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Active Composite Bond PIE

Coolabah Active Composite Bond PIE Fund

Daily Liquidity, Long Duration, Actively Managed

Overview

The Coolabah Active Composite Bond PIE Fund seeks to deliver superior risk-adjusted returns to the Bloomberg AusBond Composite Bond Index through harnessing Coolabah’s active credit alpha style that focusses on systematically exploiting mispricings to generate capital gains in addition to yield.

It targets returns of 1% to 2% annually in excess of the Bloomberg AusBond Composite 0+ Yr Index (hedged to NZD), after management fees, over rolling 12 month periods. 

The Coolabah Active Composite Bond PIE Fund provides exposure to a diversified portfolio of cash securities and bonds, including government bonds, bank bonds, corporate bonds and asset-backed securities and residential-mortgage backed securities with an average target credit rating of A. It cannot invest in hybrids, equities, property, unrated securities, high yield bonds or sub-prime loans.

Coolabah adds-value by finding and exploiting bond mispricings in high grade credit markets that can generate capital gains or alpha in addition to the yield on these securities. 

To find these mispricings, you need a very large team coupled with significant quantitative resources, which is why we have 38 executives, including 12 analysts and 11 portfolio managers and traders spread across Sydney, Melbourne and London. It is also why we have built up to 30-40 proprietary quant valuation models in house and harnessed AI to help us in our search for mispricings.

Exploiting these mispricings to generate capital gains also requires a very active investment style. We are typically trading 50 to 100 times a day, on average $150 million per day.

The Coolabah Active Composite Bond PIE Fund is a portfolio investment entities (PIE). This is a New Zealand managed fund that offers investors special tax rules that apply to the income earned by the Fund. The PIE rules mean that investors pay tax on their own tax rate (the Prescribed Investor Rate or PIR), which is usually slightly lower than their income tax rate. Refer to the Product Disclosure Statement for more information.

Key Facts

NameCoolabah Active Composite Bond PIE Fund
SchemeCoolabah Investment Funds
Investment ObjectiveTargets returns in excess of the Bloomberg Ausbond Composite Bond 0+ Yr Index hedged to NZD by 1.0% to 2.0% pa after fees.
Inception Date6-Dec-23
Inception Date Of Underlying Strategy6-Mar-17
ApplicationsDaily
Withdrawals Daily (T+4)
Distribution FrequencyQuarterly
Distribution MethodReinvestment or paid out
Fund HostFundRock NZ
Investment ManagerCoolabah Capital Investments (Retail)
Supervisor Public Trust
Fund AdministratorApex NZ
CustodianBNP Paribas

Pricing Information

Name Coolabah Active Composite Bond PIE Fund
Management Costs0.40% pa including GST
Performance Fee (%)20.5% of the excess outperformance above the Benchmark, after management costs
BenchmarkBloomberg AusBond Composite 0+ Yr Index hedged to NZD
Currency NZD
Minimum Investment$1,000 NZD
Additional Investment$1,000 NZD
Minimum Balance$1,000 NZD
Buy Spread0.000%
Sell Spread*0.025%

Contact Us

For any account or transaction related queries, please contact FundRock NZ.

FundRock NZ

For all investment related enquiries, please contact our customer service department:

Coolabah Capital Investments

Frequently Asked Questions

How do I invest in the Coolabah Investments Funds?

To invest via your financial adviser – Speak with your financial adviser about gaining access.
 
To invest directly with the Fund Administrator – Complete the application form and contact FundRock NZ by emailing contact@fundrock.com or calling + 64 4 4999 654.

How do I make an additional investment in the Coolabah Investments Funds?

To invest via your financial adviser – Speak with your financial adviser about making an additional investment.
 
To invest directly with the Fund Administrator – Complete the additional investment form and contact FundRock NZ by emailing contact@fundrock.com or calling + 64 4 4999 654.

How do I withdraw my investment from the Fund?

Complete a withdrawal form and submit it to FundRock NZ by emailing contact@fundrock.com or calling + 64 4 4999 654. Further instructions are on the form.

If you have invested through a financial adviser or platform, you will need to submit your instruction with their assistance.

*Buy/sell spreads are indicative only. For the most up to date buy/sell spreads see www.fundrock.com. Buy/sell spreads belong to the Funds and are not a fee paid to FundRock NZ or to the investment manager, see page 9 of the PDS for further details.

Disclaimer: Past performance is not indicative of future performance. Returns are shown after all fund fees, unless otherwise stated.

Public Trust is the Supervisor and FundRock NZ Limited (FundRock) is the issuer and manager of the Coolabah Investment Funds (Scheme), including the Coolabah Short Term Income PIE Fund, the Coolabah Floating-Rate High Yield PIE Fund, the Coolabah Long-Short Credit PIE Fund and the Coolabah Active Composite Bond PIE Fund. Coolabah Capital Investments (Retail) Pty Ltd ACN 153 555 867 is the Investment Manager.

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. Investors are encouraged to seek independent financial advice. 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, FundRock, Public Trust 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.

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