InvestSMART Portfolios Quarterly Update - September 2020

InvestSMART Capped Fee Portfolio quarterly updates for September.

By Evan Lucas · 14 Oct 2020

By Evan Lucas ·
14 Oct 2020

Here are the highlights from each of the portfolios. Further information and commentary can be found in the full reports linked.

Contents

InvestSMART Conservative Portfolio

Quarterly Performance

The InvestSMART Conservative Portfolio rose slightly in the September quarter, up 1.28% (after fees).
No changes were made to the portfolio during the quarter.
Estimated yield on the portfolio is currently 2.2%.
The Conservative Portfolio outperformed peers in the third quarter of 2020 by 0.32%.

InvestSMART Growth Portfolio

Quarterly Performance

The InvestSMART Growth Portfolio rose slightly in the September quarter, up 1.85% (after fees).
No changes were made to the portfolio during the quarter.
Estimated yield on the portfolio is currently 2.6%.
The Growth Portfolio outperformed peers in the third quarter of 2020 by 0.35%.

InvestSMART High Growth Portfolio

Quarterly Performance

The InvestSMART High Growth Portfolio rose slightly in the September quarter, up 2.19% (after fees).
No changes were made to the portfolio during the quarter.
Estimated yield on the portfolio is currently 2.7%.
The High Growth Portfolio outperformed peers in the third quarter of 2020 by 0.45%.

InvestSMART Balanced Portfolio

Quarterly Performance

The InvestSMART Balanced Portfolio rose slightly in the September quarter, up 1.48% (after fees).
No changes were made to the portfolio during the quarter.
Estimated yield on the portfolio is currently 2.42%.
The Balanced Portfolio outperformed peers in the third quarter of 2020 by 0.21%.

InvestSMART Interest Income Portfolio

Quarterly Performance

The InvestSMART Interest Income Portfolio gained 0.84% in the September quarter (after fees).
Estimated yield on the portfolio is currently 2.8%.
No changes were made to the portfolio during the quarter.

InvestSMART International Equities Portfolio

Quarterly Performance

The InvestSMART International Equities Portfolio performed solidly in the third quarter of 2020, up 3.83% (after fees).
No changes were made to the portfolio during the quarter.
Estimated yield on the portfolio is currently 2.2%.
The International Portfolio outperformed peers by 0.63% in the quarter.

InvestSMART Diversified Property & Infrastructure Portfolio

Quarterly Performance

The InvestSMART Diversified Property & Infrastructure Portfolio added 0.71% in the September quarter (after fees).
No changes were made to the portfolio during the quarter.
Estimated yield on the portfolio is currently 3.1%.
All facets of the portfolio declined in the quarter as COVID-19 restrictions shattered the normal operations of the property and infrastructure sector.

InvestSMART Hybrid Income Portfolio - Commentary by Portfolio Manager Alastair Davidson

The InvestSMART Hybrid Income Portfolio total portfolio return was 0.94% for the month including franking credits. The estimated running yield is approximately 5.0%, and estimated yield to call/maturity is 4.75% including franking credits.
The total portfolio return was 2.10% and 0.82% for the quarter and 12-month periods respectively. Since inception the total portfolio return is 3.99% including franking credits, which is 0.21% under its return objective of the RBA Cash rate plus 3%.
There were no transactions in the portfolio during the month., and no new hybrid issues
The RBA maintained the cash rate at 0.25% at its October meeting, with the prices of cash futures predicting it to remain in a narrow range until the end of 2021.
Eight securities in the portfolio paid a distribution in September.
At 30 September the portfolio had a 3.63% allocation to cash.