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North Guardian™ Investment Options Product Disclosure StatementIssue Number 1, 29 July 2013
Available with the AMP North® Guarantees
® Registered trademark of National Mutual Life Association of Australasia ABN 72 004 020 437 AFS Licence No. 234649
For further information (including costs) on North guarantees, please refer to the North Super and Pension Guarantee PDS or North Investment Guarantee PDS, which can be obtained from the website at northonline.com.au.
mana eyour investment
a smart way to
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Important information
ipac asset management limited (ABN 22 003 257 225, Australian Financial Services Licence No. 234655), is the Responsible Entity of the North Guardian Funds and issuer of this product disclosure statement (PDS). No other company in the AMP group is responsible for any statements or representations made in this PDS.
The North Guardian Funds are managed investment schemes structured as unit trusts and registered under the Corporations Act 2001 (Cwlth), referred to in this PDS as the ‘Corporations Act’.
Each of the North Guardian Funds has a different investment objective and is referred to in this PDS as an ‘Investment Option’ or a ‘North Guardian Investment Option’.
The Responsible Entity has appointed ipac portfolio management limited (ABN 51 071 315 618, Australian Financial Services Licence No. 234658) as the Portfolio Manager of the Investment Options.
You can invest in the Investment Options indirectly through a master trust, wrap account, investor directed portfolio service, or nominee or custody service. In this document we refer to investors in these services as indirect investors.
An investment in the Investment Options is subject to investment risk, including possible delays in repayment and loss of income and capital invested. The Responsible Entity, the Portfolio Manager, AMP Limited and associated companies, and any investment manager do not assume any liability to investors in connection with investment in the Investment Option or guarantee the repayment of capital, payment of income, or the performance of the Investment Options or a particular rate of return. Investments in the Investment Options are not deposits or liabilities of any company in the AMP group or of any investment manager. The obligations of the Responsible Entity are not guaranteed by the Portfolio Manager, AMP Limited or any associated companies or any investment manager.
Nothing in this PDS is to be taken as financial product advice. The information in this PDS is of a general nature only and the Responsible Entity has not taken any investor’s investment objectives, financial situation or particular needs into account when preparing this PDS. Consequently, you are encouraged to obtain appropriate financial advice before investing and to consider how appropriate the Investment Options are to your objectives, financial situation and needs.
The offer made in this PDS is only available to investors receiving it (electronically or otherwise) in Australia. We can only accept applications signed and delivered from within Australia. We cannot accept cash. The Responsible Entity reserves the right to accept or reject applications.
Where an Investment Option has more than 100 unit holders it is subject to regular reporting and disclosure obligations under the Corporations Act. Copies of documents lodged with the Australian Securities and Investments Commission (ASIC) in relation to the Investment Option may be obtained from, or inspected at, an ASIC office or can be obtained by contacting the North Service Centre on 1800 667 841. These documents may include annual and half-yearly financial reports.
The offer of units in an Investment Option is subject to the terms and conditions in this PDS. The Responsible Entity reserves the right to change the terms and conditions of the PDS (see ‘Changes to information in this PDS’ on page 17).
Unless otherwise specified, all amounts in this PDS are Australian dollars.
ipac asset management limited and ipac portfolio management limited are part of the group of companies with AMP Limited as its parent (AMP group).
Investment Option Registered name of the Investment Options ARSN APIR code
North Guardian Moderately Defensive North Managed Volatility Moderately Defensive Fund 163 411 461 IPA0169AU
North Guardian Balanced North Managed Volatility Balanced Fund 163 411 318 IPA0167AU
North Guardian Growth North Managed Volatility Growth Fund 163 411 274 IPA0168AU
Throughout this PDS
References to: To be read as:
‘investor’ or ‘unit holder’ or ‘you’ A client invested in any of the Investment Options, including any person authorised to act on their behalf
‘financial adviser’ A financial adviser holding an Australian Financial Services Licence or acting as a representative or an authorised representative of a licensee
‘we’, ‘us’, ‘our’, ‘ipac’ or ‘Responsible Entity’ ipac asset management limited
‘Portfolio Manager’ ipac portfolio management limited
‘indirect investor’ A client investing via a master trust or wrap account
‘master trust’ or ‘wrap account’ A trust, wrap account, investor directed portfolio service, nominee or custody service, platform or the operators of these investment vehicles, as applicable
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Contents
About the North Guardian Investment Options 2
Investment risks 6
Investor information 8
Fees and expenses 10
Additional information 13
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2
The North Guardian Investment Options are a series
of diversified funds that provide exposure to a mix
of Australian and international shares, Australian and
international fixed interest, and cash. There are three
Investment Options—Moderately Defensive, Balanced
and Growth—and in each Investment Option exposures
may be achieved by holding the assets directly, indirectly
through investments in other managed investment
schemes (including index funds) or synthetically
through derivatives.
The aim of each North Guardian Investment Option is to
provide a rate of investment growth over the medium
term to long term that is similar to that of a traditional
diversified fund with comparable target asset allocations,
while managing the level of short-term fluctuations across
different market conditions.
The North Guardian Investment Options aim to do this by
increasing or decreasing their exposure to shares based
on estimated short-term market volatility. Changes to
exposure are permitted within specified ranges for each
North Guardian Investment Option. For more information
regarding these ranges, please see page 5.
In contrast to a traditional diversified fund, the allocation
to shares in the North Guardian Investment Options
can change significantly from time to time in response
to changes in sharemarket volatility. The strategy aims
to have a lower than normal allocation to shares when
sharemarket volatility is higher than average, and to have a
higher than normal allocation to shares when sharemarket
volatility is lower than average.
It is important to note that the North Guardian Investment
Options’ strategy will not limit the size of any decline in
portfolio value nor provide any capital guarantee of your
initial investment amount or the value of your portfolio.
Asset allocation and risk
Asset allocation strategies
In general, diversified funds invest in a variety of asset classes,
such as Australian and international shares, Australian and
international fixed interest, and cash. The risk/return profile
and the volatility profile of a diversified fund are determined
by the target allocation to each asset class and the alteration
of such allocations over time.
The term ‘volatility’ is used to describe the fluctuation in
returns, and common practice is to estimate volatility by
calculating the standard deviation of historical returns. The
words ‘risk’, ‘fluctuations’ and ‘volatility’ are often used
interchangeably. As such, diversified portfolios with large
exposures to shares are described as more ‘risky’ than those
with large exposures to fixed interest or cash.
Traditional diversified funds
Traditional diversified funds typically maintain relatively stable
exposure to each asset class and, as a result can experience
significant variations in short-term volatility in fund returns over
time. For example, when share prices are experiencing significant
volatility, so too will traditional diversified fund returns.
