Overview

The Switzer Higher Yield Fund (SHYF) is a zero-duration bond fund which aims to provide investors an attractive cash yield with low capital volatility by investing in a portfolio of high quality and liquid fixed income securities.

The portfolio is managed by Coolabah Capital Institutional Investments (Coolabah), a leading active credit manager with 13 analysts and 5 portfolio managers. Coolabah’s founder and CIO is Christopher Joye, one of Australia’s leading economists, policy advisors, and fund managers, and a regular contributor to The Australian Financial Review.

Investors can access the fund by either purchasing units via their broker in the same way they would any ordinary shares, or by completing an application form.

Switzer Asset Management is the responsible entity for SHYF.

Fund Objectives

The performance of objective of the portfolio is:

  • To provide investors with low-risk, quarterly income, and
  • to deliver total returns which are 1.5% to 3.0% greater than the RBA Cash Rate after fees and expenses on a rolling 12-month basis.

More Information

Key Fund Info

Key Fund Facts

Exchange Code SHYF
Responsible Entity Switzer Asset Management
Investment Manager Coolabah Capital Institutional Investments
Fund Investments Cash, Credit and Hybrid Securities
Benchmark RBA Overnight Cash Rate +1.50%
Management Fee 0.70%
Performance Fee 20% excess return above the Benchmark after Management Fee
Application/Withdrawal Fee Nill
Distributions Quarterly
Minimum Investment N/A
APIR Code SWI001AU
ARSN 093 248 232

Why Invest

Attractive Cash Yield Objective

The Switzer Higher Yield Fund seeks to offer attractive cash yield whilst minimising the risk of capital loss. The objective of the Fund is to deliver total returns after fees and expenses which are 1.5% to 3.0% greater than the RBA Cash Rate on a rolling 12-month basis.

Diversification

The Fund enables investors to access income from an asset class which most retail investors overlook. Fixed income securities are generally regarded as defensive investments that exhibit lower volatility in their capital value over time relative to higher risk asset classes including equities. By blending lower risk, fixed income securities with equities and other portfolio assets, investors may reduce their overall portfolio risk.

Low Capital Volatility

Debt is higher up the corporate structure than equity, which means interest payments to debt holders are required to be paid before dividends are paid to shareholders. Because of this, debt securities are typically less volatile than equities.

Track Your Investment in Real-Time

The Fund’s Net Asset Value (NAV) per unit will be published on our website daily. Investors will also be able to see the prices at which other investors are prepared to exchange units when units in the Fund are quoted on the exchange.

Quarterly Income

The Fund will generally pay quarterly distributions in January, April, July and October, sourced from a portfolio of Australian cash, bonds and hybrid securities. You can choose to receive your distributions as cash or to have them automatically reinvested into additional units in the Fund.

Low Management Fee

The management fee is 0.70% p.a. including GST net of RITC. The Management Fee covers the management of the Fund and its assets, and Fund outgoings including administration, accounting, audit and registry fees and expenses. There are no establishment or contribution fees. Investors may incur brokerage costs in purchasing or selling units on the exchange.

Expert Investment Management

The Fund provides access to Coolabah Capital Investments (Coolabah), a specialist fixed income manager with extensive expertise in the fixed income asset class. Coolabah was founded by Christopher Joye, one of Australia’s leading economists, policy advisors and fund managers. Coolabah’s edge is in alpha generation in liquid, high-grade credit. This is in contrast to traditional fixed-income managers that drive returns through adding more interest rate duration, credit default, and/or illiquidity risk. This alpha generation is a function of the world-class analytical insights rendered by Coolabah’s extremely well-resourced team.

Invest Your Way

The fund is a multi-distributed managed fund, meaning investors can buy and sell units either directly with Switzer Asset Management or by purchasing units via a broker, once the fund is quoted. Investors who enter the Fund via the exchange can dispose of their units directly with Switzer Asset Management and vice versa. Investors who choose to hold their investment on the CHESS register will have the benefit of CHESS holding statements showing the numbers of units that they own.

The Manager

The portfolio is managed by Coolabah Capital Investments (Coolabah), a leading active credit manager with 13 analysts and 5 portfolio managers. Coolabah’s founder and CIO is Christopher Joye, one of Australia’s leading economists, policy advisors and fund managers, and a regular contributor to The Australian Financial Review.

Coolabah manages approximately A$7 billion of assets (as at July 2021) on behalf of leading super funds, insurers, financial advisers and high net worth investors. Coolabah specialises in the generation of credit alpha through finding assets that are trading at a discount to fair value that will realise capital gains as their credit spreads normalise. This contrasts with conventional fixed income managers that try to boost their yields by chasing credit default risk, liquidity risk, and/or interest rate risk.

Christopher Joye

Chief Investment Officer & Portfolio Manager

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Ying Yi Ann Cheng

Portfolio Management Director & Market Technicals Analyst​

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Christopher Joye

Chief Investment Officer & Portfolio Manager

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Ying Yi Ann Cheng

Portfolio Management Director & Market Technicals Analyst​

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How To Invest

Investors can access the fund by either purchasing units via their broker in the same way they would any ordinary shares, or by completing an application form.

With an Online Broker
With an Online Broker

If you don’t have an existing Full Service Stockbroker relationship, visit the exchange website.

Complete the Application Form
Complete the Application Form

If you don’t have a share trading account, you can invest by completing an application form below. Please contact 1300 001 750 if you require assistance.

Apply now
Through your Financial Adviser
Through your Financial Adviser

Contact your financial adviser to invest.

Not Sure?
Not Sure?

If you have any questions about the Switzer Higher Yield Fund, please contact us on 1300 052 054 or email [email protected]