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RARE launch Infrastructure Income Fund and Emerging Markets Fund (mFund codes: RAI03 and RAI04)

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mFund
17 July 2017

RARE launch two new infrastructure funds

RARE is a specialist investment manager focused on providing investors with portfolios of high-quality listed infrastructure assets. The company was established in 2006 and has grown to be one of the largest listed infrastructure managers globally. Their focus is dedicated exclusively to identifying and investing in the best infrastructure assets in the listed equity market globally with the goal of delivering strong absolute returns over an investment cycle.

The RARE Infrastructure Income Fund (mFunds Code: RAI03) is an alternative approach to equity investing that seeks to deliver a high sustainable income with inflation protection.

The key benefits of the RARE Infrastructure Income Fund are:

  • The Fund targets consistent, stable income and long-term capital growth.
  • The Fund targets a yield of 5% p.a. (net of withholding taxes and fees, over a rolling five-year period) due to earnings derived from regulation or long-term contracts.
  • Within a portfolio, infrastructure offers investors the potential for lower volatility than traditional equities.

The RARE Emerging Markets Fund (mFunds Code: RAI04) invests in companies which derive the majority of their cash flow from infrastructure assets in emerging economies. This Fund aims to deliver the growth of emerging markets with the attractive risk/return outcome available from infrastructure companies.

The key benefits of the RARE Emerging Markets Fund are:

  • The Fund provides dedicated exposure to the long-term structural drivers in emerging economies.
  • The Fund is expected to generate dividends, interest, foreign tax credits and capital gains for investors.
  • Within a portfolio, infrastructure assets offer investors the potential for lower volatility, stable cash flow and inflation protection.

RARE’s investment approach is reflected in their name – Risk Adjusted Returns to Equity (RARE). Understanding and managing the relationship between risk and return as it applies to infrastructure assets is at the heart of RARE’s bottom-up investment process.

For further information, please view the Product Disclosure Statements or Fund Profiles available at the Fund information page.