Magellan Infrastructure Beta Fund
The Magellan Infrastructure Beta Fund (the ‘Fund’) is a wholesale fund established for professional investors and institutions. The Fund uses a very different investment philosophy than the Magellan Infrastructure Fund.
Magellan views the infrastructure asset class as offering predictable, stable investment returns over the long-term. However, Magellan observes that the term “infrastructure” has been too widely interpreted by the investment community and that some assets that some investors have classified as infrastructure may not provide predictable, stable earnings through the economic cycle. The investment philosophy of the Fund is, therefore, to invest in only those listed securities that meet Magellan’s more restricted definition of the term “infrastructure”.
The Fund provides investors with a globally diversified exposure to a portfolio of ‘pure’ infrastructure securities that have passed Magellan’s screening processes. These screens cover a range of quality filters including the robustness of the company’s earnings, levels of gearing, political risk and free float. The objective is to have exposure to a portfolio of entities whose assets are primarily comprised of the following: toll roads, airports, ports, regulated energy utilities, regulated water utilities, communications infrastructure and social infrastructure. It includes approximately 100 securities.
If you would like further details on this Fund, please contact the Fund’s Portfolio Manager, Dennis Eagar, on +61 2 8114 1823 or dennis.eagar@magellangroup.com.au