A portfolio of some of Australia’s best Small Company Fund Managers
Investment Objective & Strategy
The Affluence Small Company Fund aims to provide Eligible Investors with access to a portfolio of Underlying Managers who primarily invest in ASX Small Companies through unlisted managed funds. We define ASX Small Companies as all ASX listed equity securities outside the S&P/ASX 100 Index. The portfolio also includes an allocation to ASX listed investment companies and may have some exposure to other ASX listed securities and global companies. The Underlying Managers use a range of different investment styles and investment strategies.
The Fund aims to provide:
- Access to a diversified portfolio of predominantly ASX Small Companies.
- A total annualised return in excess of the ASX Small Ordinaries Index over rolling 5 year periods.
- A minimum distribution yield of 5% per annum, paid quarterly.
- Volatility of returns which is less than the ASX Small Ordinaries Index.
In this way, we seek to grow the capital value of your investment over time while also providing a regular income stream.
Prices of smaller companies can be more volatile than larger more liquid companies, particularly in market corrections. But there is also evidence that small company fund managers are more likely to outperform larger company fund managers over time. We believe this provides one of the best available opportunities for higher than average long-term returns.
The Affluence Small Company Fund’s Key Features
Diverse Small Company Portfolio
The Fund invests with a range of Small Company managers who use different investment styles and investment strategies.
Best opportunity to add value
Over time, small company fund managers have been able to consistently deliver better returns than larger company managers.
Monthly Applications and Withdrawals
Applications and withdrawals are processed monthly.
Minimum Initial Investment
Eligible Investors can invest as little as $20,000. Start with a smaller amount and grow your investment over time.
Minimum Additional Investment
You can add to your investment from as little as $1,000.
Distribution Reinvestment
Distributions can be reinvested to compound the returns on your investment.
We Get Paid To Perform
Affluence charge no fixed fee, simply a performance fee equivalent to 12.5% of positive total returns delivered.
Regular Fund Reporting
Reports detailing the Fund’s performance, strategy and portfolio are provided monthly.
Fund Performance - Affluence Small Company Fund
| J | F | M | A | M | J | J | A | S | O | N | D | Year | |
| 2016 | N / A | N / A | N / A | N / A | 1.2% | -1.2% | 4.5% | 2.3% | 1.8% | -0.5% | -1.5% | 2.1% | 8.9% |
| 2017 | 1.0% | -0.4% | 0.5% | -2.0% | -0.3% | 1.5% | 1.9% | 0.2% | 1.5% | 2.7% | 2.5% | 3.2% | 12.9% |
| 2018 | -0.8% | -1.6% | -2.0% | -0.1% | 1.1% | -0.5% | -0.2% | 1.2% | 0.3% | -5.3% | -2.3% | -3.9% | -13.5% |
| 2019 | 1.3% | 2.4% | -0.2% | 1.0% | -0.9% | -0.8% | 4.3% | -0.4% | 2.9% | 0.5% | 0.8% | 1.6% | 12.9% |
| 2020 | 0.4% | -3.5% | -16.2% | 9.0% | 6.5% | 0.7% | 5.0% | 7.1% | -0.2% | 2.4% | 9.6% | 2.6% | 22.9% |
| 2021 | -0.1% |
| Strongest Return | Positive Return | Stable Return | Negative Return | Weakest Return |
Performance is net of fees and costs. Past performance is not an indicator of future performance. Affluence makes no representation nor provides any guarantee as to the future success of the Fund.
Affluence Small Company Fund Comparison
Fund Performance - Affluence Small Company Fund
| To 31 January 2021 | 1 month | 1 Year | 2 Years | 3 Years | Inception | Volatility |
| Affluence Small Company Fund | (0.1%) | 22.2% | 17.0% | 6.5% | 8.5% | 12.4% |
| ASX Small Ordinaries Index | (0.3%) | 5.4% | 11.9% | 6.7% | 10.0% | 18.2% |
| Performance against ASX Small Ords Index | 0.2% | 16.8% | 5.1% | (0.2%) | (1.5%) | N/A |
To view the unit price and distribution history of the fund, click here.
Risk Disclosure
As with all investments, the Fund is subject to risks. If these risks eventuate, they may result in a reduction in the value of your investment in the Fund and/or a reduction or cessation of distributions. Distributions are not guaranteed, nor is the return of your capital. Past performance is not indicative of future performance.
It is important that you know that the value of your investment will go up and down over time, the Fund’s returns will vary over time, future returns may differ from past returns, and returns are not guaranteed. All of this means that there is always the chance that you could lose money on your investment.
