Three Australian equity income funds worthy of the Crown
Microequities’ High Income Value Microcap, Nikko Asset Management’s Australian Share Income, and Investors Mutual’s Equity Income were the three top-performing Australian equity income strategies over the past three years, data from FE Analytics shows.
The three funds, which boasted total returns of 26.75 per cent, 26.08 per cent and 21.99 per cent respectively over the past three years, also carry FE Crown ratings.
According to FE Analytics, the 5 Crown-rated Microequities’ High Income Value Microcap fund has “consistently met its dual objective of capital growth and regular cash income”.
The fund, which pays cash distributions every six months, has been managed by Carlos Gil since the strategy’s inception in March 2012.
FE Analytics describes Gil as a “fervent supporter of Australian microcap companies and the virtues of long-term value investing”.
The Nikko AM Australian Share Income strategy, which aims to provide a tax-effective income stream that exceeds the dividend yield of the S&P/ASX 200 Accumulation Index by 2 per cent a year over rolling five-year periods, carries an FE Fund Rating of four Crowns.
The Investors Mutual Equity Income fund, which as the dual objectives of providing a dividend yield which exceeds a yield of 2 per cent above that of the S&P/ASX 300 Accumulation Index on a rolling four-year basis, while maintaining lower levels of volatility relative to the S&P/ASX 300 Accumulation index, also carries four-Crown rating.
Recommended for you
Clime Investment Management has welcomed an independent director to its board, which follows a series of recent appointments at the company.
Ethical investment manager Australian Ethical has cited the ongoing challenging market environment for its modest decrease in assets over the latest quarter.
Commentators have said Australian fund managers are less knowledgeable compared with overseas peers when it comes to expanding their range with ETFs and underestimating the competition from passive strategies.
VanEck is to list two ETFs on the ASX next week, one investing in residential mortgage-backed securities and the other in Indian companies.
