BlackRock Tactical Growth Fund - Underlying Funds

Transcription

1 BlackRock Tactical Growth Fund - Underlying Funds Dated: 31 August 2017 BlackRock Tactical Growth Fund (previously called the BlackRock Wholesale Balanced Fund) ARSN BlackRock Management (Australia) Limited ABN Australian Financial Services Licence No

2 BlackRock Tactical Growth Fund Underlying Funds Important information You should read this information together with the Product Disclosure Statement (PDS) for the BlackRock Tactical Growth Fund (Fund) before making a decision to the Fund. Unless otherwise stated, the information in this document forms part of the Fund s PDS, which is issued by BlackRock Management (Australia) Limited (BlackRock). The offer of units in the Fund is only available to persons receiving the Fund s PDS (electronically or otherwise) in Australia. The PDS is not an offer to any person or in any place in which it is unlawful to make such an offer. Terms used in this document have the same meaning as set out in the Fund s PDS. Information contained in this document is current as at the date of this document. Neither BlackRock nor any member of the BlackRock Group guarantees the success of the Fund, the achievement of the objective, or the repayment of capital or particular rates of return on or capital. The information contained in this document is general information only and does not take into account your individual objectives, financial situation, needs or circumstances. You should therefore assess whether the information is appropriate for you having regard to your individual objectives, financial situation, needs or circumstances. This document contains information in respect of certain Underlying Funds of the Fund, including information relating to: why the Fund has invested in the Underlying Fund; the Underlying Fund s and use of short selling; the Underlying Fund s s, including the location and ; the Underlying Fund s use of ; the Underlying Fund s use of leverage; the Underlying Fund s liquidity; and details of the Underlying Fund s key service. Section 3.5 of the PDS also provides an structure diagram showing all Underlying Funds of the Fund, some of which are referred to in this document. If you would like further information on any Underlying Fund referred to in this document or any Underlying Fund not referred to in this document but included within the structure diagram under section 3.5 of the PDS, please contact our Client Services Centre (refer below for contact details). The name and contact details of the Responsible Entity are: BlackRock Management (Australia) Limited Level 26, 101 Collins Street, Melbourne Victoria 3000 Telephone: Facsimile: clientservices.aus@blackrock.com Website:

3 BlackRock Australian Bond Fund Provides exposure to an active fundamental Australian fixed income. Seeks to access the best ideas of the BlackRock Group s local and global fixed income teams, which seek to add value by managing duration, yield curve, credit, individual security and country and exposures against the AusBond Composite 0+ Yr Index SM. The may include proprietary research-based knowledge and fundamental macro-economic and credit analysis. The fund may engage in short selling. The fund may a broad universe of domestic and international debt securities, foreign exposures, cash and cash equivalents* and other money market securities. The fund may implement some of its via an in the BlackRock Enhanced Australian Bond Fund. Assets of the fund are generally denominated in Australian dollars and located in Australia. Assets may, however, also be denominated in any global and may be located in any country of the world. While active positions may be taken, physical bonds denominated in foreign currencies are generally hedged back to Australian dollars. The fund does not have any formal diversification or guidelines. Consideration and monitoring of asset diversification does, however, form an integral part of the management of the. The fund may use, including but not limited to, repurchase agreements, futures, warrants, options, indexed securities, swaps, credit default securities and forwards. Not applicable. The fund is generally open for investor transactions each business day. Should the need arise and under normal market conditions, it is reasonably expected that the fund will be able to realise at least 80% of its assets (at the value ascribed to those assets in calculating the fund s NAV) within 10 days. Responsible Entity: BlackRock Management (Australia) Limited Administrator & Custodian: JP Morgan Chase Bank, N.A Auditor: Deloitte Touche Tohmatsu * Including s in other BlackRock Group funds.

