteristics, including appropriate levels of debt for the business model, are considered for investment.

 

Business Quality

The research process focuses on the quality of the business: looking for businesses that can earn attractive or improving returns on capital in the future.

 

Given the decades of investment experience of the Airlie team, we typically have considerable knowledge of the histories, industries and strategies of the stocks in which we invest.

Quality of Management

Airlie seeks to invest in companies with competent managers whose interests ideally align with those of shareholders. Airlie has a particular preference for investing in founder-led businesses, which it has found typically exhibit a longer-term focus that is rewarding for shareholders. In order to make an assessment of business and management quality, Airlie regularly meets with management teams and boards of Australian companies.

 

Valuation

Airlie turns to valuation last, as we believe you can only value a business if you understand it. We see returns as the ultimate driver of valuation, and focus our efforts on understanding the likely direction of future returns. We seek to invest where our assessment of the quality and worth of a business exceeds the prevailing market price.

We also explicitly consider ESG risks as part of our investment process.

Meet the Portfolio Managers

The Airlie Investment Team is one of depth and experience. Portfolio Managers Matt and Emma are supported by a further five investment professionals, including founder John Sevior.

Emma Fisher

Emma Fisher

Portfolio Manager

Emma started her career in equity research in 2010 on the sell-side at Nomura, before joining Fidelity’s Australian investment team as an analyst. In 2016 she joined Airlie as an investment analyst, before becoming the portfolio manager of the Airlie Australian Share Fund in 2018. She holds a Bachelor of Commerce (Liberal Studies) from the University of Sydney.

Matt Williams

Matt Williams

Portfolio Manager

Matt has over 20 years industry experience, he entered investment management in 1993 when he joined Perpetual Investments as an equities dealer. From there Matt progressed to be an equities analyst and portfolio manager. From 2011 to 2015, Matt was Head of Equities at Perpetual. Since joining Airlie in July 2016 Matt has managed Australian share strategies for institutional clients and is a portfolio manager for the Airlie Australian Share Fund for retail clients.

Performance

Performance

30 September 2021
Performance 3 Months 6 Months 1 Year 3 Years
(% PA)
Since Inception
(% PA)
Airlie Australian Share Fund 4.71% 16.55% 38.32% 13.58% 13.77%
Benchmark** 1.71% 10.14% 30.56% 9.65% 10.21%
Excess Return 3.00% 6.41% 7.76% 3.93% 3.56%

** S&P/ASX 200 Accumulation Index

Click here for further information on the benchmark.

Important Information: Calculations are based on exit price with distributions reinvested, after ongoing fees and expenses but excluding individual tax, member fees and entry fees (if applicable). Inception date 1 June 2018.

Growth of AUD $10,000 as at
30 September 2021

** S&P/ASX 200 Accumulation Index

Click here for further information on the benchmark.

Important Information: Calculations are based on exit price with distributions reinvested, after ongoing fees and expenses but excluding individual tax, member fees and entry fees (if applicable). Inception date 1 June 2018.

