The minimum redemption amount is $5,000. A requested partial redemption which would cause the Unitholder’s investment to fall below the minimum holding of $50,000 will be permitted at the sole discretion of the Trustee or the Trustee may redeem the total holdings of the relevant Unitholder.
The Trustee has the discretion to vary the minimum redemption amount or waive the minimum holding in its discretion.
Any Unitholder may request in writing to redeem any of their Units (Redemption Request). Redemptions are generally permitted provided that a Redemption Request is received by the Administrator no later than 5:00 pm (Sydney time) at least 20 Business Days’ prior to the proposed Redemption Day (being the last Business Day of each month unless otherwise determined by the Trustee). The Trustee may at its discretion allow redemptions at other times and with longer or shorter notice periods.
Redemption Requests can either be mailed, emailed to the Administrator. Redemption Requests which are initially received by fax or e-mail will be processed. However, the original Redemption Request should follow in the original form thereafter. The Redemption Request must be signed by the Unitholder or authorized signatories and must specify the investor number and amount for redemption (in dollars or Units held). Unitholders should note that redemption proceeds will only be paid into the original account in the name of the Unitholder from which the subscription proceeds were derived or, upon approval of the Trustee, to another account in the name of the Unitholder. Note that normal bank charges may apply.
Redemptions will be paid in Australian Dollars, although if requested, payments may also be made by a distribution in specie of any Fund investments, at the discretion of the Trustee in consultation with the Investment Manager.
The redemption price will be the redemption price at the close of business on the next Valuation Day. If a Redemption Request is received after the deadline for receipt of Redemption Requests for any particular Redemption Day, it will be treated as a request for redemption on the following Redemption Day.
In the ordinary course of business, it is expected that proceeds from validly received and processed redemptions will be paid within 15 Business Days’ after the Redemption Day. However, the Trust Deed allows the Trustee to have up to 45 Business Days’ after the relevant Redemption Day to pay the proceeds of a Redemption Request.
When Units are redeemed, the Trustee may choose to distribute for tax purposes an amount of undistributed income to the redeeming Unitholder, including gains resulting from the realization of any assets, to fund the redemption as part of the redemption process.
If Redemption Requests are received by the Administrator with respect to any particular Redemption Day with an aggregate Net Asset Value of more than 20% (or such higher percentage as the Trustee in its discretion may determine) of the Net Asset Value of the Fund, the Trustee may, in its discretion, reduce each such request pro rata so that only Units with an aggregate Net Asset Value equal to 10% (or such higher percentage as the Trustee in their discretion may determine) of the Net Asset Value of the Fund are redeemed on that particular Redemption Day.
Any deferred Redemption Requests will be deemed to have been submitted for the next Redemption Day without the need to submit a further Redemption Request. The deferral of Redemption Requests may occur at subsequent Redemption Days if Redemption Requests exceed the threshold specified above. A redeeming Unitholder's deemed Redemption Request will not have priority over other Redemption Requests, whether deemed or otherwise, submitted by other Unitholders for the relevant Redemption Day. If this mechanism has been utilized for three consecutive Redemption Days, it cannot be deployed on the fourth Redemption Day. The exercise of the reduction (and any discretions provided for herein) of each request for redemptions
Pursuant to this provision by the Trustee must only be exercised where in the opinion of the Trustee (acting reasonably) it is in the best interests of continuing Unitholders.
Under the Fund's Trust Deed, the Fund may suspend redemptions and/or the calculation of Unit prices (for such period as it determines) where:
Any Redemption Request that is not processed, or for which a Unit price has not been calculated or confirmed prior to the commencement of a period of suspension, will be deemed to have been received immediately before the end of the suspension period.
The application and redemption prices for Units are calculated in accordance with the Trust Deed and are based on the Net Asset Value divided by the number of Units on the issue at the relevant time (rounded up unless otherwise determined by the Trustee). In general, the Net Asset Value is the value of all assets, less all current and contingent liabilities (as determined by the Investment Manager).
The application price is the Net Asset Value per Unit, plus the buy/sell spread. The redemption price is the Net Asset Value per Unit, minus the buy/sell spread further explained below.
| Buy Spread | A Buy Spread of 1.00% will be added to the Net Asset Value per Unit in calculating the application Unit Price when applying for new Units in the Fund | Paid on application |
| Sell Spread | A Sell Spread of 1.00% will be deducted from the Net Asset Value per Unit for redeeming Units from the Fund | Paid on redemption |
The transaction costs of buying and selling the Fund's investments are paid from the Fund. When you invest or redeem all or part of your investment, the Trustee uses a "buy/sell" spread to recover estimated transaction costs associated with buying and selling the Fund's assets. The Trustee uses the buy/sell spread to direct transaction costs such as brokerage, commissions, and bank charges to transacting investors rather than Unitholders remaining in the Fund. The buy/sell spreads are paid to the Fund and are not paid to the Investment Manager.
The Trustee has the discretion to waive or reduce the buy/sell spread on applications or redemptions where reduced or no costs are incurred. The Trustee will provide notification to Unitholders of any changes to the buy/sell spread.