Short Term Income Strategy
Targets daily liquidity returns in excess of the RBA cash rate plus 1.5% to 3.0% pa net of fees with near-zero interest rate duration risk and an average A rating
Coolabah Short Term Income Fund
RBA Cash Plus 1.5% to 3.0% PA Strategy
Assisted Investor Class
SLT0052AU
Base Fee Class
ETL8504AU
Overview
The Coolabah Short Term Income Fund harnesses CCI’s extensive management team to actively exploit mispricings in cash and bond markets to generate daily liquidity returns that exceed a target of the RBA cash rate plus 1.5% to 3.0% pa after all fees with an average A credit rating and near-zero interest rate duration risk.
It is a daily liquidity solution that invests in cash and fixed-income assets that are hedged to a floating-rate (ie, not fixed-rate) exposure that means it has near-zero interest rate (duration) risk.
It cannot use leverage. It is typically placed in the “short duration fixed-interest” (credit) or “cash-enhanced” universes.
This strategy was previously known as the Smarter Money Higher Income Fund, however was renamed the Coolabah Short Term Income Fund in September 2023 to coincide with the quotation of FRNS on the Cboe Australia securities exchange. You can access more information on the quoted class here.
Investments
The Fund actively invests in a portfolio of Australian cash securities and bonds with a target dollar-weighted average credit rating in the “A” band. It does not invest in fixed-rate bonds (unless interest rate risk is hedged out) or equities and is not permitted to use leverage.
Applying a diverse array of quantitative asset pricing techniques, Coolabah add-value through exploiting bond mispricings that seek to generate capital gains over and above the yield provided by the underlying fixed-income assets.
Risks
The Fund is not a bank deposit.
It is a managed investment scheme registered and regulated by the Australian Securities and Investments Commission (ASIC).
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.
To understand the Fund’s risks better, please refer to the detailed “Risks” section in the PDS and to the Fund’s Target Market Determination (TMD)^.
Ratings
The Fund is listed on numerous investment platforms.
It is also rated by many researchers, including Atchison, Foresight Analytics, Lonsec, Mercer and Zenith.
Please read more about the ratings and disclaimers here and contact us for a copy of the Lonsec and Zenith reports.
Quantitative
SMHI has been awarded a 4 Crown Rating by FE Fundinfo.
Qualitative
The Coolabah Short Term Income Fund harnesses CCI’s extensive management team to actively exploit mispricings in cash and bond markets to generate daily liquidity returns that exceed a target of the RBA cash rate plus 1.5% to 3.0% pa after all fees with an average A credit rating and near-zero interest rate duration risk.
It is a daily liquidity solution that invests in cash and fixed-income assets that are hedged to a floating-rate (ie, not fixed-rate) exposure that means it has near-zero interest rate (duration) risk.
It cannot use leverage. It is typically placed in the “short duration fixed-interest” (credit) or “cash-enhanced” universes.
This strategy was previously known as the Smarter Money Higher Income Fund, however was renamed the Coolabah Short Term Income Fund in September 2023 to coincide with the quotation of FRNS on the Cboe Australia securities exchange. You can access more information on the quoted unit class here.
The Fund actively invests in a portfolio of Australian cash securities and bonds with a target dollar-weighted average credit rating in the “A” band. It does not invest in fixed-rate bonds (unless interest rate risk is hedged out) or equities and is not permitted to use leverage.
Applying a diverse array of quantitative asset pricing techniques, Coolabah add-value through exploiting bond mispricings that seek to generate capital gains over and above the yield provided by the underlying fixed-income assets.
The Fund is not a bank deposit.
It is a managed investment scheme registered and regulated by the Australian Securities and Investments Commission (ASIC).
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.
To understand the Fund’s risks better, please refer to the detailed “Risks” section in the PDS and to the Fund’s Target Market Determination (TMD)^.
The Fund is listed on numerous investment platforms.
It is also rated by many researchers, including Atchison, Foresight Analytics, Lonsec, Mercer and Zenith.
Please read more about the ratings and disclaimers here and contact us for a copy of the Lonsec and Zenith reports.