Unit prices

Unit Prices

  
Date NAV Per Unit Entry Exit
26/10/2021 3.6034 3.6084 3.5984
25/10/2021 3.5912 3.5962 3.5862
22/10/2021 3.5807 3.5857 3.5757
21/10/2021 3.5778 3.5828 3.5728
20/10/2021 3.5662 3.5712 3.5612
19/10/2021 3.5547 3.5597 3.5497
18/10/2021 3.5452 3.5502 3.5402
15/10/2021 3.5536 3.5586 3.5486
14/10/2021 3.5188 3.5237 3.5139
13/10/2021 3.5072 3.5121 3.5023
12/10/2021 3.4986 3.5035 3.4937
11/10/2021 3.5030 3.5079 3.4981
08/10/2021 3.5163 3.5212 3.5114
07/10/2021 3.4761 3.4810 3.4712
06/10/2021 3.4383 3.4431 3.4335
05/10/2021 3.4541 3.4589 3.4493
04/10/2021 3.4678 3.4727 3.4629
01/10/2021 3.4255 3.4303 3.4207
30/09/2021 3.4936 3.4985 3.4887
29/09/2021 3.4413 3.4461 3.4365
28/09/2021 3.4732 3.4781 3.4683
27/09/2021 3.5339 3.5388 3.5290
24/09/2021 3.5130 3.5179 3.5081
23/09/2021 3.5363 3.5413 3.5313
22/09/2021 3.5060 3.5109 3.5011
21/09/2021 3.4989 3.5038 3.4940
20/09/2021 3.4917 3.4966 3.4868
17/09/2021 3.5492 3.5542 3.5442
16/09/2021 3.5753 3.5803 3.5703
15/09/2021 3.5520 3.5570 3.5470
14/09/2021 3.5487 3.5537 3.5437
13/09/2021 3.5369 3.5419 3.5319
10/09/2021 3.5243 3.5292 3.5194
09/09/2021 3.4976 3.5025 3.4927
08/09/2021 3.5627 3.5677 3.5577
07/09/2021 3.5698 3.5748 3.5648
06/09/2021 3.5750 3.5800 3.5700
03/09/2021 3.5696 3.5746 3.5646
02/09/2021 3.5468 3.5518 3.5418
01/09/2021 3.5338 3.5387 3.5289
31/08/2021 3.5338 3.5387 3.5289
30/08/2021 3.5106 3.5155 3.5057
27/08/2021 3.5271 3.5320 3.5222
26/08/2021 3.5511 3.5561 3.5461
25/08/2021 3.5580 3.5630 3.5530
24/08/2021 3.5400 3.5450 3.5350
23/08/2021 3.5367 3.5417 3.5317
20/08/2021 3.5012 3.5061 3.4963
19/08/2021 3.4969 3.5018 3.4920
18/08/2021 3.5092 3.5141 3.5043
Distribution

Distribution history

IMPORTANT


Please ensure that your Tax File Number (TFN) or Australian Business Number (ABN) is provided to the Unit Registry by Record Date, otherwise tax will be withheld on income attributed to you at the top marginal tax rate plus Medicare Levy.

If you have elected to receive distributions in cash, please ensure that your bank account details are provided to the Unit Registry by Record Date, otherwise your distribution payment will be withheld until a valid bank account is provided.

To review or update your TFN/ABN and bank account details, log on to the Unit Registry’s online portal.

 

Date Distribution per unit Reinvestment price  
June 2021 5.3200 cents $3.3366 Annual Fund Distribution 2021
December 2020 5.210 cents $2.9141  
June 2020 8.000 cents $2.5808 Annual Fund Distribution 2020
December 2019 2.000 cents $2.8246  
June 2019 3.9469 cents $2.6372 Annual Fund Distribution 2019
December 2018 2.000 cents $2.3215  
June 2018 0.1139 cents $2.6017 Annual Fund Distribution 2018

A guide to understanding your AMMA Statement 2021

3 ways to access Airlie Australian Share Fund (Managed Fund) (ASX: AASF)

Airlie Australian Share Fund (Managed Fund) (ASX: AASF)

  1. View the indicative Net Asset Value (iNav)*

    ICE iNav**
    AUD $
    Ticker details
      Units Indicative NAV
    Bloomberg AASF AU EQUITY AASFIV INDEX
    Thomson Reuters AASF.AX AASFAUiv.P
    IRESS AASF.AXW AASF-AUINAV.NGIF.
    Solactive iNav
    AUD $
    Ticker details
      Indicative NAV
    Bloomberg AASFAUIV
    Thomson Reuters AASFAUDINAV=SOLA
    IRESS AASFAUDINAV
  2. Check the current share price AASF

  3. Buy on the ASX - Ticker Code AASF

Investors should read the Product Disclosure Statement (PDS) prior to making any investment decisions.

Additional information and forms

Airlie Australian Share Fund (Managed Fund) (ASX: AASF)

  1. Complete the Application Form & CRS Form(s) (if applicable)
    You will be guided by the Application Form as to which CRS form(s) to complete.

  2. Send application form to Mainstream Fund Services
    Mainstream Fund Services - Unit Registry
    GPO Box 143
    Sydney NSW 2001

Or Email the application form to magellanfunds@mainstreamgroup.com

Temporary processes available during COVID-19

Magellan accepts initial direct investments from individuals with a minimum of $10,000. You can apply by downloading the application form above.

