SIMPLIFY CONTROL MACQUARIE GLOBAL INVESTMENTS MACQUARIE CUSTOMISED PORTFOLIO MANAGEMENT

Transcription

1 SIMPLIFY CONTROL MACQUARIE GLOBAL INVESTMENTS MACQUARIE CUSTOMISED PORTFOLIO MANAGEMENT

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3 Whether you run a charity or other not-for-profit organisation, your stakeholders have unique needs. It is your responsibility to deploy the capital in your care to meet those needs both now and in the future. That is a significant and potentially time consuming burden, especially when you are providing important services on a day to day basis. As you are dealing with money entrusted to you by others, you also need to meet high standards of accountability. A Macquarie Individually Managed Account can help you manage these responsibilities. It can help you achieve a better financial result, which means you can better serve your stakeholders. It can also make managing money easier, safer and more transparent.

4 Introducing Macquarie Customised Portfolio Management What is an Individually Managed Account? An Individually Managed Account is a professionally managed investment structure that gives your organisation ownership of the underlying securities. Your organisation can tailor the portfolio to meet your income, growth, taxation and risk management needs. Customisation also gives you the ability to reflect ethical or other considerations in your portfolio. When working with charities and not-for-profit organisations, Macquarie will typically focus on investment portfolios that are risk managed and skewed towards fully franked yield that takes advantage of the favourable not-for-profit tax status. As the portfolio is both customised and professionally administered, you enjoy all the benefits of expert investment and risk management without the day-to-day workload of managing the portfolio. Macquarie s Individually Managed Account Key Features Professional investment management and administration An investment structure that provides direct beneficial ownership allowing transparency, portability and tax management An investment management focus on delivering the return best suited to your tax structure such as franking credits for organisations with Income Tax Exempt (ITE) status Customised to address your key investment parameters Exceptional transparency and accountability through 24 / 7 online portfolio visibility and comprehensive investment and tax reporting. The key to making it work your Investment Policy Statement The success of any investment portfolio depends on clear objectives. Macquarie will work with you to develop a written Investment Policy Statement (IPS) that clarifies your organisation s investment objectives and how they will be achieved. The IPS works to balance your desired return and key investment considerations such as: Investment philosophy Investment time horizon Risk profile Cashflows Tax status Preference for income or growth Diversification approach that aligns to your overall strategy Ethical or other issues that would exclude certain sectors or securities In addition to driving better investment decisions, the IPS rules take the emotion out of investing reducing the temptation to panic in volatile markets and chase performance in a boom. The IPS will help your organisation comply with the obligations of trustees and their requirements for investment knowledge, performance monitoring and an understanding of the asset allocation process. A tax focus that delivers a better real result Not-for-profit organisations often enjoy a special tax status that recognises their work on behalf of others. A Macquarie Individually Managed Account can maximise the value of that tax status at both the portfolio construction stage and in day-to-day investment. If your organisation has Income Tax Exempt status, Macquarie s investment managers can weight your portfolio towards shares producing franked dividends. As a result your organisation benefits from any refund of the imputation credits that may be available. The investment team can also participate in appropriate share buybacks that generate imputation credits. Macquarie aims to produce a return that helps you serve your stakeholders. That could be regular, tax efficient income. Or long-term growth to build capital to meet future needs.

5 Control at your fingertips Risk management every day Macquarie understands the seriousness of your responsibilities to stakeholders, customers and donors who entrust you with funds. That is why the Macquarie investment team employs a multi-layered risk management framework including: Minimum market capitalisation and liquidity standards Tracking error ranges for each asset class Maximum permissible overweights for stocks and sectors. Crucially, Macquarie s process provides monitoring of your portfolio against your restrictions every day. A broad range of investment expertise MCPM has an experienced team of investment professionals. The investment team uses an intense proprietary research process to seek out undervalued assets backed by quality management, strong balance sheets and dominant industry positions. Macquarie also draws on a range of other sources to inform and test its investment decisions: Macquarie Group s highly regarded Australian Listed Equities Research team ranked number one in the market by the Peter Lee survey between 2006 and 2009 Macquarie Group s Research Economics and Strategy teams Australia s leading broking / research houses. Meeting the needs of your board and management A Macquarie Individually Managed Account provides: Accountability provided through 24 / 7 online portfolio visibility where you can check the portfolio, valuations and transactions every day. You receive quarterly investment reporting and a detailed annual tax report. A Macquarie representative is available to report to your board in person Administration it reduces your administrative workload because you outsource the time-consuming and difficult aspects of investment management. These include market monitoring, trading, rebalancing, risk-management, paperwork and reporting. Why Macquarie Customised Portfolio Management? MCPM has extensive experience. With more than one billion dollars under management it is one of Australia s largest investment managers for charities and not-for-profit organisations. MCPM is a specialist business, solely focused on providing customised, tax-optimised portfolio management. MCPM is a part of the Macquarie Group. The Macquarie Group is a global provider of banking, financial, advisory, investment and funds management services with approximately 14,400 staff worldwide. If you d like to know more about the Macquarie Individually Managed Account please call Macquarie Customised Portfolio Management on

6 For more information about Macquarie Customised Portfolio Management macquarie.com.au/mcpm Macquarie Customised Portfolio Management 1 Shelley St, Sydney, NSW 2000 Macquarie Customised Portfolio Management is operated by Macquarie Private Portfolio Management Limited ABN ( MPPM ) AFSL No This document has been prepared by MPPM. This document contains general advice and does not take into account your objectives, financial situation or needs. Before acting on this general advice you should consider whether it is appropriate to your situation. We recommend that you obtain financial, legal and taxation advice before making any financial investment decision. MPPM is part of the Macquarie Group of Companies. Funds invested on your behalf by MPPM are not deposits with or other liabilities of Macquarie Bank Limited ABN or any other entity of the Macquarie Group and are subject to investment risk, including possible delays in repayment and loss of income and capital invested. None of Macquarie Bank Limited, MPPM, or any other member of the Macquarie Group guarantees any particular rate of return or the performance of the investments, nor do they guarantee the repayment of capital.