4 BlackRock Equitised Long Short Fund Provides exposure to an Australian equity absolute return that seeks to exploit inefficiencies in individual stock prices. Aims to outperform the S&P/ASX 200 TR Index by implementing a quantitative long short equitised across the Australian equity market. The long/short may be implemented via an in the BlackRock Australian Equity Market Neutral Fund (Market Neutral Fund). The Market Neutral Fund may engage in short selling. The fund primarily invests in the Market Neutral Fund, swaps and/or index futures (to maintain exposure to the S&P/ASX 200 TR Index) and cash and cash equivalents*, which may be held on margin. The Market Neutral Fund invests in long and short Australian equity positions and cash and cash equivalents*. Assets of the fund and the Market Neutral Fund are generally denominated in Australian dollars and located in Australia. The fund and the Market Neutral Fund do not have formal diversification or guidelines. However, the fund is generally managed to a net exposure of one to the Australian equity market, while the Market Neutral Fund is generally managed to a net market exposure close to zero. The fund and the Market Neutral Fund may use, including but not limited to futures, warrants, options, indexed securities, swaps and forwards. While the fund and the Market Neutral Fund do not have an explicit maximum gross leverage limit, the gross leverage of the fund is expected to be approximately 3 times NAV, consisting of the fund s holding of swaps and/or index futures approximately equal to its NAV plus the leverage of the Market Neutral Fund, which has an expected gross leverage of approximately 2 times NAV. The fund and the Market Neutral Fund are generally open for investor transactions each business day. Should the need arise and under normal market conditions, it is reasonably expected that the fund and the Market Neutral Fund will be able to realise at least 80% of their assets (at the value ascribed to those assets in calculating each fund s NAV) within 10 days. Responsible Entity: BlackRock Management (Australia) Limited Administrator & Custodian: JP Morgan Chase Bank, N.A Auditor: Deloitte Touche Tohmatsu Prime Broker (Market Neutral Fund): Merrill Lynch International, Merrill Lynch Markets (Australia) Pty Limited & UBS AG, Australia Branch * Including s in other BlackRock Group funds.

5 BlackRock Fixed Income GlobalAlpha Fund (Dublin) Provides exposure to a fixed income absolute return that combines macro, relative value and opportunistic strategies. Seeks to capture high breadth of relative value opportunities along with opportunistic macro dislocations both across and within global debt sectors. The employs a combination of fundamental and quantitative fixed income long-short strategies in the global debt markets and invests opportunistically in special situation trades. A number of proprietary methods for analysing and assessing the relative value of fixed income securities across debt markets will also be used. The may be implemented via an in the BlackRock Fixed Income GlobalAlpha Offshore Fund Ltd (FIGA Offshore) and BlackRock Diversified Fixed Income Absolute Return Fund (DFIAR). FIGA Offshore implements its through a master-feeder fund structure, via an in BlackRock Fixed Income GlobalAlpha Master Fund Ltd (FIGA Master). The fund, DFIAR and FIGA Master may engage in short selling. Given their broad remit, security exposures of the fund, DFIAR, FIGA Offshore and FIGA Master (collectively the Fixed Income Funds) include the full spectrum of global fixed income securities, including high yield, emerging markets, corporate and government issued securities. Exposures may also include cash, cash equivalents* and other short-term instruments. Given their broad remit, assets of the Fixed Income Funds may be denominated in any global and may be located in any country around the world. Currency exposures may be hedged back to USD. The Fixed Income Funds do not have formal diversification or guidelines. Consideration and monitoring of asset diversification does, however, form an integral part of the management of each fund s. Given their broad remit, the Fixed Income Fund may use the full spectrum of derivative instruments. While the Fixed Income Funds do not have an explicit maximum gross leverage limit, the gross leverage of the Fixed Income Funds is expected to range between 15 to 25 times NAV. With the exception of DFIAR, the Fixed Income Funds are generally open for investor transactions on the last business day of each month. DFIAR is generally open for investor transactions on each business day. Should the need arise and under normal market conditions, it is reasonably expected that the Fixed Income Funds will be able to realise at least 80% of their assets (at the value ascribed to those assets in calculating each fund s NAV) within 10 days. BlackRock Fixed Income GlobalAlpha Fund BlackRock Diversified Fixed Income Absolute Return Fund Manager: BlackRock Asset Management Ireland Limited Manager & Distributor: BlackRock Management (UK) Limited Administrator: State Street Fund Services (Ireland) Limited Trustee: State Street Custodial Services (Ireland) Limited Auditor: PricewaterhouseCoopers (Dublin) Registry & Transfer Agent: International Fund Services (Ireland) Limited Prime Broker: Credit Suisse Securities (USA) LLC & Citigroup Global Markets Inc. BlackRock Fixed Income GlobalAlpha Offshore Fund Ltd. BlackRock Fixed Income GlobalAlpha Master Fund Ltd Manager: BlackRock Institutional Trust Company, N.A. Administrator & Custodian: State Street Bank and Trust Company Auditor: PricewaterhouseCoopers Cayman Islands Prime Broker: Credit Suisse Securities (USA) LLC * Including s in other BlackRock Group funds.

