Mark Mitchell
The income challenge is one of the biggest issues facing Australian retirees. With our official cash rate looking like remaining at 1.5% for quite some time, the numbers become staggering; A retiree with a $1 million portfolio investing at the cash rate will produce only $15,000 p.a.
Whilst the temptation is to go up the risk curve to obtain higher yields, investors still need a high quality base portfolio.
New investment boutique, Daintree Capital lead by two industry heavyweights, Mark Mitchell, ex Portfolio Manager and Head of Credit at Kapstream and Justin Tyler, former Senior Investment Manager at Aberdeen together with a hand-picked investment team have today launched the Daintree Core Income Trust.
“This diversified, absolute return focussed portfolio, takes the best ideas from our collective experience. Its aim is to provide a monthly income stream with a return of around 2% higher than the cash rate and with greater liquidity than term deposits”, commented Mark Mitchell.
“An income exposure should be liquid, giving investors the opportunity to quickly gain access to their funds should personal circumstances change. Daintree’s Core Income Trust provides daily liquidity” added Justin Tyler.
To ensure they can focus on investing, Daintree have contracted with Perennial which provides Responsible Entity, back-office, marketing and distribution services to Daintree Capital.
Daintree Capital’s core investment philosophy is based on a robust credit culture, a pragmatic investment process and a focus on the absolute return at the portfolio including the preservation of capital.
“We believe that our clients should achieve good results from the Core Income Trust in most market environments. We build our portfolios with this as the cornerstone of our investment philosophy,” said Mark Mitchell.
“At the heart of our investment process is a strong risk management framework. We believe that this approach ensures a consistency of performance over time and strong risk-adjusted returns” he said.
