Share Fund Opens to Philanthropic Investors
9 July 2015 at 12:07 pm
Access to global markets is often viewed as opaque and too difficult for Australian shareholders to tackle on their own. The opportunities are endless, but how do you know when to make the best investment decisions?
An Australian listed investment company (LIC) that invests in global markets is an excellent investment opportunity. What’s even better is an LIC that is also geared philanthropically – to create wealth and financially support Australian Not for Profits change the lives of young Australians.
Future Generation Global Company (FGG) is Australia’s first internationally focused listed investment company with the dual objectives of providing shareholders with diversified exposure to selected global fund managers and changing the lives of young Australians affected by mental illness.
FGG is now open to investors and will be listed on the Australian Securities Exchange in September 2015. See the prospectus here.
FGG is seeking to raise up to $550 million for the fund, the largest float for an Australian LIC. If reached, the company would be on track to make an annual donation of approximately $5.5 million to Australian Not for Profits focused on youth mental health. This is a perpetual gift from fund managers and shareholders to young Australians suffering through mental illness.
FGG is determined to transform youth mental health by driving philanthropic investment in three core areas: helping the community understand the issue; investing in the most effective programs and services; and enabling investment in research and development.
Being a shareholder in the Company changes the lives of young Australians who are affected by mental illness. Shareholders are directly responsible for capital being directed to change lives and create impact.
Nearly half (45 per cent) of all Australians will experience a mental health problem over the course of their lives, and one in five will do so in any given year.
FGG’s structure promotes giving as well as wealth creation, and the Company hopes this initiative will inspire the next generation of Australian private and corporate philanthropy.
FGG gives investors the opportunity to gain unprecedented access to Australia’s most prominent global fund managers – a number of whom are closed or not accessible to retail investors – through a single ASX-listed investment vehicle.
The Company charges 0.0 per cent management fees and 0.0 per cent performance fees. Fund managers are managing the capital entirely pro-bono so that 1.0 per cent of net assets each year can be donated to Australian Not for Profits committed to young Australians affected by mental health issues. This is based on the successful model launched last year, Future Generation Investment Company (FGX).
FGG’s investment objective is to provide shareholders with long-term capital growth. By investing in companies globally, the aim is to maximise total return with a combination of capital growth and income, thus allowing fully franked dividends to be distributed to shareholders provided the company has sufficient profit reserves and franking credits available and it is within prudent business practices.
FGG is now commencing nationwide presentations and it invites readers to hear about its global fund managers and their investment strategies, as well as the Australian Not for Profits that have been selected as potential beneficiaries.
To find out how you can be part of this groundbreaking wealth creation vehicle that will also deliver a social impact for young Australians affected by mental illness click here.
The Fund Managers involved with FGG are:
- Magellan Asset Management Limited
- Cooper Investors Pty Limited
- IronBridge Capital Management L.P.
- Paradice Investment Management Pty Ltd
- Nikko Asset Management
- Eastspring Investments (Singapore) Limited
- Insync Funds Management Pty Ltd
- Hunter Hall Investment Management Limited
- Ellerston Capital Limited
- Antipodes Partners Limited
- VGI Partners Pty Ltd
- Manikay Partners, LLC
- Avenir Capital Pty Ltd
- Morphic Asset Management Proprietary Limited
- Optimal Fund Management Pty Ltd
- Neuberger Berman Australia Pty Limited
- Tribeca Investment Partners Pty Ltd.
The designated charities are:
- Black Dog Institute
- Brain & Mind Research Institute
- Butterfly Foundation
- MadCap Social Enterprise
- Orygen, The National Centre of Excellence in Youth Mental Health
- ReachOut Australia
- SANE Australia.