North Guardian Investment Options
The key difference between traditional diversified funds
and the North Guardian Investment Options is how their
asset allocation strategies respond to changes in short-term
market volatility.
During periods of increasing market volatility, each North
Guardian Investment Option will tend to decrease its
allocation to shares and will increase its allocation to cash. The
aim of this feature of the strategy is to maintain short-term
volatility of the Investment Options’ returns within a tighter
range than a traditional diversified fund with comparable
target asset allocations. During periods of falling market
volatility, each North Guardian Investment Option will tend
to increase its allocation to shares, which may be above its
long-term target allocation (subject to a maximum) and will
decrease its allocation to cash.
Over the medium to long term, the volatility experience of a
North Guardian Investment Option is expected to be similar
to a traditional diversified fund with comparable target
asset allocations. Importantly, however, over the short term,
the volatility experience for the North Guardian Investment
Options is expected to be more stable than the experience
for a traditional diversified fund with comparable target
asset allocations.
About the North Guardian Investment Options
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3
Targeting a more stable volatility experience than a
traditional diversified fund means that each of the North
Guardian Investment Options needs the flexibility to change
allocations of growth and defensive assets significantly.
The allowable asset allocation ranges for each of the North
Guardian Investment Options are set out on page 5. These
ranges are generally considerably wider than asset allocation
ranges for comparable traditional diversified funds to allow
the Investment Options flexibility to respond to short-term
market volatility.
The North Guardian Investment Options may effect changes
in the exposure to asset classes by either buying or selling the
underlying assets, by using derivatives or a combination of
these methods.
‘Medium-term target allocations’ reflect the typical positioning
for each North Guardian Investment Option during periods
when market volatility is at or near what the Portfolio Manager
considers to be normal levels. The actual target allocations
at any time are likely to differ from the medium-term target
allocations to reflect the Portfolio Manager’s measurements
of short-term market volatility at that time. The Portfolio
Manager will generally not employ tactical asset allocation to
pursue investment opportunities based on short-term return
expectations and will maintain exposure to the different asset
classes within the permitted ranges.
There are a number of risks of investing in the
North Guardian Investment Options. These include
risks regarding volatility outcomes, return outcomes,
implementation risks and market risks. See page 6 for
more information.
Absence of performance history
As at the date of this PDS, the North Guardian Investment
Options have no performance history.
When the investment results become available, they will be
available online at northonline.com.au.
Please note that past performance is not a reliable indicator
of future performance. Fund performance will vary over time
and past performance should not be relied upon in making an
investment decision.
An example of volatility managementThe North Guardian Investment Options will use a volatility
management strategy. We have prepared an example to
illustrate the concept of volatility management. The example
is reflective of the asset allocation ranges that would apply for
a balanced diversified fund and uses historical observations of
sharemarket volatility from 1 January 1994 to 31 March 2013 1.
1 Historical sharemarket volatility observations are calculated using the S&P/ASX200 Net Total Return index and MSCI World Daily Total Return ex Australia index.
This is an example of volatility management concepts only. It
does not represent actual asset allocations or volatility of any
North Guardian Investment Option.
1. Market volatility
Volatility management attempts to provide a more consistent
volatility experience. The following chart shows one measure
of the level of short-term volatility for Australian and
international shares from 1 January 1994 to 31 March 2013.
In the graph, the level of short-term sharemarket volatility is
calculated by reference to the S&P/ASX200 Net Total Return
index (for Australian shares) and the MSCI World Daily Total
Return ex Australia index (for international shares). Short-term
volatility can vary markedly over time. It is possible to observe
periods of average volatility, periods of lower-than-average
volatility and periods of heightened volatility.
Observed sharemarket volatility
0
5
10
15
20
25
30
35V
ola
tilit
y le
vel (
%)
1994 1999 2004 2009
Source: ipac portfolio management limited. Annualised standard deviation of total daily return on Australian and international shares (including currency hedging) over the previous year.
The chart above depicts observed sharemarket volatility. It
should not be regarded as indicative of the likely volatility
of sharemarkets in future. It is not a representation of
sharemarket returns, which may be negative.
2. How allocations to shares may vary within a range
The following chart shows how a balanced diversified fund
pursuing a volatility management strategy may change its
allocation to shares in response to changes in short-term
sharemarket volatility. This example shows this fund’s
exposure to both Australian and international shares ranging
between approximately 20% and 80% over the period. This
chart illustrates that in periods of high short-term sharemarket
volatility, such as in late 2008, the allocation to shares will
likely be at the lower end of the allocation range and in periods
of lower short-term sharemarket volatility, such as in late 2003,
the allocation to shares will likely be at the higher end of the
allocation range.
When exposure to shares decreases, exposure to cash
increases. Conversely, when exposure to shares increases,
exposure to cash decreases.
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4
The thin line illustrates how the exposure to shares might
be expected to change over time for a fund with a volatility
management strategy. The thick line illustrates for comparison
purposes a fund with a consistent allocation to shares of
approximately 70% and without a volatility management
strategy (Fixed allocation fund).
Allocation to shares
0
20
40
60
80
100
1994 1999 2004 2009
Fixed allocation fund
Balanced fund with volatility management strategy
% o
f to
tal p
ort
folio
Source: ipac portfolio management limited
The example allocations set out above are included only
as an illustration of how a volatility management strategy
for a diversified portfolio could affect asset allocations as
compared to a fund with a consistent allocation to shares. It
should not be regarded as indicative of the actual allocation
adjustments that will be implemented in the future for any
North Guardian Investment Option.
3. Comparing the volatility experience
The following chart shows how a volatility management
strategy may stabilise the short-term volatility of returns,
compared to the experience of a comparable diversified fund
with a fixed allocation to shares. The chart shows that in
late 2008 the volatility of returns of a fund with a volatility
management strategy would not have risen as sharply as that of
a comparable diversified fund with a fixed allocation to shares.
Comparing the volatility experience
0
2
4
6
8
10
12
14
16
18
1994 1999 2004 2009
Fixed allocation fund
Balanced fund with volatility management strategy
Vo
lati
lity
leve
l (%
)
Source: ipac portfolio management limited. Annualised standard deviation of total daily return for the example funds described above over the previous year.
The chart above depicts the possible volatility experience of
a diversified fund implementing a volatility management
strategy relative to a comparable traditional diversified fund.
A fund’s volatility experience should not be confused with
the fund’s return. A North Guardian Investment Option could
experience negative returns. In addition, the chart should not
be regarded as indicative of the likely volatility profile of any
North Guardian Investment Option.
