Register  
Challenger to launch new fixed income fund
Tuesday, 27 March 2012 11:50am

Investment management firm Challenger is within weeks of launching a new fixed income fund for advisers.

In an exclusive with Financial Standard, Rommel Hacopian, general manager, platforms and national key accounts said the new fund will be available in mid-April after the final stages of testing are completed.

"Advisers have been looking for ways to easily and reliably meet the minimum drawdown requirements of account-based pensions, so they can spend more time finding growth opportunities for their clients, who could be in retirement for up to 30 years," Hacopian told Financial Standard.

The fund will provide investors with fixed monthly distribution payments locked in at the onset of the policy until the fund's maturity date.

Challenger said the fund will offer competitive interest rates that are locked in at the start of investing and will not be linked to the market future distributions, therefore are not impacted by market movements.

"This will provide investors peace of mind that they will be receiving regular, fixed payments regardless of market performance," said Challenger.

After the fifth consecutive year the Government has had to step in to reduce the minimum drawdown pension due to negative markets movements and to prevent investors from being forced to sell depreciating assets to fund cash flow needs, Challenger said a guaranteed monthly distribution fund can help lock in cash flow required to meet living expenses while preserving other capital.

Currently a panel of financial advisers are testing the fund prior to its launch.

Blogs
Follow the industry experts.
Christopher Page
Christopher Page
Managing Director

Medcraft's appalling speech
I am surprised. More than that, I am astonished, shocked. Last week I was left speechless by the address that the Australian Securities ...read more
 
Benjamin Ong
Benjamin Ong
Chief Economist

Reflation, rotation and the taper
'Tis being my final type (drivel, to some gentle readers) for the year, we'll take a look back at the 2013 that was to seek the lessons ... read more
 
Alex Dunnin
Alex Dunnin
Director of Research & Editorial Services

Women-led companies better for investors
The Australian government end last year released its first Gender Equality Scorecard and while the results are discouraging, a separate ... read more
News Search   
VideoBrought to you by
The major economies in 2015
Is the European economy dead in the water? Is faith on Abenomics waning? Why should investors be more optimistic about the US economy this year? Chris Probyn, the Boston-based chief economist of State ... Watch video
Great unwindings
Bob believes plunging oil prices may extend the stockmarket rally by a year or two and discusses why investors could expect a volatile few months. Overall, he believes we are entering an era of low returns ... Watch video
Market Thinking - A different way of looking at economies?
First, a confession. Mark may have started his career as an economist but he joins this year's panel not as a chief economist but as the head AXA Framlington Asia. This is to the benefit of the audience ... Watch video
The global and Australian economic outlook
The anchor man of the panel, Saul provides great insights on the domestic economy. And bravely makes the forecast that the Reserve Bank will not cut interest rates this year and that the next move is up ... Watch video
The two-speed economy in reverse
James provides a local perspective and explains to the audience why the mining investment boom is an aberration and it is now a 'return to the old normal'. To view James Bond's slides please click ... Watch video
Get it
Daily
FREE to your inbox, get the Financial Standard Daily Email.
Get the Free
iPad app
Download the Financial Standard iPad app for FREE
Industry
Events
MAR
02
MAR
10
Adviser Big Day Out Investment Manager Roadshow-Perth
11
Adviser Big Day Out Investment Manager Roadshow-Adelaide
12
Adviser Big Day Out Investment Manager Roadshow-Melbourne
18
Adviser Big Day Out Investment Manager Roadshow-Brisbane
19
Adviser Big Day Out Investment Manager Roadshow-Sydney
News
Bites

$245 (inc GST) for 1 year
 
 
Copyright © 1992-2015 Rainmaker Group
All material on this site is subject to copyright. All rights reserved. No part of this material may be reproduced, translated, transmitted, framed or stored in a retrieval system for public or private use without the written permission of the publisher.
Link to something bF7g2k6N