Antares Capital

Antares Diversified Fixed Income Fund

Fund description:  The Fund may suit investors looking to diversify a portfolio that is already weighted to growth-focussed assets, such as shares and property. The Fund predominantly invests in a combination of:

• highly-rated longer-maturity bonds, including bonds issued by governments, to provide diversification of returns from growth assets, and
• shorter-maturity corporate bonds that Antares believes will enhance the Fund's returns while managing risk.

Antares actively manages each of these allocations based on economic and market conditions.

Investment approach: Antares actively manages the Fund using a macro research process to develop a view of the global economy and its likely impact on the Australian economic outlook.

This top-down process is combined with Antares' expert analysis of the interest rate yield curve and bottom-up credit research. Combining top-down and bottom-up research gives Antares a deep understanding of how different types of fixed income securities are likely to perform, and the extent of their risks in possible future economic scenarios.

Antares uses this analysis to prudently manage risk and identify the most attractive securities that it believes will best achieve the Fund’s objective. Antares builds a core allocation to highly-rated longer-maturity bonds and shorter-maturity corporate bonds. Exposures to return enhancing strategies are adjusted as the market outlook or conditions change.

Antares actively manages the Fund’s average maturity to be above or below the benchmark. The benchmark’s average maturity is approximately 5 years at the date of the PDS and is usually in the range of 3 to 7 years.