6 BlackRock Fixed Income Global Opportunities Fund (Aust) Provides exposure to a fixed income global opportunities that may include traditional core bond strategies, core plus strategies and non-traditional strategies. Seeks to provide returns by constructing an unconstrained, diversified portfolio of global fixed income securities denominated in various currencies, issued by governments, agencies and companies worldwide. The may also gain limited exposure to global equity markets and active positions. The combines top-down from lead managers with bottom-up stock and instrument picking from global sector specialists using the full breadth of the BlackRock Group s fixed income platform. The approach represents collaboration between the portfolio management teams, who are responsible for setting the top-down framework for portfolio construction and the sector specialists/traders, who are responsible for bottom-up idea generation, including research, analysis, security selection and execution. The fund accesses its through an in the BlackRock Global Funds - Fixed Income Global Opportunities Fund (FIGO LUX). FIGO LUX may engage in synthetic short selling. The fund invests substantially all of its assets in FIGO LUX. exposures of FIGO LUX include the full spectrum of global fixed income securities (including non- grade and emerging markets). Exposures may also include global equity markets, active positions, cash and cash equivalents* and other shortterm instruments. Assets of the fund are generally denominated in Australian dollars and located in Australia and Luxembourg. Assets of FIGO LUX may be denominated in any global and may be located in any country around the world. While the base of FIGO LUX is U.S. Dollars, the share class into which the fund invests hedges its exposure back to Australian dollars. The fund is managed to be fully invested in FIGO LUX. FIGO LUX invests in a diversified portfolio of global fixed income securities, subject to the following ranges: Fixed Income: 70% 100% Equities: 0% 10% Additionally, FIGO LUX may invest up to 30% of its total assets in financial instruments of companies or issuers of any size in any sector of the economy globally. It is expected that these assets will be predominately debt or debt like instruments. Consideration and monitoring of asset diversification forms an integral part of the management of the. FIGO LUX may use the full spectrum of, subject to any requirements stipulated by BlackRock Global Fund and Luxembourg Law. While there is no explicit maximum level of gross leverage that the fund and FIGO LUX may be exposed to, the gross level of leverage is expected to be approximately 5 times NAV. The fund and FIGO LUX are generally open for investor transactions each business day. Should the need arise and under normal market conditions, it is reasonably expected that the fund will be able to realise at least 80% of its assets (at the value ascribed to those assets in calculating the fund s NAV) within 10 days. BlackRock Fixed Income Global Opportunities Fund (Aust) Responsible Entity: BlackRock Management (Australia) Limited Administrator & Custodian: JP Morgan Chase Bank, N.A Auditor: Deloitte Touche Tohmatsu BlackRock Global Funds - Fixed Income Global Opportunities Fund Manager: BlackRock (Luxembourg) S.A. Manager: BlackRock Financial Management, Inc. Administrator & Custodian: Bank of New York Mellon (International) Limited, Luxembourg Branch Auditor: PricewaterhouseCoopers Luxembourg Registry & Transfer Agent: J.P. Morgan Bank Luxembourg S.A. * Including s in other BlackRock Group funds.