Who is ipac?ipac is the Responsible Entity of the North Guardian
Investment Options. ipac and its related entities are a financial
advice and investment group that has been helping clients
achieve their financial goals since 1983. As at 30 June 2013,
ipac managed about A$14 billion for more than 20,000 clients,
from individuals to Australian superannuation funds. ipac is a
member of the AMP group.
ipac is responsible for the management of the North Guardian
Investment Options, in consultation with NMMT Limited
(NMMT) (ABN 42 058 835 573, Australian Financial Services
Licence No. 234653).
The Portfolio ManagerThe Portfolio Manager is responsible for developing and
implementing the volatility management strategy for each
North Guardian Investment Option.
The Portfolio Manager is also responsible for conducting
research to select the underlying investment managers and
derivative counterparties in relation to the assets to which the
Investment Options have exposure.
A rigorous monitoring and review process is employed to
ensure investment managers continue to manage according to
the agreed strategy, with the aim of achieving the investment
objectives of each Investment Option. ipac may change the
investment managers or their allocations at any time without
prior notice.
Up-to-date information on the investment managers is
available from your financial adviser or by contacting the
North Service Centre on 1800 667 841.
Your investment in the Investment OptionsThe money from individual investors is pooled and invested
according to the investment objective and asset allocation
strategy for each Investment Option. You do not have
direct ownership of the underlying assets held by the
Investment Options.
The offer of units made under this PDS is only available to
clients accessing it through a master trust or wrap account. For
more information about investing through a master trust or
wrap account please see page 8.
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5
Moderately Defensive Balanced Growth
Investment objective(i)
To provide modest growth in your investment over the medium term with some fluctuations in value likely while managing the level of short-term fluctuations.
To provide moderate growth in your investment over the medium to long term with moderate fluctuations in value likely while managing the level of short-term fluctuations.
To provide moderate to high growth in your investment over the long term with moderate to high fluctuations in value likely while managing the level of short-term fluctuations.
Investment strategy(ii)
To invest in a diversified mix of growth and defensive assets while changing exposure to growth and defensive assets based on estimated short-term volatility (as described in the ‘About the North Guardian Investment Options section’). Growth assets such as Australian and international shares are expected to have an average allocation over time of around 50%, with the balance of the Investment Option’s portfolio invested in defensive assets such as cash and fixed interest.
Investments within each asset class will be made on a passive basis through one or a combination of:
– direct investments in the relevant assets
– one or more managed funds (including index funds), or
– derivatives that provide exposure to the relevant index.
To invest in a diversified mix of growth and defensive assets while changing exposure to growth and defensive assets based on estimated short-term volatility (as described in the ‘About the North Guardian Investment Options section’). Growth assets such as Australian and international shares are expected to have an average allocation over time of around 70%, with the balance of the Investment Option’s portfolio invested in defensive assets such as cash and fixed interest.
Investments within each asset class will be made on a passive basis through one or a combination of:
– direct investments in the relevant assets
– one or more managed funds (including index funds), or
– derivatives that provide exposure to the relevant index.
To invest in a diversified mix of predominantly growth assets while changing exposure to growth assets and defensive assets based on estimated of short-term volatility (as described in the ‘About the North Guardian Investment Options section’). Growth assets such as Australian and international shares are expected to have an average allocation over time of around 85%, with the balance of the Investment Option’s portfolio invested in in defensive assets such as cash and fixed interest.
Investments within each asset class will be made on a passive basis through one or a combination of:
– direct investments in the relevant assets
– one or more vehicles (including index funds), or
– derivatives that provide exposure to the relevant index.
Distribution frequency
Half-yearly: June and December Half-yearly: June and December Half-yearly: June and December
Asset allocations(ii)
Asset class Medium-term
target %
Range %(iii)
Australian shares
25
10–59 International
shares23
Total growth 48
Australian fixed interest
22
25–50 International
fixed interest7
Australian cash
23 Balance
Total defensive 52
Asset class Medium-term
target %
Range %(iii)
Australian shares
35
13–83 International
shares33
Total growth 68
Australian fixed interest
12
10–35 International
fixed interest3
Australian cash
17 Balance
Total defensive 32
Asset class Medium-term
target %
Range %(iii)
Australian shares
41
15–100 International
shares42
Total growth 83
Australian fixed interest
0
0–22 International
fixed interest0
Australian cash
17 Balance
Total defensive 17
Investment performance
For up-to-date performance data please speak to your financial adviser or visit northonline.com.au.
For up-to-date performance data please speak to your financial adviser or visit northonline.com.au.
For up-to-date performance data please speak to your financial adviser or visit northonline.com.au.
(i) The investment objectives specified are before all fees and taxes.
(ii) The investment strategy and asset allocation of the Investment Options may vary from time to time. The overall foreign currency exposure of the portfolio may be partially hedged back to the Australian dollar. Refer to page 12 for the management cost and buy/sell cost of each Investment Option.
(iii) The Portfolio Manager aims to manage asset allocations within the asset allocation ranges. However, in certain circumstances the Portfolio Manager may manage actual allocations outside of the asset allocation ranges. Such circumstances may include but are not limited to where one of the Investment Options or underlying funds is closed for new applications or withdrawals, during changes to the product structure, asset allocation or manager line-up, or in certain market conditions. The Portfolio Manager will not employ tactical asset allocation to pursue investment opportunities based on short-term return expectations.
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6
All investing involves riskInvestment risks can affect your financial circumstances in a
number of ways, including:
– The stated aims and objectives may not be met.
– Your investment may decrease in value, which means you
may get back less than you invested.
– Your investment may not keep pace with inflation, which
would reduce the future purchasing power of your money.
– The amount of any distribution you receive may vary or
be irregular, which could have an adverse impact if you
depend on regular and consistent distributions to meet your
financial commitments.
The value of your investment may also be affected by
the fund-specific risks noted below and by other risks or
external factors such as the state of the Australian and
world economies, consumer confidence and changes in laws
and regulations including tax laws and government policies
relating to managed investment schemes.
Other factors such as your age, the length of time you intend
to hold the investment, other investments you may hold
and your personal risk tolerance will affect the levels of
risk for you as an investor. As the risks noted in this section
do not take factors such as these into account, you should
consider obtaining appropriate financial advice before
making a decision about investing or reinvesting in the
Investment Options.
