Smarter Money Investments
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ABOUT SMARTER MONEY INVESTMENTS
SMARTER MONEY INVESTMENTS PTY LTD (SMI) IS A LEADING INDEPENDENT, ACTIVE FIXED INCOME MANAGER ESTABLISHED IN 2001 BY CHRISTOPHER JOYE, DARREN HARVEY AND THEIR TEAM OF PORTFOLIO MANAGERS AND ANALYSTS, WHICH SUB-MANAGE ALL OF SMI’S FUNDS VIA COOLABAH CAPITAL INVESTMENTS.
CCI’s edge is in alpha generation in liquid, high-grade credit in contrast to traditional fixed-income managers that drive returns through adding more interest rate duration, credit default, and/or illiquidity risk (beta). This alpha generation is itself a function of the world-class analytical insights rendered by CCI’s human capital, which comprises four portfolio managers, ten analysts, and numerous other finance, risk, compliance, operations and product staff.
CCI’s unique analytical and quantitative capabilities are recognised in Australia and overseas as the basis for unusually high win ratios and prescient projections. CCI’s leadership is often called on to advise government on complex economic policy formulation. CCI’s chief investment officer co-developed the ideas for the Australian government to invest in the residential mortgage-backed securities (RMBS) market during the global financial crisis and more recently the SME asset-backed securities (ABS) market. In 2018 CCI developed the world’s first hedonic index of RMBS default rates.
CCI’s macro forecasting prowess is well documented and has included, amongst other things, accurately predicting well ahead of other analysts: the housing boom between 2013 and 2017; the record housing correction between 2017 and 2019; the otherwise unexpected upgrade of Australia’s sovereign credit rating to AAA “stable” in 2018; the sharp housing recovery in May 2019; the early return of the Australian federal budget to surplus in 2019; the shock outcome of the 2019 Federal election; the retention of franking credits on hybrid securities; the upgrade of the four major banks’ senior bonds to AA- “stable” in 2019; the upgrade of Australia’s economic risk score in 2019; the upgrade of the major banks’ stand-alone credit profiles from “a-” to “a” in 2019; the unanticipated upgrade of the major banks’ hybrids from a high yield BB+ rating to an investment-grade BBB- rating in 2019; and the upgrade of the major banks’ subordinated Tier 2 bonds from BBB to BBB+ in 2019.
CCI defines active strategies as those that seek to identify assets that are cheap relative to rigorous quantitative assessments of fair value and which have a high likelihood of converging back to fair value and thus furnishing superior risk-adjusted returns.
CCI’s comparative advantages are in active asset selection, top-down and bottom-up quantitative asset pricing analysis, intensive financial and commercial due diligence, and minimising credit and interest rate duration risks.
CCI believes that there is a significant role for liquid, low duration active credit exposures to play in both individual and institutional portfolios, especially in a world where interest rates are very low and duration risks are elevated.
Past performance does not assure future returns. All investments carry risks, including that the value of investments may vary, future returns may differ from past returns, and that your capital is not guaranteed. This information has been prepared by Smarter Money Investments Pty Ltd. It is general information only and is not intended to provide you with financial advice. You should not rely on any information herein in making any investment decisions. To the extent permitted by law, no liability is accepted for any loss or damage as a result of any reliance on this information. The Product Disclosure Statement (PDS) for the funds should be considered before deciding whether to acquire or hold units in it. A PDS for these products can be obtained by visiting www.smitrust.com.au. Neither Coolabah Capital Investments Pty Ltd, Smarter Money Investments Pty Ltd, Equity Trustees Ltd nor its respective shareholders, directors and associated businesses assume any liability to investors in connection with any investment in the funds, or guarantees the performance of any obligations to investors, the performance of the funds or any particular rate of return. The repayment of capital is not guaranteed. Investments in the funds are not deposits or liabilities of any of the above-mentioned parties, nor of any Authorised Deposit-taking Institution. The funds are subject to investment risks, which could include delays in repayment and/or loss of income and capital invested. Past performance is not an indicator of nor assures any future returns or risks. Smarter Money Investments Pty Limited (ACN 153 555 867) is authorised representative #000414337 of Coolabah Capital Institutional Investments Pty Ltd, which holds Australian Financial Services Licence No. 482238 and authorised representative #001277030 of EQT Responsible Entity Services Ltd (EQT RES) that holds Australian Financial Services Licence No. 223271. Equity Trustees Limited (“Equity Trustees”) (ABN 46 004 031 298), AFSL 240975, is the Responsible Entity for this fund. Equity Trustees and EQT RES are subsidiaries of EQT Holdings Limited (ABN 22 607 797 615), a publicly listed
company on the Australian Securities Exchange (ASX: EQT).
Financial Express Crown Rating Disclaimer: © 2018 FE. All Rights Reserved. The information, data, analyses, and opinions contained herein (1) include the proprietary information of FE, (2) may not be copied or redistributed, (3) do not constitute investment advice offered by FE, (4) are provided solely for informational purposes and therefore are not an offer to buy or sell a security, and (5) are not warranted to be correct, complete, or accurate. FE shall not be responsible for any trading decisions, damages, or other losses resulting from, or related to, this information, data, analyses, or opinions or their use. FE does not guarantee that a fund will perform in line with its FE Crown Fund Rating as it is a reflection of past performance only. Likewise, the FE Crown Fund Rating should not be seen as any sort of guarantee or assessment of the creditworthiness of a fund or of its underlying securities and should not be used as the sole basis for making any investment decision.
Australia Ratings Analytics Disclaimer: The information contained in the Australia Ratings Analytics report (assigned January 2019) and encapsulated in the investment rating is of a general nature only. The report and rating reflect the opinion of Australia Ratings Analytics Pty Limited (AFSL 494552). It does not take into account an individual’s objectives, financial situation or needs. Professional advice should be sought before making an investment decision. A fee has ben paid by the fund manager for the production of the report and investment rating.
Atchison Disclaimer: The Atchison Rating (assigned June 2019) presented in this document is published by Atchison Consultants Pty Ltd ABN 58 097 703 047 AFSL 230 846. The report contains recommendations and advice of a general nature and does not have regard to the particular circumstances or needs of any specific person who may read it. Investors should assess either personally or with the assistance of a licensed financial adviser whether the Atchison Consultants recommendation or advice is appropriate to their situation before making an investment decision. The information contained in the report is believed to be reliable, but its completeness and accuracy is not guaranteed. Opinions expressed may change without notice. Atchison Consultants does not accept any liability, whether direct or indirect arising from the use of information contained in this report. No part of this report is to be construed as a solicitation to buy or sell any investment. Atchison Consultants does not accept any responsibility to inform you of any matter that subsequently comes to its notice, which may affect any of the information contained in this report. The performance of the investment in this report is not a representation as to future performance or likely return.