PERPETUAL PROTECTED INVESTMENTS – SERIES 4

PERPETUAL PROTECTED INVESTMENTS – SERIES 4

PERPETUAL PROTECTED INVESTMENTS – SERIES 4

Fee Rebate 1% (50%)
Min Investment $50,000
Expected Close 18/06/2010
Perpetual Protected Investments – Series 4 is a capital protected investment with up to 100% gearing enabling investors to gear a portfolio with no capital outlay, in-built safety features and no margin calls.

Key features and benefits
Choose from a range of 15 managed funds
Investors are able to choose from a range of funds and managers covering Australian and global equities, Chinese and Asian equities, global resources and global infrastructureBorrow 100% of the investment amount plus the annual interest with no margin calls
Non-superannuation investors can borrow up to 100% Investment Loan with fixed and variable interest rate options, plus an optional Annual Interest Loan to borrow and prepay the interest on their 100% Investment Loan in June each year (fixed rate investment loans only). – Not available for SMSFsBorrow up to 55% for Self Managed Super plus the annual interest with no margin calls
Superannuation investors can borrow up 55% of their investment with a fixed interest rate, plus an optional Annual Interest Loan to borrow and prepay the interest on their Super Investment Loan in June each year.Safeguard capital
This product provides you with access to a dynamic management strategy that aims to ensure that the value of your portfolio will at least equal your investment amount at the protection end date (30 April 2016). You must remain invested till this date to receive the benefit of capital protection.No margin calls
You don’t pay any margin calls along the way.

Diversification
You can build a growth-oriented portfolio by choosing from a range of 11 investment strategies.

Manage cash flow
All fees are deducted out of the product so you do not have to pay these fees from other sources.

If you borrow to invest using a 100% Investment Loan you can lock in fixed interest payments, allowing you to better plan your cash flows each year.

Tax-effective structure
With Perpetual Protected Investments – Series 4 you have absolute entitlement to the units in the funds you select. This means any capital gains and/or losses arising during the protection period in relation to those fund units are directly attributed to you.

If you borrow to invest, you will have the potential to claim a tax deduction for fees and interest on the loan as well as the fees for the product.

Increase in the protected amount available over the term of investment
During the protection period, some of the unrealised gains within your portfolio may be ‘locked in’, increasing your protected amount. You may also be able to borrow a further amount against this increase (for investment purposes only).

Flexibility at the protection end date
At the end of the protection period (subject to repaying any outstanding loan amounts) you can:

  • continue holding the fund units (with no capital protection),
  • redeem them for cash, or
  • potentially roll them over into another series of Perpetual Protected Investments (if one is available).
Borrowing to invest
Minimum amounts
For the 100% Investment Loan, the minimum amount you can borrow is $50,000. For the Super Investment Loan, you must make a contribution from your super fund. The minimum contribution is $25,000 with a maximum borrowing of 55%.Interest rate options
For the 100% Investment Loan, you can choose from one of the following three interest rate options:
1. Variable
2. Fixed annually
3. Fixed for the termFor the Super Investment Loan, the interest rate will be fixed for the term of the investment. An annual loan to cover the annual interest payavle is also available in June each year.

What do we get paid

Wealth Focus will rebate 100% of the 2.2% entry fee on investments in the Perpetual Protected Investment Product as additional units. Wealth Focus also receives a 1.1% commission on the investment loan and may also receive a trailing commission of up to 0.65% pa of the value of the investment loan. This trailing commission is paid by the fund manager and is NOT an additional charge to the investor.

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