Risks that apply to most diversified fundsThese risks apply to all the Investment Options:
– Market risk: The risk of a fall in the price of assets within
a particular market. Movements in interest and inflation
rates, changes in government policy, taxation, legislation
and market sentiment can affect the value of assets and
the income these assets can generate. Some markets such
as those in emerging economies can be more volatile due to
risks associated with global or local political, economic and
social policies.
– Currency risk: The risk that movements in foreign
currencies will reduce the returns from unhedged
international investments. Of the Investment Options,
currency risk is greatest for the North Guardian Growth
Investment Option due to the higher strategic exposure to
international securities.
– Liquidity risk: The risk that an investment may not be easily
converted into cash with little or no loss of capital and
minimum delay, because of inadequate market depth or
disruptions in the marketplace.
– International risk: Risks such as political and economic
instability of overseas countries, different accounting and
reporting standards resulting in reduced disclosure, limited
availability of reliable company financial information and
international fund flow restrictions are all examples of
potential risks when investing in international assets. Of
the Investment Options, international risk is greatest for
the North Guardian Growth Investment Option due to the
higher strategic exposure to international shares.
– Structure related risks: An Investment Option could
terminate, the fees and expenses could change, or the
Portfolio Manager or its investment team could change.
There is also a risk that investing in the Investment Options
may give different results than investing directly in the
underlying assets due to income or capital gains accrued
in the Investment Options and the consequences of
investment and withdrawal by other investors.
– Use of derivatives: The underlying investment managers
and the Investment Options may use derivatives such as
options, futures, or forward rate agreements with the aim
of protecting against risks such as unfavourable changes in
an investment’s price brought about by changes in interest
rates, commodity prices or currencies, and/or enhancing
returns by taking advantage of favourable mispricings
within a market or as a cost-effective alternative to
purchasing physical assets.
– Distribution risk: In some circumstances, the frequency
or rate of distribution payments may vary or you may
not receive a distribution. This is more likely to occur
when a fund employs extensive currency hedging or
uses derivatives.
– Management risk: The funds are managed by an
investment manager on behalf of investors. There is
a risk that the investment manager will not perform
to expectations.
– Credit risk: The risk that a party to a credit transaction
fails to meet its obligations, for example defaulting under
a fixed interest security or a derivative or a mortgage.
This creates an exposure to underlying borrowers and the
financial condition of issuers of those securities.
No assurance can be given by the Responsible Entity that the
operations of the Responsible Entity or the Investment Options
will not be adversely affected by these risks. If these risks are
not managed, the investment objectives of the Investment
Options may not be met.
Investment risks
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7
Risks specific to the North Guardian Investment OptionsThe North Guardian Investment Options have certain specific
risks relating to the volatility management strategy.
Strategy risks – Volatility outcomes: The assumptions regarding
sharemarket volatility may not be realised or sharemarket
volatility may not be able to be accurately estimated,
resulting in the Investment Options not exhibiting more
consistent volatility than their traditional diversified
fund counterparts.
– Return outcomes: Even if more consistent volatility is
realised, the Investment Options may deliver long-term
returns significantly different to those of their traditional
diversified fund counterparts.
Implementation risksThe investment objective of the North Guardian Investment
Options is implemented via an asset allocation strategy that
allows shifts in exposure between shares and cash assets in
response to changes in estimated market volatility.
The Portfolio Manager may implement this asset
allocation strategy:
– by buying and selling the relevant assets directly, or
interests in vehicles that hold the relevant assets
– synthetically by using derivatives, or
– through a combination of the above.
The risks associated with the implementation of this
strategy include:
– Timing: If there is an inability to implement changes to
asset allocations in a timely manner there is a risk that
the volatility management strategy will not achieve
its objective.
If this risk is not managed, the investment objective of the
Investment Options may not be met.
Specific risks associated with the use of derivatives to
implement the asset allocation strategy include:
– Counterparty risk: Entry into derivatives creates
counterparty risk. Substantial losses may be incurred
if a derivative counterparty fails to deliver on its
contractual obligations.
– Counterparty replacement risk: If the counterparty to a
derivative needs replacing, there is a risk that the asset
allocation strategy may not be met for a period of time.
If these risks are not managed, they could result in the
investment objective of the Investment Options not being
met. The Responsible Entity has processes in place to monitor
counterparty risks and seeks to mitigate the risk of exposure
to derivative counterparties, including taking collateral. The
Responsible Entity may also implement the asset allocation
strategy via another method, as set out above.
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8
InvestingInvestors in the North Guardian Investment Options must
invest through a master trust or wrap account. Investors in
master trusts or wrap accounts do not become direct holders
of units in the Investment Options. Instead, it is generally the
operator of the master trust or wrap account that invests for
you and so has the rights of an investor. They exercise these
rights in accordance with their arrangements with you.
To invest in the North Guardian Investment Options through a
master trust or wrap account, please complete the application
process of your master trust or wrap account operator. It is
important to ensure you have fully read and understood the
disclosure document applicable to the master trust or wrap
account prior to investing. While it is not our intention, we may
refuse (without reason) any application.
Processing of applications and redemptionsAs you are investing through a master trust or wrap account,
the timing for processing and pricing an investor’s application
or redemption by the master trust or wrap account operator
will be dependent on the requirements of the master trust or
wrap account.
The Responsible Entity reserves the right to reject applications
in whole or in part without giving any reason.
If ipac accepts the application or redemption request from the
master trust or wrap account operator by 11.00am (Sydney
time) on a Sydney business day, it is generally deemed to be
received that day. The effective unit price of that day will be
used to calculate the number of units issued or redeemed. This
unit price is generally issued within two business days of the
effective date.
If the application or redemption request is received after
11.00am (Sydney time) on a Sydney business day, or on a non-
business day, it is generally deemed to be received the next
business day.
Payment of redemptions will normally be processed within
10 Sydney business days of receipt of a request, although the
Constitution of each Investment Option allows up to 30 days,
or a longer period in some exceptional circumstances.
Where total withdrawals exceed 5% of net assets of an
Investment Option on any one day, we may determine that
part of the withdrawal amount payable consists of income.
Extended withdrawal periodThe Responsible Entity may extend the period allowed for
satisfaction of a withdrawal request while there are certain
prevailing circumstances. These circumstances are specified in
each Investment Option’s Constitution and include where the
Responsible Entity is unable to realise sufficient assets within
the relevant time due to circumstances beyond its control,
or it does not consider doing so to be in the best interests of
unit holders as a whole or where there would be insufficient
remaining cash to meet liabilities.