Key Facts
| Name | Coolabah Short Term Income Fund |
|---|---|
| ARSN | 601 093 485 |
| Investment Objective | Targets returns in excess of the RBA cash rate plus 1.5% to 3.0% after Management Costs |
| Inception Date | 08-Oct-2014 |
| Applications | Daily |
| Withdrawals | Daily (T+3) |
| Distribution Frequency | Quarterly |
| Distribution Method | Reinvestment or paid out available |
| Issuer & Responsible Entity | Equity Trustees |
| Investment Manager | Coolabah Capital Investments (Retail) |
| Fund Administrator | Apex Fund Services |
| Registry | Apex Fund Services |
| Custodian | Citigroup |
| Auditor | Ernst & Young |
Pricing Information
| Class | Assisted Investor Class | Base Fee Class |
| APIR Code | SLT0052AU | ETL8504AU |
| ISIN | AU60SLT00527 | AU60ETL85049 |
| Tradable | Directly with the Responsible Entity | Directly with the Responsible Entity |
| mFund | SMF02 | - |
| Management Costs | 0.69% p.a. | 0.89% p.a. |
| Performance Fee (%) | 22.5% of excess fund performance over the Benchmark after Management Costs subject to a high water mark. | None |
| Benchmark | RBA cash rate plus 1.50% | RBA cash rate plus 1.50% |
| Minimum Investment | $1,000 | $1,000 |
| Additional Investment | $1,000 | $1,000 |
| Minimum Balance | $1,000 | $1,000 |
| Saving Plan | Monthly | Monthly |
| Savings Plan Minimum | $100 | $100 |
| Buy Spread | 0.000% | 0.000% |
| Sell Spread* | 0.025% | 0.025% |
Distributions
Distribution Per Unit ($)
| Quarter Ending | Assisted Investor Class | Direct Investor Class | Institutional Class A | Base Fee | USD Investor Class |
|---|---|---|---|---|---|
| APIR Code | SLT0052AU | SLT0051AU | SLT7141AU | ETL8504AU | ETL3997AU |
| 30-Sep-24 | 0.014 | 0.014 | 0.014 | 0.014 | |
| 30-Jun-24 | 0.01555177 | 0.01235024 | 0.01574608 | 0.01966167 | 0.01915967 |
| 31-Mar-24 | 0.0145 | 0.0145 | 0.0145 | 0.0145 | 0.01250639 |
| 31-Dec-23 | 0.012 | 0.012 | 0.012 | 0.012 | 0.012 |
| 30-Sep-23 | 0.01 | 0.01 | 0.01 | 0.01 | 0.014 |
| 30-Jun-23 | 0.0115 | 0.0115 | 0.01360317 | 0.0115 | 0.15304470 |
| 31-Mar-23 | 0.009 | 0.009 | 0.009 | 0.009 | - |
| 30-Dec-22 | 0.0065 | 0.0065 | 0.0065 | 0.0065 | - |
| 30-Sep-22 | 0.005 | 0.005 | 0.005 | 0.005 | - |
| 30-Jun-22 | 0.002 | 0.002 | 0.002 | 0.002 | 0.0056 |
| 31-Mar-22 | 0.0022 | 0.0022 | 0.0022 | 0.0022 | - |
| 31-Dec-21 | 0.002 | 0.002 | 0.002 | 0.002 | - |
| 30-Sep-21 | 0.002 | 0.002 | 0.002 | 0.002 | - |
| 30-Jun-21 | 0.00836584 | 0.00811482 | 0.00975079 | 0.0083 | 0.00270747 |
| 31-Mar-21 | 0.00553333 | 0.00571063 | 0.00712756 | 0.0055 | - |
| 31-Dec-20 | 0.007 | 0.007 | 0.01 | 0.007 | - |
| 30-Sep-20 | 0.009 | 0.009 | 0.009 | 0.009 | - |
| 30-Jun-20 | 0.004 | 0.004 | 0.004 | 0.004 | - |
| 31-Mar-20 | 0.00497766 | 0.00665759 | 0.0007568 | 0.0049 | - |
| 31-Dec-19 | 0.004 | 0.004 | 0.0073442 | 0.004 | - |
| 30-Sep-19 | 0.0042 | 0.0042 | - | 0.0042 | - |
| 30-Jun-19 | 0.0068 | 0.0068 | - | 0.0068 | - |
| 31-Mar-19 | 0.0075 | 0.0075 | - | 0 | - |
| 31-Dec-18 | 0.0075 | 0.0075 | - | 0.0075 | - |
| 30-Sep-18 | 0.0075 | 0.0075 | - | 0 | - |
Platform Availability
| Platform | Assisted Investor Class | Managed Fund Class |
|---|---|---|
| APIR Code | SLT0052AU | FRNS |
| ASX/Cboe | No | Yes |
| AMP North | No | Yes |
| Australian Money Market | Yes | No |
| Beacon | No | No |
| BT Asgard | No | Pending |
| BT Panorama | Yes | Pending |
| Credit Suisse | Yes | Yes |
| Crestone | Yes | Yes |
| Diversa | Yes | No |
| FirstWrap | Yes | Pending |
| Hub24 | Yes | Yes |
| IOOF Pursuit | No | Pending |
| Key Invest | No | No |
| Macquarie Wrap | Yes | Pending |
| mFunds | Yes | No |
| Mason Stevens | Yes | Yes |
| MLC Navigator | Yes | Pending |
| MLC Wrap | Yes | Pending |
| Morgan Stanley | Yes | No |
| Netwealth | Yes | Pending |
| OneVue | Yes | Yes |
| Perpetual WealthFocus | No | No |
| Powerwrap | Yes | Yes |
| Praemium | Yes | Yes |
| UBS | No | No |
| uXchange | Yes | Yes |
| Wilsons Advisory | Yes | No |
Resources
Assisted Investor Class SLT0052AU
Base Fee Class ETL8504AU
Research Reports
- Foresight Analytics
- Lonsec (Contact Us)
- Zenith (Base Fee Class - Contact Us)
Frequently Asked Questions
Complete a withdrawal request form and submit it to the responsible entity (RE). Further instructions are on the form.
