KEY POINTS:
What is it called and what sort of savings product is it?
The Tyndall Aggressive Australasian Equity Fund is a unit trust investment.
What is the company behind it?
Tyndall Investment Management, formerly called Guardian Trust Funds Management, was part of the Promina Group which was acquired by Australasian financial services firm Suncorp Metway earlier this year.
What is the target market?
Investors wanting exposure to the Australian and New Zealand share markets who are prepared to concentrate their risks.
What return does it offer?
Its official target is to out-perform, on a gross basis, the Reserve Bank's official cash rate by 5 per cent each year over a rolling three-year period. In the 12 months to September 30 it has produced a 29.75 per cent return, before fees and taxes.
When was it launched?
The strategy used in this fund started in 2002 but it has only been in this unit trust structure for retail investors since August 2006.
What other products is it like or is it competing with?
A number of other fund managers have Australasian share funds that have an absolute return investment focus.
Is it long term, short term or medium term?
This fund is recommended as a long-term holding in a portfolio.
What is the unique selling point of the product?
The aggressive nature of the fund in chasing returns. It isn't interested in tracking a benchmark or index, rather it is out to make a positive return, no matter which way the markets are heading. Could go to 100 per cent cash if no suitable investments.
How strong a stomach do you need for it?
Relatively strong. Relative to many private client portfolios not much, but relative to index-based funds, pretty high. The managers take all their highest bets with this fund and tend to have a small, concentrated portfolio of stocks, which is turned over on a relatively high frequency as better opportunities are found.
What's the hitch?
Being a concentrated, high-conviction fund, managers could make a few bad calls, which negatively affect returns.
www.sharechat.co.nz