If at least 80% of the value of assets of an Investment Option
no longer consists of cash and other assets that may be
realised within the period allowed for funding redemption
requests under the relevant Constitution, the Corporations
Act will classify the Investment Option as ‘not liquid’. If this
happens, unit holders will be unable to redeem unless the
Responsible Entity chooses to make a redemption offer under
the Corporations Act and the Constitution. The Responsible
Entity expects the Investment Options will remain liquid in
normal circumstances.
Please refer to the master trust or wrap account operator’s
disclosure document for further information regarding the
payment of withdrawal proceeds.
Unit pricing and asset valuationThe Responsible Entity generally calculates unit prices for each
Investment Option at least once each Sydney business day,
although it may do so more or less often.
The application price and redemption price of a unit is
calculated based on the net asset value of the Investment
Option divided by the number of units on issue adjusted for an
allowance for transaction costs (see page 11).
The net asset value of an Investment Option includes the
value of the investments of that Investment Option and any
accumulated income and profits, less amounts required to
meet the actual or contingent liabilities of the Investment
Option and any accrued charges.
The Responsible Entity may delay the calculation of the unit
price if it is appropriate, for example, in the case of closure
of, or trading restrictions on, a securities exchange or an
emergency or moratorium.
ipac has the ability to exercise discretion in relation to the
calculation of application and redemption unit prices. ipac has
a policy that details how and when we exercise this discretion.
We will provide you with a copy of the policy free of charge
at your request. Please contact the North Service Centre
on 1800 667 841.
Investor information
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9
DistributionsThe Investment Options will normally distribute income half-
yearly, after the periods ending 30 June and 31 December.
You should be aware that although it is the intention that the
Investment Options pay distributions half-yearly, the amount
of each distribution may vary or no distribution may be
payable in a six-month period.
Unit prices will normally fall after the end of each distribution
period. Consequently, if you invest just before the end of a
distribution period, some of your capital may be returned to
you as income in the form of a distribution.
The distribution amount per unit holder will be calculated
based on the number of units held at the end of the relevant
distribution period.
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Fees and expenses
Consumer advisory warning
Did you know?
Small differences in both investment performance and fees and costs can have a substantial impact on your long-term returns.
For example, total annual fees and costs of 2% of your fund balance rather than 1% could reduce your final return by up to 20%
over a 30-year period (for example, reduce it from $100,000 to $80,000).
You should consider whether features such as superior investment performance or the provision of better member services
justify higher fees and costs.
You may be able to negotiate to pay lower contribution fees and management costs where applicable. Ask the fund or your
financial adviser.
To find out more
If you would like to find out more, or see the impact of the fees based on your own circumstances, the Australian Securities and
Investments Commission (ASIC) website (www.moneysmart.gov.au) has a managed investment fee calculator to help you check
out different fee options.
Fees and other costsThis document shows fees and other costs that you may be charged. These fees and costs may be deducted from your money, from
the returns on your investment or from the Investment Option assets as a whole.
Taxation information is on page 13.
You should read all the information about fees and costs because it is important to understand their impact on your investment.
Fees and costs for particular Investment Options are set out on page 12.
The fees and costs set out in this section apply to all North Guardian Investment Options.
Type of fee or cost Amount How and when paid
Fees when your money moves in or out of North Guardian Investment Options
Establishment fee
The fee to open your investment
Nil Not applicable
Contribution fee
The fee on each amount contributed to your investment
Nil Not applicable
Withdrawal fee
The fee on each amount you take out of your investment
Nil Not applicable
Exit fee
The fee to close your investment
Nil Not applicable
Management costs(i)
The fees and costs for managing your investment (excluding transaction costs)(ii)
The amount you pay for specific Investment Options is shown in the estimated management costs table on page 12.
0.59% pa Calculated as a percentage of the amount you have invested in each Investment Option and included in the unit price of that option.
For more information refer to pages 11 to 12.
Service fees
Investment switching fee
This is the fee charged when you switch between Investment Options. You may also incur a buy or sell cost when switching between Investment Options.
Nil Not applicable
(i) All management costs are inclusive of GST and any applicable stamp duty, less any reduced input tax credits (RITC) or other input tax credits claimable.
(ii) For further information on transaction costs, refer to page 11.
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Additional explanation of fees and costs
Management costs
An estimate of the total management costs incurred by
investors for each Investment Option is shown in the
management costs table on page 12. It is based on expected
costs and expenses to be incurred and is deducted from the
earnings before the unit price is calculated. It is based on
information at the date of publication and is subject to change.
The management costs include the following:
a. Management fee
The Responsible Entity receives a management fee for
providing both responsible entity and portfolio management
services. Fees payable to underlying securities managers are
paid from the management fee.
The management fee for each Investment Option is partly
dependent on the underlying construction of each portfolio,
including its asset and securities manager allocations. Changes
to the portfolio construction may lead to an increase or
decrease in the management fee.
The maximum fee ipac may receive for performing its role as
Responsible Entity and portfolio management services for each
Investment Option is 3% pa. This is set out in the Constitution
for each Investment Option.
b. Expense recovery
The Constitutions provide for the Responsible Entity to be
reimbursed from the Investment Options for all expenses
incurred in relation to the proper performance of its duties in
connection with the Investment Options.
Reimbursable expenses include (but are not limited to)
custodial and audit expenses, printing and postage expenses,
unit registry costs and costs associated with the preparation of
the PDS. These reimbursable expenses are reflected in the unit
prices for the Investment Options.
Buy/sell costs
Investments and withdrawals may incur buy and sell spreads,
which are designed to ensure, as far as practicable, that any
transaction costs incurred as a result of an investor entering or
leaving the Investment Option are borne by that investor, and
not other investors.
Buy and sell spreads are calculated based on the actual or
estimated costs the Investment Option may incur when
buying or selling assets. They will be influenced by our
experience of the costs involved in transacting in these assets
or the costs that the Investment Option has actually paid,
and will be reviewed whenever necessary to ensure they
remain appropriate.
When you enter or leave the Investment Option, any buy or
sell spread applicable at that time is a cost to you, additional to
the fees noted above, and is reflected in the unit price. The buy
and sell spreads are retained within the Investment Option;
they are not fees paid to us or any investment manager.
The buy spread is taken out of application amounts. The sell
spread is taken out of withdrawal amounts.
If considered in isolation the effect of the sell costs of 1.0%
on a $1,000 investment in units would result in the reduction
of the investment to approximately $990 upon its sale. That
is, $1,000 less the sell cost of $10 (1.0%) = $990. This is an
example only and is not an estimate or forecast. The actual
buy/sell spreads may be higher or lower.
The management costs and buy/sell costs for each Investment
Option are in the management costs table. These fees and
expenses are based on information at the date of publication
and are subject to change.
