Ausbil set to unveil inaugural ETF
The Ausbil Active Dividend Income strategy is set to debut as an exchange-traded fund (ETF) in the Australian market next year.
Focusing on maximising dividend income and franking credits, the strategy has proven popular among investors, managing over $685 million as at October 2024.
According to Ausbil, the fund aims to deliver a consistent income stream that grows with inflation over time with a portfolio of around 45 holdings primarily selected from the S&P/ASX 200 Index constituents.
“We are excited to broaden the accessibility of the Ausbil Active Dividend Income Fund through the upcoming ETF launch,” said Ausbil chief executive, Mark Knight.
“By offering an ETF, we aim to cater to the growing demand from investors and self-managed superannuation funds seeking convenient and efficient access to our income-focused investment solutions.”
Michael Price, portfolio manager of the strategy, described a “substantial opportunity” in the Australian listed market for active dividend income managers.
“While there are several passive, rules-based options available, we believe Ausbil’s active management approach provides a distinct competitive advantage,” he said.
“Through rigorous security selection and dynamic portfolio positioning, we strive to offer investors a more rewarding tax effective dividend-focused investment experience.”
Since inception in July 2018, the fund has delivered 8.26 per cent against the benchmark S&P/ASX 200 Accumulation Index return of 7.96 per cent.
Earlier this year, Ausbil saw a restructure of its Australian equities team following the impending retirement of its co-head of Australian equities, John Grace, who will step down in December after almost 25 years at the fund manager.
Effective 1 July, Nicholas Condoleon was named deputy head of equities, Australian long only, and portfolio manager of the Ausbil Active Sustainable Equity Fund. Mans Carlsson, head of ESG at the firm, was appointed as co-manager of the fund.
Gian Pandit was appointed as deputy head of equities, Australian delta adjusted, and as a portfolio manager of the 130/30 Focus and Long Short Focus funds, supported by Chris Smith.
Additionally, David Lloyd and Arden Jennings were named co-heads of emerging companies. Jennings also jointly manages the small and micro-cap strategies with Andrew Peros, and Tom Cutler as co-portfolio manager and Beyhan Irmako as equity analyst on small and micro-caps.
Chris Smith was appointed as the head of equities research in an oversight capacity, with Stella McMullen as his deputy on the day-to-day stock research and earnings models.
Ausbil also welcomed Syvanna Croyden earlier this month as the manager for investment research and consulting, joining from State Street Global Advisors.
AUTHOR
Rhea Nath
Recommended for you
Pinnacle has reported a 151 per cent rise in net profit after tax in its half-year results, helped by overseas expansion and affiliate performance fees with further international deals in the pipeline.
Global asset manager Janus Henderson generated more than US$2 billion in net inflows during 2024, thanks to its strengthened intermediary channel and M&A activity.
Amid the rising demand for more flexible private equity investment options, LGT Capital Partners has launched a semi-liquid fund for wholesale investors in Australia and New Zealand.
The departure of Gerald Stack from Magellan could lead to redemptions as high as $8 billion, according to Morningstar, given the majority of assets in his infrastructure strategies are held by institutional clients.