Airlie Australian Share Fund (Managed Fund) (ASX: AASF)

Speak with your adviser/broker. To find an adviser, visit the 'Financial Planning Association of Australia (FPA)' or 'Your best interests' website

Continuous Disclosure

Continuous Disclosure

Magellan is pleased to announce that units in the Fund are expected to commence trading on the securities exchange operated by the ASX on 4 June 2020 under the ticker AASF.

If you are an investor in the Fund your holding of units will not change. You may continue to apply for and redeem units in the Fund in the same way that is offered today. There will be no change to the investment objectives of the Fund or to the fees charged to the Fund.

Commencement of trading of the Fund’s Units on the ASX will coincide with the initiation of an issuer sponsored sub-register. From that time you may move your units to your brokerage account and then trade your units on the ASX through your broker.

A replacement PDS has been lodged with the Australian Securities & Investments Commission ("ASIC") and is available here. The replacement PDS contains important information about the Fund and we recommend that you read the PDS carefully.

This notice provides important information for investors in the Airlie Australian Share Fund (Fund).  This update should be read together with the Fund's Product Disclosure Statement dated 22 May 2018 (PDS).

Change of Investment Manager Entity

From 1 December 2019, Magellan Asset Management Limited (Magellan) will replace Airlie Funds Management Pty Limited (Airlie) as the investment manager for the Fund.    Whilst the corporate entity acting as the investment manager will change from this date, the Fund’s portfolio managers will continue to be Matt Williams and Emma Fisher, who are both employees of Magellan.

Why is this change being made?

Airlie is a wholly-owned subsidiary of Magellan.  In order to maximise operational efficiencies, Magellan is being appointed as investment manager of the Fund, replacing Airlie.  Magellan will also continue to act as Responsible Entity of the Fund.

What do I need to do?

If you are an existing investor in the Fund, the transition to Magellan as the investment manager of the Fund will not result in any change to your unitholding and there is nothing that you will need to do.

If you are considering an investment in the Fund, please ensure you read this notice together with the Fund’s PDS.

Set out below are the upcoming changes that impact Airlie Australian Share Fund (ARSN – 623 378 487).

1. Change to Payment Options - Additional Investments

  • Removal of Direct Debit

From 1 December 2019, Magellan Asset Management Ltd (“Magellan”) will no longer be offering Direct Debit as a payment option for additional investments to Airlie Australian Share Fund.

BPAY®, Electronic Funds Transfer (“EFT”) and Australian Dollar Cheque will continue as payment methods for additional investments. The minimum amounts for additional investments by these methods will remain unchanged at $500 for BPAY® and $5,000 for EFT and Cheque.

2. Regular Monthly Investment Plan – cancellation

From 20 November 2019, the Regular Monthly Investment Plan (“Plan”) administered by means of Direct Debit will no longer be available. For those investors who currently have a Plan set up, the last Direct Debit from a nominated bank account will occur on this date. The easiest way for investors to either continue to, or start to, add to existing investments on a regular basis would be to set up a recurring BPAY® payment with their financial institution.

Investment Insights

18 Oct 2021

Stock Story: Seven Group

Hiding in plain sight?

4 mins

27 Aug 2021

The outlook is brighter than you think

LIVE BROADCAST: As lockdowns, uncertainty and fears of inflation abound, the Airlie investment team are focusing on the positive in the domestic outlook. Household and corporate balance sheets are in great shape, as we’ve seen in this August’s reporting season: companies are beginning to return a wall of cash to investors.

50 mins

Quiz - 1.00 CPD hours available
FAQs

FAQs

You have the choice of either buying units on the Securities Exchange (Ticker: AASF) via your stockbroker/online broker or applying directly with the Responsible Entity by sending an Application Form to our unit registry.

If you hold your investments via an investment administration platform, you should consult your financial adviser who will be able to assist you in investing in the Fund.

There are important differences between investing in the Fund through the Securities Exchange or by applying directly with the Responsible Entity, including the price you will receive. You should read the PDS before making any decision on how to invest in the Fund..

You can exit the Fund either by making a withdrawal request to the Responsible Entity using a Withdrawal Form or by selling units on the Securities Exchange (Ticker: AASF) via your stockbroker or online broker. How you enter the Fund does not affect the method by which you can exit the Fund.