The most up-to-date buy/sell costs are available from your
financial adviser, or by contacting the North Service Centre on
1800 667 841 or visiting northonline.com.au.
Transactional and operational costs
Transactional and operational costs associated with dealing
with the Investment Option’s assets may be recovered from
the Investment Option in addition to the fees noted above.
Transactional and operational costs may include transactional
brokerage, stamp duty, international sub-custody fees and the
buy and sell spreads of any underlying fund. These costs will
differ according to the type of assets in the Investment Option,
and will be paid out of the Investment Option.
Liabilities properly incurred
Each of the Investment Option’s Constitutions entitles us to
be indemnified from the Investment Option for any liability
properly incurred.
Derivative costs
The Investment Options may incur transaction costs relating to
the use of derivatives to implement the investment strategy.
Costs in connection with derivatives include:
– allowances factored into the price of the derivative,
including fees for the derivative facility as well as amounts
that correspond to costs that would be incurred if the
Investment Options held the relative underlying assets
directly including custodian and sub-custodian costs,
transaction expenses such as brokerage and taxes, and
management fees payable to managers, and
– costs in the event that a derivative arrangement is
terminated prior to its agreed maturity date.
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Increases or alterations in chargesThe Responsible Entity may alter any of the fees stated
on page 12 up to the maximum fee (if any) outlined in
the Constitutions, without the consent of investors. The
Responsible Entity may also impose additional fees where the
Constitution permits. You will be given at least 30 days’ notice
in writing of any increases in the fees set out in this PDS.
Maximum feesThe maximum fees that can be charged under the Investment
Options’ Constitution are:
– Entry fee: 5% of the application amount. We currently do
not charge an entry fee.
– Withdrawal fee: 5% of the withdrawal amount. We
currently do not charge a withdrawal fee.
– Management fee: 3% pa of the value of the assets in the
Investment Option. We currently charge a management fee
of 0.59% pa.
Differential feesWe may negotiate a rebate of part of the management fee
or charge a lower management fee with investors who are
wholesale clients for the purposes of s761G and s761GA of the
Corporations Act or with AMP group staff. Further information
can be obtained by contacting us.
Goods and Services Tax (GST)All fees in this PDS are inclusive of GST and any applicable
stamp duty, less any reduced input tax credits or other input
tax credits claimable.
Example of annual fees and costsThis table gives an example of how the fees and costs
in the Investment Options for this product can affect
your investment over a one-year period. You should use
this table to compare this product with other managed
investment products.
EXAMPLE: North Guardian Balanced Investment Option
BALANCE of $50,000 with a contribution of $5,000 during the year
Contribution fees Nil For every $5,000 you put in, you will be charged $0.
Plus Management costs
0.59% pa And, for every $50,000 you have in the fund you will be charged $295 each year.
Equals Cost of fund
If you had an investment of $50,000 at the beginning of the year and you put in an additional $5,000 during that year you would be charged fees of:
$295
What it costs you will depend on the Investment Option you choose and the fees you negotiate with your fund or financial adviser.
Note:
− The management costs amount assumes a constant investment of $50,000 throughout the year, with a $5,000 contribution made on the last day of the period. Management costs are also applied to any additional contributions that you make during the year.
− Investors through a master trust or wrap account should be aware that in addition to the fees and expenses set out in this PDS, fees and expenses for the master trust or wrap account may also be payable in accordance with the terms and conditions for the master trust or wrap account.
Estimated management costs and buy/sell costsThe table below provides the estimated management costs
and buy/sell costs applicable to each Investment Option.
North Guardian Investment Options
Estimated management
costs (% pa)
Buy/Sell cost (%)
On application
On redemption
Moderately Defensive 0.59 0.13 0.10
Balanced 0.59 0.14 0.10
Growth 0.59 0.15 0.10
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Structure of the Investment OptionsThe Investment Options are separately registered managed
investment schemes.
Labour standards and environmental, social and ethical considerationsLabour standards or environmental, social or ethical
considerations are not taken into account by the Responsible
Entity or the Portfolio Manager when making investment
decisions for the North Guardian Investment Options.
Investing in the Investment OptionsInvesting in the Investment Options is generally confined to
investors making an investment through a master trust or
wrap account approved by the Responsible Entity.
Investment performanceIn conjunction with your financial adviser, your decision to
invest in the Investment Options should be based on all the
information provided in this PDS.
As at the date of this PDS the North Guardian Investment
Options do not have any performance history. When the
investment results become available, they will be posted on
northonline.com.au.
Past performance is not a reliable indicator of future
performance. Performance will vary over time and past
performance should not be relied upon in making an
investment decision.
Taxation and social security informationThis tax and social security information is of a general nature
only. Tax laws are complex and can change. We recommend
you discuss your own circumstances with your financial
planner or tax adviser before you decide to invest.
Each Investment Option is a separate managed investments
scheme, and thus a separate taxable entity, for tax purposes.
An Investment Option will generally not pay income tax as
long as all of its net taxable income, including net realised
capital gains, is distributed. Our policy is to distribute all such
taxable income each financial year.
Taxation of distributions and the sale of investments
We intend to distribute the Investment Option’s net income
to investors so that the Investment Option will not incur a
liability for income tax. You may be liable for tax on income,
any net realised capital gains distributed by each Investment
Option (even if distributions are reinvested) and any net
realised capital gains from the disposal of your investment.
Concessional tax treatment may apply on these net realised
capital gains where the assets were held for more than 12
months, as capital gains may be calculated using the discount
method (where the gain is entitled to be discounted by 50% for
individuals).
You may also be entitled to tax credits distributed by each
Investment Option to offset your tax liability (eg franking
credits received from Australian shares that represent tax
already paid by a company on its profits and foreign income
tax offsets from overseas investments that represent foreign
tax already paid on the income or capital gains from these
investments). Different rules may apply to non-residents.
If we distribute more than the taxable income earned by the
Investment Option, generally the excess will be treated as a
return of capital for tax purposes, which will not be subject
to tax but will reduce the cost base of your investment for
the purposes of calculating capital gains or capital losses on
eventual disposal.
Taxation of withdrawals
Any regular withdrawal that is not funded by your distribution
will require a withdrawal of your units. Such withdrawals may
be subject to capital gains tax. For the purposes of calculating
capital gains or capital losses, you may want to choose which
part of your Investment Option to withdraw from. If you have
made a number of investments into the same Investment
Option, you can tell us which units you want to withdraw.
If you don’t tell us, we will withdraw from the earliest
investment you made.