As set out in the Information Memorandum for the Fund, returns of the Fund will be impacted by market cycles, particularly movements in the prices of ASX Small Companies. Other key risks include volatility and asset class concentration risk, economic and market risk, legal and regulatory risk, manager and key person risk and liquidity risk. AFM aims, where possible, to actively manage risks. However, some risks are outside our control.
Fund Documents
Fund Portfolio
Take a look at the largest holdings in the Fund, including portfolio weightings and commentary. Affluence Members Only.
VIEW PORTFOLIOLatest Fund Report
Download the latest report, including commentary & information on the Affluence Small Company Fund performance.
VIEW REPORTTo view past reports, click here.
Affluence Presentation
Download the latest presentation to learn about Affluence, how we invest, Fund Portfolios and performance.
PRESENTATIONInvestor Forms
Application documents for our Funds and forms for additional investments, change of details and withdrawals.
INVESTOR FORMSAffluence Small Company Fund News & Updates
Keep up to date with the changes to the Fund’s portfolio, fundamentals and performance.
2020 Financial Year Information
Below is the 2020 financial year distribution and tax information for each of our funds. …
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Fund Manager Profile February 2020
This fund from Phoenix Portfolios invests in Australian microcaps with a value bias and has produced significant returns with low volatility. They have a portfolio which is likely to be different to other managers.
How To Invest In The Affluence Small Company Fund
Step 1: The Information Memorandum
Before making any decision to invest, you should read and understand the Fund’s Information Memorandum (IM) and you should ensure the Fund is appropriate for your personal circumstances and financial objectives. You may wish to consult with your financial or other adviser in making this assessment.
Offers to invest in the Fund are only be available to persons who qualify as Eligible Investors. Affluence will not issue units in the Fund to a person unless it is satisfied the person is an Eligible Investor. If you do not qualify as an Eligible Investor, you can access many other great managers across a range of asset classes and investment strategies, through the Affluence Investment Fund.
You can access the IM by clicking the button below.
Step 2: Make an application
Applications are accepted monthly. The cut-off for applications is the 25th of each month, or the last business day before that date if the 25th is not a business day. Completed applications received by this date are processed as at the 1st of the next month.
To invest in the fund, you must complete an application form. If you have not invested with Affluence previously, you will also need to complete identification forms and provide acceptable proof of identity documents. All investors must also complete an Eligible Investor form if they have not already done so in the past two years.
Investors can complete the relevant application form attached to the Information Memorandum or apply securely online through our registry provider Boardroom. Applying online can be significantly easier and faster than paper-based applications and provides the option to verify or upload your identification online, reducing the need to provide certified copies of documents.
You can access the IM, invest online or download paper application forms by clicking the button below.
INVEST NOWStep 3: Provide documents and make payment
Send completed application forms (including any required identification documents) to the Fund registrar for processing and make payment of the application amount. Payments can be made via cheque or electronic transfer.
You will receive an acknowledgement as soon as possible after the Fund registrar receives your application documents and funds.
You will receive your investment confirmation once the application has been processed. This normally occurs approximately 10 days after the end of the month in which your application is accepted.
INVEST NOWFrequently Asked Questions
No. Initially, investment in the Fund will be restricted to Eligible Investors. We hope to make the Fund available to all investors in the future. If you are not currently eligible, you can still sign up here to become an Affluence Member. You will receive articles and our best investment ideas. In addition, Affluence Members receive priority notification and an exclusive investment offer should the Affluence Small Company Fund become available to you in the future.
The minimum initial investment amount is $20,000. Existing investors can add additional amounts later from as little as $1,000. Application funds awaiting processing are held in a trust account.
The Fund aims to provide you with a minimum distribution yield of 5% per annum, paid quarterly. Generally, distributions will consist of a share of the income and franking credits the Fund receives during the year from its investments, plus any taxable capital gains from sales of investments, less costs (including our performance fees). Distributions are generally paid 10 days after the end of each quarter to your nominated bank account. Distributions can be reinvested if you wish.
You can lodge a withdrawal request form at any time. Withdrawals are generally processed monthly, although we reserve the right to process these less frequently in exceptional circumstances.
Investors in the Fund will receive a monthly report outlining the Fund’s portfolio and performance, quarterly distribution advices, an annual statement showing investment transactions and the value of your investment and an annual tax statement with details of the amounts to be included in your tax return.
Affluence charges a performance fee to the Fund equivalent to 12.5% of the Fund’s positive returns. Affluence also recovers certain costs from the Fund. These cost recoveries are generally capped at 0.25% per annum. Underlying Managers also charge fees and recover costs on investments made by the Fund. These fees are not paid by you directly, but rather out of the assets of the Fund. Fund performance numbers are after all fees and costs. You may also pay fees to a financial advisor or investment platform operator if you invest through them, but these fees are not paid to Affluence.
