AMP Capital Enhanced Yield Fund

Balancing the opportunity for higher income with capital stability and liquidity

Combining hard-to-access infrastructure investments such as water utilities and airports with corporate bonds, hybrids and other traded securities is a great way to achieve higher income with a focus on risk. The AMP Capital Enhanced Yield Fund aims to deliver a combination of high income and capital stability by investing in a strategic mix of traded high yield securities and private debt investments.

Fund returns

The AMP Capital Enhanced Yield Fund has outperformed its benchmark, the Reserve Bank of Australia Cash Rate, since inception in March 2006. You should note that the Fund has a higher risk/return profile than the benchmark, which is essentially equivalent to a risk free rate.

Fund performance compared to its benchmark as at 31December 2007*

Past performance is not a reliable indicator of future performance.

* Source: AMP Capital Investors. Returns are for the Fund’s H Class units, which are available to retail investors. All returns shown are before tax, after H Class fees and costs, and assume income is reinvested. Performance is annualised for periods greater than one year.

Reasons to invest

• Aims to deliver high income by primarily investing in a strategic mix of listed hybrids, corporate bonds and private debt.
• A focus on capital stability with investment primarily in floating rate assets, reducing sensitivity to interest rates.
• Access to local and global private debt investments such as gas distribution, toll roads and airports.
• We’re one of the major players in the Australian private debt market, managing over $1.9 billion* with a track record of managing private debt for 10 years and fixed interest for over 30 years.
• Actively hedged – we hedge exposure to international investments with the aim of minimising the impact of currency fluctuations on your investment returns.

*As at 31 March 2007

How we choose yield investments

To achieve high income, we invest in a mix of traded high yield securities and private debt investments sourced from local and international markets. Our traded high yield securities include listed hybrid securities, corporate bonds, mortgage-backed securities, asset-backed securities and listed and unlisted infrastructure debt. Private debt assets typically include infrastructure assets such as airports, gas distribution networks and toll roads.

Move your mouse over the diagram below to view more details on our investment process.

Fund facts

Fund objective	Fund aims to provide high income while maintaining liquidity and capital stability
Benchmark	Reserve Bank of Australia cash rate
Risk level	Low to medium
Suggested time frame	Minimum 3 to 5 years
Minimum investment	$30,000
Management costs	1.1693% pa of gross assets
Distribution frequency	Quarterly
Inception date	22 March 2006
Status	Open for new investment

 

IMPORTANT: To invest in the Fund, you will need to obtain the current Product Disclosure Statement (PDS) for the Fund.  The PDS contains important information about investing in the Fund and it’s important you read the PDS before making a decision about whether to acquire, continue to hold or dispose of units in the Fund.

The information on this website does not take into account an investor's personal objectives, needs or financial situation. We suggest investors consider professional financial advice before investing.