Tax File numbers and Australian Business numbers
You are not required to give us your Tax File Number (TFN),
Australian Business Number (ABN), or a valid reason for
exemption. However, if you do not, we may have to deduct
TFN withholding tax at the top marginal tax rate plus Medicare
levy, from any distributions paid to you (even if distributions
are reinvested). For investors who are non-residents, non-
resident withholding tax may be deducted from distributions.
GST
GST was introduced at a rate of 10% on taxable supplies
made after 1 July 2000. This may affect the return on your
investments in the Investment Option. Investors should
not be directly subject to GST when they invest or redeem
their investment in the Investment Option. However, the
Investment Options may incur GST in respect of various
expenses. The Investment Option may not be entitled to full
input tax credits in respect of all the GST it incurs.
Additional information
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The Responsible Entityipac is the Responsible Entity for the Investment Options.
The Responsible Entity has overall responsibility for
the management of the Investment Options, including
determination of the investment objectives and strategy.
The Responsible Entity is also responsible for holding
the investments of the Investment Options securely and
protecting the right and interests of unit holders. Its duties and
obligations to unit holders are imposed, and its functions and
powers are conferred on it by the Constitutions (see below),
the Corporations Act and general law. Under the Constitution,
the powers of the Responsible Entity are very broad and there
are few restrictions on the types of assets into which the
Investment Options can invest. These powers are limited by
the objectives and investment strategy as stated in this PDS.
In exercising its powers and carrying out its duties, the
Responsible Entity must:
– act in the best interests of unit holders and treat unit
holders of the same class equally and unit holders of
different classes in the Investment Options fairly
– act honestly
– exercise the degree of care and diligence that a reasonable
person would exercise if they were in the Responsible
Entity’s position, and
– if there is a conflict between unit holders’ interests and its
own interest, give priority to the unit holders’ interests.
ipac may at any time voluntarily retire or be removed by unit
holders at a unit holders meeting.
The Responsible Entity is authorised under the Constitutions
to appoint agents (such as a custodian) or engage the services
of other persons (such as the operator of a securities clearing
system) to undertake matters on its behalf. The Responsible
Entity remains liable for the acts and omissions of any agent
or person so appointed pursuant to the Corporations Act as
though it had itself done (or failed to do) anything the agent or
person has done (or failed to do).
The Responsible Entity has appointed ipac portfolio
management limited as the Portfolio Manager in relation
to the Investment Options pursuant to an investment
management agreement. This role includes providing
investment management and associated services to the
Investment Options. The Portfolio Manager has consented to
being named as the investment manager of the Investment
Options in this PDS. As at the date of this PDS, the Portfolio
Manager has not withdrawn its consent.
International Financial Reporting StandardsTerminology used in this PDS (such as market value or
net asset value) may not necessarily be consistent with
terminology in the Australian accounting standards
equivalent to International Financial Reporting Standards.
The accounting standards relate to financial statements. The
PDS uses terminology commonly accepted in the financial
services industry when referring to the calculation of fees and
unit prices which may differ to that used in the Investment
Options’ financial statements.
Alternative forms of remunerationFinancial services providers are required to maintain a register
which outlines the alternative forms of remuneration. The
register is available free of charge by contacting the North
Service Centre on 1800 667 841.
The ConstitutionsEach Investment Option is a managed investment scheme
registered under the Corporations Act. ipac is the Responsible
Entity of each Investment Option. The Constitution of
each Investment Option establishes a framework for its
operation and with this PDS, the Corporations Act and other
relevant laws, and defines the relationship between ipac and
unit holders.
The following description of each Investment Option’s
Constitution is relevant primarily to master trusts or wrap
accounts who are unit holders in the Investment Options.
Indirect investors are not unit holders.
Some of the provisions of the Constitution, such as maximum
fees and unit pricing, are dealt with elsewhere in this PDS.
Other provisions relate to:
– the Responsible Entity’s investment and contracting
powers on behalf of the Investment Options and valuation
principles for assets
– the distribution of income and capital of the Investment
Options
– the obligations, duties and powers of the Responsible Entity
and delegation of its functions
– the voluntary and compulsory retirement, removal or
replacement of the Responsible Entity
– the duration of the Investment Options, including
termination by members or the Responsible Entity, or under
operation of law
– recoverable expenses, permitted borrowing and the limiting
of liability and remuneration and indemnification of the
Responsible Entity
– the manner in which notices will be given, and payments
made, to members
– procedures by which members may make complaints
procedures for the convening and holding of meetings of
members
– the maximum fees the Responsible Entity may charge, and
– amendment of the Constitutions.
The Responsible Entity will provide, on request and free of
charge, a copy of the Constitutions (and any amendments that
may be made from time to time). Please contact the North
Service Centre on 1800 667 841 should you require a copy.
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The compliance committee and compliance plansIn accordance with the Corporations Act, a compliance plan
for each Investment Option has been prepared and lodged
with ASIC. The compliance plans, among other things, set
out the measures the Responsible Entity will apply to ensure
that the Investment Options are operating in accordance
with the Corporations Act and its Constitution. A compliance
committee, with a majority of external members, has
been established with the principal role of monitoring the
Responsible Entity’s adherence to the compliance plans, and
the adequacy of the plans. An external auditor will audit the
compliance plans annually and will report its findings to the
Responsible Entity.
Unit holder meetingsMeetings of unit holders of an Investment Option may
be convened at any time by the Responsible Entity. The
Responsible Entity must also convene a meeting of unit
holders of an Investment Option when requested to do so
by a unit holder with at least 5% of the votes that may be
cast or by at least 100 unit holders who are entitled to vote
on the resolutions. If a meeting is to be held, a notice setting
out all the relevant information will be sent to unit holders in
accordance with the requirements of the Corporations Act and
the Constitution of the Investment Option.
While the Constitutions for the Investment Options contain
some provisions relating to meetings of unit holders, the rights
of unit holders to attend and vote at meetings are mainly set
out in the Corporations Act.
Indirect investors do not have rights to attend and vote at unit
holder meetings. Instead, the direct investor, the master trust
or wrap account will exercise those rights in accordance with
their arrangements with you.
Unit holder liabilityThe Constitution for each Investment Option limits unit
holder liability to the value of the unit holder’s investment
in the Investment Option so that a unit holder will not, by
reason of being a unit holder alone, be personally liable to
indemnify ipac as Responsible Entity or a creditor, in the event
that the liabilities of the Investment Option exceed its assets.
However, because this matter has not been tested in court,
the Responsible Entity cannot give an absolute assurance in
this regard.