To make a withdrawal request with the Responsible Entity….
If you have a Securityholder Reference Number (SRN) or Investor Number
You will need to provide your SRN or Investor Number on your Withdrawal Form
If you have a Holder Identification Number (HIN) with your stockbroker or online broker
You will need to convert your holding from your HIN with your stockbroker or online broker to an SRN issued by the unit registry.
This is a standard process which your stockbroker or online broker can assist you with.

 

 

To sell your units on the Securities Exchange….
If you have a Securityholder Reference Number (SRN) or Investor Number
You can provide your SRN to certain stockbrokers who can sell your units on your behalf.
If your stockbroker does not offer this service, you will need to ask your stockbroker to convert or transfer your holding onto a HIN.  This is a standard process which your stockbroker can assist you with. You can then instruct your stockbroker to sell your units on the Securities Exchange.
 
If you have a Holder Identification Number (HIN) with your stockbroker
You can instruct your stockbroker to sell your units on the Securities Exchange.


There are important differences between exiting the Fund via the Securities Exchange or by withdrawing directly with the Responsible Entity, including the price you will receive. You should read the PDS or consult with your financial adviser before making any decision on how to invest in the Fund.

Your HIN or SRN can be found on the top right hand corner of your holding statement and other shareholder communications. You will typically have a HIN if you bought your units on the Securities Exchange through a stockbroker. You will typically have an SRN if you applied for unit directly with the Responsible Entity.

A HIN is a Holder Identification Number issued by your stockbroker. It is a unique number used to link all your holdings, stocks, shares, and not specific to just Magellan. A HIN is 11 characters long. It starts with an ‘X’ followed by 10 digits. For example: X0001235898

An SRN is a Securityholder Reference Number issued by the Fund’s Unit Registry and is your unique identifier in the Fund. An SRN is 11 characters long and starts with an ‘I’ followed by 10 digits. Example: I00874500369. Your SRN will be stated on your first confirmation statement and partly masked for subsequent statements.

If you invest on the Securities Exchange there is no initial minimum investment amount.

If you invest directly with the Responsible Entity by sending us an Application Form, the minimum initial investment is A$10,000 which is the same as all Magellan’s unlisted funds.

Additional investments can be made into an existing account at any time. No minimum applies for additional investments by BPAY. A minimum of $5,000 applies to other payment methods.

Yes, if a distribution reinvestment plan is offered you may choose to automatically reinvest your distribution as additional units in the Fund regardless of how you acquired your units. Further information will be made available on the Fund’s website at the time any DRP is offered.

The Fund charges a management and administration fee of 0.78% per annum.  

Our management fees are inclusive of the estimated net effect of Goods and Services Tax (“GST”) (i.e. inclusive of GST, less any reduced input tax credits). For more information about GST, see ‘Management costs’ in the PDS.

The Responsible Entity intends that the Fund will make distributions on a half yearly basis. The Fund may make distributions more or less frequently at the discretion of the Responsible Entity but will generally make a distribution to investors at least annually.

The Fund is an active, typically 25 stock portfolio, that references the S&P/ASX 200 Accumulation Index for comparative performance measurement. 

The Fund aims to have a cash or cash equivalents range of 0-10%, but generally intends to be fully invested.  

The Fund is an active, typically 25 stock, portfolio with a maximum limit of issued capital ownership of 15%. The Fund can hold a maximum of 15% of any one stock in the portfolio.   

The Fund has been rated by Zenith (as at June 2019), Morningstar (as at October 2019) and Lonsec (as at June 2018).  Please visit the individual research house's website to view the rating and full report.

Magellan Asset Management Limited (‘Magellan’) (AFS Licence No. 304 301) is the responsible entity, investment manager and issuer for the Fund.  Magellan is responsible for the investment management of the fund via the Fund’s portfolio managers, Matt Williams and Emma Fisher, who are both employees of Magellan. Magellan is also responsible for the overall operations of the Fund including: distribution, compliance and risk management, reporting, marketing, operations and service provider management. 

Magellan’s expertise in operating retail funds has enabled the retail market access to the Airlie investment team for the first time.