7 BlackRock Global Allocation Fund (Aust) Provides exposure to a fundamental global allocation that seeks to identify long term trends and changes that could benefit particular markets and/or industries relative to other markets and industries. Seeks to achieve returns by investing in both equity and debt securities, including money market securities and other short-term securities or instruments, of issuers located around the world. There is no limit on the percentage that can be invested in a particular type of security. Generally, the seeks diversification across markets, industries and issuers as one of its strategies to reduce volatility. The flexibility of the allows s in markets around the world that are believed to provide the best relative to produce returns. The fund may engage in short selling. Given its broad remit, the fund is permitted to the full spectrum of asset classes on a global basis (including both developed and emerging markets) including equities, debt securities (including junk securities),, cash and cash equivalents*, money market securities and other assets (including REITS, commodities and precious metals). Assets of the fund may be denominated in any global and may be located in any country around the world. While active positions may be taken, overall exposure is hedged to Australian dollars. Fund ranges: Equities: 0% 100% Fixed Income: 0% 100% Cash: 0% 100% The fund is not bound by specific diversification or guidelines and has full flexibility to invest at any spectrum of its range. Consideration and monitoring of asset diversification does, however, form an integral part of the management of the. The flexible allows for a portfolio to be created that consists that, over time, tend to be relatively balanced between equity and debt securities and that is widely diversified among many individual s. Given its broad remit, the fund is permitted to the full spectrum of derivative instruments. While the fund does not have an explicit maximum gross leverage limit, the gross leverage of the fund is expected to range between approximately 1 to 1.35 times NAV. The fund is generally open for investor transactions each business day. Should the need arise and under normal market conditions, it is reasonably expected that the fund will be able to realise at least 80% of its assets (at the value ascribed to those assets in calculating the fund s NAV) within 10 days. Responsible Entity: BlackRock Management (Australia) Limited Manager: BlackRock Management, LLC Administrator JP Morgan Chase Bank, N.A Custodian: Brown Brothers Harriman & Co. Auditor: Deloitte Touche Tohmatsu Prime Broker (Market Neutral Fund): UBS AG * Including s in other BlackRock Group funds.

8 BlackRock Style Advantage Fund (Aust) Provides exposure to a market neutral style premia that seeks to capture positive returns from a range of style factor strategies across global asset classes while maintaining low correlation to broad market factors. Seeks to provide returns by implementing a factor based quantitative which aims to achieve absolute returns with low correlation to market movements over the longer-term. Through the application of systematic trading strategies, as implemented via the BlackRock Group s style factor strategies, the seeks to capture a positive return linked to the persistence of structural and behavioural market anomalies. Through diversification across styles, the seeks to achieve consistent returns in major asset classes including but not limited to equities, bond, currencies and commodities. At the same time the seeks to limit downside risk by dynamically managing overall exposure during market turmoil. The fund accesses its through an in the BlackRock Strategic Funds Style Advantage Fund (Style LUX). Style LUX may engage in synthetic short selling. The fund invests substantially all of its assets in Style LUX. exposures of Style LUX include the full spectrum of asset classes on a global basis (including both developed and emerging markets) including equities, debt securities (including high yield securities),, cash and cash equivalents*, money market securities and other assets (including commodities). Assets of the fund are generally denominated in Australian dollars and located in Australia and Luxembourg. Assets of Style LUX may be denominated in any global and may be located in any country around the world. While the base of Style LUX is U.S. Dollars, the share class into which Style invests hedges its exposure back to Australian dollars. The fund is managed to be fully invested in Style LUX. Style LUX does not have formal diversification or asset allocation guidelines. Consideration and monitoring of asset diversification does, however, form an integral part of the management of the, which is intended to be flexible and will follow a risk based methodology that ensures diversification across the various style factor strategies. Risk is allocated to style factor strategies in order to achieve a broadly equal contribution, though additionally, with subsequent tilts towards strategies that provide the most attractive risk and return characteristics as well as those that demonstrate better relative performance in periods of market stress. Style LUX may use the full spectrum of, subject to any requirements stipulated by BlackRock Strategic Fund and Luxembourg Law. While there is no explicit maximum level of gross leverage that the fund and Style LUX may be exposed to, the gross level of leverage is expected to range between approximately 7 to 13 times NAV. The fund and Style LUX are generally open for investor transactions each business day. Should the need arise and under normal market conditions, it is reasonably expected that the fund and Style LUX will be able to realise at least 80% of their assets (at the value ascribed to those assets in calculating the fund s NAV) within 10 days. BlackRock Style Advantage Fund (Aust) Responsible Entity: BlackRock Management (Australia) Limited Administrator & Custodian: JP Morgan Chase Bank, N.A Auditor: Deloitte Touche Tohmatsu BlackRock Global Funds Style Advantage Fund Manager: BlackRock (Luxembourg) S.A. Manager: BlackRock Financial Management, Inc. Administrator & Custodian: State Street Bank Luxembourg S.C.A. Auditor: Deloitte Audit S.à.r.l Registry & Transfer Agent: J.P. Morgan Bank Luxembourg S.A. * Including s in other BlackRock Group funds

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