How direct and indirect investments differAny rights that this PDS describes as being exercisable by a
unit holder are exercisable by the direct unit holder, being the
master trust or wrap account and not to persons investing
through these services. Similarly, references to ‘unit holder
liability’ (see above) are applicable to the master trust or wrap
account and not to persons investing through those services.
You should be aware that the rights of investors indirectly
investing in the Investment Options through a master trust or
wrap account, and the rights of persons investing directly in
the Investment Options, differ. If you are a direct investor in an
Investment Option, ie you are a master trust or wrap account:
– units in the Investment Options are held in your name
(unless you arrange otherwise)
– you may make investments, redemptions and switches in
accordance with this PDS and the Constitutions
– the distribution of income will be calculated and paid to you
or at your direction in accordance with the Constitutions
– fees and charges will be charged in accordance with this
PDS and the Constitutions
– the Responsible Entity will keep you informed of the
progress of your investment and all transactions that you
make, and
– you will have voting rights in respect of your units.
If you are an indirect investor in the Investment Options
through a master trust or wrap account:
– the registered holder of units in the Investment Options will
be the master trust or wrap account
– investments, redemptions and switches in relation to units,
and the timing of them, will be governed (in part) by the
terms and conditions for the master trust or wrap account
– income distributions will be distributed to the master trust
or wrap account operator from which distributions may be
allocated to you or credited to your account in accordance
with the terms and conditions of the relevant master trust
or wrap account
– the master trust or wrap account operator will be
responsible for informing you of the progress of your
investment through the master trust or wrap account
– you do not have any voting rights in respect of the units
held on your behalf by the master trust or wrap account
operator and you have no rights to attend and speak at
meetings of members of the Investment Options. The
master trust or wrap account operator may exercise all of
the rights relating to the investment, and
– you generally do not have any cooling-off rights. Investors
should refer to the relevant disclosure for information
regarding any cooling-off rights.
ReportingPersons who invest in the Investment Options through a
master trust or wrap account will not receive confirmation
of transactions, quarterly reports, distribution statements,
tax statements or financial statements directly from the
Responsible Entity in respect of the Investment Options. These
will be provided by the Responsible Entity to the master trust
or wrap account who may report to you on your investments
in the relevant master trust or wrap account in accordance
with the arrangements governing that master trust or
wrap account.
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Financial position of the Investment OptionsThe financial statements of the Investment Options will be
made available free of charge upon request. Please contact
the North Service Centre on 1800 667 841 or email us at
[email protected] should you require a copy.
Complaints procedure
Master trusts and wrap accounts (Direct investors)
The Responsible Entity follows an established procedure to
deal with complaints. If you have concerns relating to your
investment in the Fund, please contact us by telephone on
1800 624 452 or in writing to ipac asset management limited,
Level 24, 33 Alfred Street, Sydney NSW 2000.
Indirect investors
You should contact your financial adviser, master trust or wrap
account if you have a complaint related to your investment. If
your issue remains unresolved, you can contact the external
dispute resolution scheme of which the wrap account is
a member.
Your privacy
Master trusts and wrap accounts (Direct investors)
The main purpose in collecting personal information is so that
we can set up and administer your investment account. If you
do not provide the required information, we may not be able to
process your application.
The AMP Privacy Policy, which can be obtained online at
ampcapital.com.au or by contacting us, sets out the AMP
group’s policies on management of personal information. This
information may be disclosed to other members of the AMP
group, financial advisers where applicable, and to external
service suppliers who supply administrative, financial or other
services that assist us in providing services to you.
Under the Privacy Act 1988 (Cwlth), you may access personal
information held about you, although there are some
exemptions to this. If you believe information held about you is
inaccurate, incomplete or out of date, please contact us.
Indirect investors
Your financial adviser, master trust or wrap account will
collect personal information from you so that they can set
up and administer your investment account. Your financial
adviser, master trust or wrap account can provide you with
information about how they use and disclose this information.
Cooling-off periodIndirect investors should refer to the relevant disclosure
document of the master trust or wrap account for their
cooling-off rights (if any) in relation to their master trust or
wrap account.
Master trusts and wrap accounts do not have any cooling-off
rights in relation to an investment in the Investment Options.
Related party transactionsA related party transaction is a transaction involving parties
that have a close relationship with us, for example, where a
fund managed by us invests in other funds where we are the
responsible entity, trustee or investment manager.
Where we enter into transactions with related parties,
including our appointment of the Portfolio Manager for each
Investment Option, we operate in accordance with related
party protocols and AMP group policies and procedures which
require us to transact on terms that would be reasonable if
the parties were dealing at arms’ length. These policies and
procedures, including related party policies, are governed by
the AMP Conflicts of Interest Policy which applies a code of
conduct to our directors and officers, and promotes integrity,
responsibility and accountability. The code of conduct provides
that where related party transactions exist we must ensure
that legislative requirements are met and investors’ interests
are protected.
Under each Investment Option’s Constitution, the Responsible
Entity may:
– deal with itself, an associate, investor or any other person
– be interested in or receive a benefit under any contract or
transaction with itself, an associate, investor or any other
person, or
– act in the same or similar capacity in relation to any
other fund.
Electronic formatFor investors receiving this PDS electronically, a paper copy will
be provided free of charge upon request.
Offers limited to AustraliaThis document can only be used by investors receiving it
(electronically or otherwise) in Australia.
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Changes to information in this PDSBefore making a decision to invest in an Investment Options,
it is important to obtain a current PDS, as the information
provided in a PDS may change from time to time. If the change
is not materially adverse to investors, we will update the
relevant information online at northonline.com.au. However,
if the change is considered materially adverse to investors, we
will issue a replacement PDS or a supplementary PDS, which
will also be available online. You can also obtain a copy of the
updated information and any replacement or supplementary
PDS free of charge by contacting us.
If there is an intention to change the Investment Option’s
investment objective or investment strategy, we will inform
investors in writing, before making the change. If there is an
intention to change the fees and charges applicable to an
investment in an Investment Option, we will provide investors
with 30 days’ notice in writing before making the change.
Retaining this PDSYou should keep this PDS and any supplementary or updated
PDS as you may need to refer to information about the
Investment Options for ongoing investing. We will send you a
current PDS and any replacement or supplementary PDS free
of charge, on request.
Further informationIf you require any further information please speak with
your financial adviser or call the North Service Centre on
1800 667 841.
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3 0
7/1
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Contact your adviser or financial plannerdirectory Registered address of ipac
Level 24, 33 Alfred Street
SYDNEY NSW 2000
phone 1800 667 841
web northonline.com.au
email [email protected]
mail North Service Centre GPO Box 2915 MELBOURNE VIC 3001
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