If you have a Holder Identification Number (HIN) or invested through mFund, you will need to submit your instruction with the assistance of your stockbroker or online trading platform.
Disclaimer: Past performance does not assure future returns. Returns are shown after all fund fees, unless otherwise stated. Retail product fees can vary depending on the unit class selected and/or whether the financial advisory firm has negotiated access to lower cost unit classes.
Equity Trustees Limited (Equity Trustees) ABN 46 004 031 298 AFSL 240975, is the responsible entity for the Smarter Money Fund (SMF), the Coolabah Short Term Income Fund, Smarter Money Long-Short Credit Fund (LSCF), Coolabah Long-Short Opportunities Fund (LSOP), the Coolabah Floating-Rate High Yield Fund (Managed Fund) (YLD) and the Coolabah Active Composite Bond Fund (Hedge Fund) (Ticker: FIXD). Equity Trustees is a subsidiary of EQT Holdings Limited ABN 22 607 797 615, a publicly listed company on the Australian Securities Exchange (ASX: EQT).
This has been prepared by Coolabah Capital Investments (Retail) Pty Ltd ACN 153 555 867 (Coolabah), an authorised representative (#000414337) of Coolabah Capital Institutional Investments Pty Ltd ABN 85 605 806 059 AFSL 482238, to provide you with general information only. In preparing this publication, we did not take into account the investment objectives, financial situation or particular needs of any particular person. It is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information. The Product Disclosure Statement (PDS) for the Fund should be considered before deciding whether to acquire or hold units in it. A PDS for the Fund can be obtained by visiting www.coolabahcapital.com. Neither Coolabah, Equity Trustees nor any of their related parties, their employees or directors, provide any warranty of accuracy or reliability in relation to such information or accepts any liability to any person who relies on it. Past performance should not be taken as an indicator of future performance. The Fund is subject to investment risks, which could include delays in repayment and/or loss of income and capital invested.
*The Buy Sell Spread may change depending on the transaction costs associated with buying and selling the assets within the Fund’s portfolio at that time. Any changes to the spreads after the date of the PDS will be published here.
^From 5 October 2021, a Target Market Determination (TMD) is required to be made available under the Design & Distribution Obligations. It describes who this financial product is likely to be appropriate for (i.e. the target market), and any conditions around how the product can be distributed to investors. It also describes the events or circumstances where the Target Market Determination for this financial product may need to be reviewed.
The Fund was previously known as the Smarter Money Higher Income Fund ARSN 601 093 485. On 5 September 2023, it was renamed to the Coolabah Short Term Income Fund to coincide with the launch of the quoted “(Managed Fund)” class (CXA: FRNS). The investment strategy, objectives and terms remain unchanged.
Ratings & Research Disclaimers
Lonsec Research
The rating issued 10/2023 SLT0052AU is published by Lonsec Research Pty Ltd ABN 11 151 658 561 AFSL 421 445 (Lonsec). Ratings are general advice only, and have been prepared without taking account of your objectives, financial situation or needs. Consider your personal circumstances, read the product disclosure statement and seek independent financial advice before investing. The rating is not a recommendation to purchase, sell or hold any product. Past performance information is not indicative of future performance. Ratings are subject to change without notice and Lonsec assumes no obligation to update. Lonsec uses objective criteria and receives a fee from the Fund Manager. Visit lonsec.com.au for ratings information and to access the full report. © 2023 Lonsec. All rights reserved.
Zenith Investment Partners
The Zenith Investment Partners (ABN 27 103 132 672, AFS Licence 226872) (“Zenith”) rating (assigned ETL8504AU June 2024) referred to in this piece is limited to “General Advice” (s766B Corporations Act 2001) for Wholesale clients only. This advice has been prepared without taking into account the objectives, financial situation or needs of any individual, including target markets of financial products, where applicable, and is subject to change at any time without prior notice. It is not a specific recommendation to purchase, sell or hold the relevant product(s). Investors should seek independent financial advice before making an investment decision and should consider the appropriateness of this advice in light of their own objectives, financial situation and needs. Investors should obtain a copy of, and consider the PDS or offer document before making any decision and refer to the full Zenith Product Assessment available on the Zenith website. Past performance is not an indication of future performance. Zenith usually charges the product issuer, fund manager or related party to conduct Product Assessments. Full details regarding Zenith’s methodology, ratings definitions and regulatory compliance are available on our Product Assessments and at Fund Research Regulatory Guidelines.
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