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Perpetual WealthFocus Investment Funds

Perpetual Diversified Income Fund

Fund Manager: Perpetual Investment Management Limited
Commencement Date: December 2005
PDS - Part 1   PDS - Part 2  

Suggested Length of Investment

3 years or longer

Investment Objective

Aims to provide regular income and consistent returns above the UBS Bank Bill Index over rolling three-year periods (before fees) by investing in a diverse range of income generating assets.

Investment Details

Min. Initial Investment $2,000
With Savings Plan
Min. Initial Investment $1,000
Monthly Minimum Nil
Min. Additional Investment $1,000

Distribution

Frequency Quarterly
Dates 31 March, 30 June, 30 September & 31 December

Returns as at 31/07/2010


  Total (%) Distribution (%) Growth (%)
1 month 0.77 - 0.77
3 month 1.54 1.42 0.12
6 month 4.34 2.5 1.84
1 year p.a. 10.79 4.29 6.5
3 year p.a. 1.73 4.11 -2.37
5 year p.a. - - -
10 year p.a. - - -

Returns have been calculated using exit prices after taking into account all ongoing fees, and assuming reinvestment of distributions. No allowance has been made for entry fees, exit fees or where applicable taxation. Future returns may bear no relationship to the historical information displayed. The returns shown represent past returns only and are not indicative of future returns of a Fund. Returns on a Fund can be particularly volatile in the short term and in some periods may be negative.

Investment Guidelines

Hybrid securities 0 - 50%
Investment grade securities 0 - 100%
Mortgages 0 - 40%
Other income generating securities 0 - 25%
Private Debt* 0 - 25%
Sub-investment grade and non rated securities 0 - 50%
Sub-investment grade rated securities 0 - 25%

* Maximum limit is 50% when the net asset value of the fund is less than $100 million.

Mortgages may include up to 25% in mezzanine mortgages.

* Investment guidelines are subject to change, please refer to the PDS for further information

Fees

Entry Fee up to 4.0%
Exit Fee Nil
Management Cost (p.a.) 1.65%
Buy/Sell spread 0.2% / Nil

Investment Approach

The fund's approach to delivering returns and managing risk is through an active and risk aware investment process which invests in a diversified core portfolio of liquid investment grade credit securities. Perpetual believes these assets provide investors with protection in times of market stress. When the environment
is supportive Perpetual seeks to enhance returns by taking more risk whether that be in maturity, credit rating, subordination or gearing. The fund can also invest in alternative income generating securities such as mortgages, infrastructure debt and private
debt. This approach to portfolio construction is Perpetual's preferred method to deliver
investors the highest possible risk adjusted returns.
Derivatives may be used to manage actual and anticipated interest rate and credit risk, currency and credit exposure. They may also be used for hedging, arbitrage, as a replacement for trading a physical security and for managing the duration of the fund.