BlackRock Concentrated Australian Share 1

BlackRock Concentrated Australian Share 1

The BlackRock Concentrated Australian Share 1 Model Portfolio aims to achieve capital growth through investment in Australian shares and other securities and to provide investors with some tax-effective income through the receipt of franked dividends.

BlackRock aims to achieve this goal by actively managing a portfolio of shares. Stock weightings are determined by analysts’ conviction levels in absolute return adjusted for risk.

Designed for investors who...

• Seek capital growth;
• Accept the risk of significant price fluctuations; and
• Have a longer-term investment horizon

Investment Strategy

The investment objective of the Model Portfolio is currently pursued by investing in a concentrated portfolio of Australian shares.

BlackRock’s investment approach is based on a ‘bottom up’ approach to stock selection. BlackRock conducts detailed fundamental research of individual companies to determine their investment merits. BlackRock’s investment philosophy is grounded in the belief that the perceived earnings profile ultimately is the main driver of share price performance; so we maintain a focus on the future earnings profile and cash-flow generation capability, which in part relies upon the art of identifying growth opportunities and threats.

As a result the portfolio typically exhibits a bias to growth characteristics and stocks with a higher than average return on equity.

Only stocks with the highest levels of conviction to generate the greatest absolute returns for shareholders over the medium to long term will be included in the Model Portfolio. No reference is made to a stock’s weighting in the index in the Portfolio construction process. The Model Portfolio typically holds 15 to 25 stocks.

Performance to 31/12/2012

^Benchmark: S&P/ASX200 Accumulation Index

Fees

Fees applicable to this Model Portfolio are set out in further detail on page 23 of the Product Disclosure Statement. There are two components to the Model Portfolio Manager’s fee:

• Investment Fee - 0.40% p.a.
• Performance Fee - 15.00%

The Performance Fee is based on the Model’s out-performance above the performance reference index, the S&P/ASX 200 Accumulation Index. Further details and an example can be found on pages 24 and 25 of the Product Disclosure Statement.

* The Blackrock Administration fee is a tiered stucture which reduces based on the size of the portfolio. Please see page 23 of the Prodct Disclosure Statement for more information.

InvestSMART makes no recommendations as to the merits of any investment opportunity referred to on this website. Before making any investment decision on the basis of any reports or information provided you must read the disclosure document and make your own investigations regarding the accuracy, reliability and completeness of this information.

GOING DOWN FIGHTING

The Age 18/05/2013 | Four nights ago, when a nervous Wayne Swan rose to deliver the budget that was crafted to create a "stronger, smarter, fairer Australia", the public galleries were sparsely populated and unanimated, his colleagues were stoic, sullen and stern, and the mood almost funereal.

A smartphone that goes to your head

The Age 18/05/2013 | Over time I have learned that you can never really assume to know everything about a computer or smartphone or any other device until you have spent a good deal of time and effort using it in everyday circumstances. But the reality is that when you are invited to test drive a new unit, you only have a limited time to give it the thumbs up or down, and such a trial is never going replicate a "normal" experience.

Through the looking glass: the future is here and you're wearing it

The Age 18/05/2013 | This week saw the largest known congregation of Google Glass users, those early adopters and chic geeks who have signed up to be the lab rats in a crowd-sourced experiment that will determine the shape and direction of the next big era of personal computing: wearable technology.

Pumped: boys who can't wait to be men

The Age 18/05/2013 | Schoolboys wanting a hit of the latest bulk-building product or pill need not travel far. At Sydney's The Scots College, protein powders are supplied by teachers to adolescent athletes in the school gym. A sponsor of the school's rugby sevens tournament is Ultimate Sports Nutrition, whose products include "hardcore" anabolics, meal replacements and creatine "to deliver explosive gains in muscle size and strength".

Kiwis sharpen claws in anti-cat campaign

The Age 18/05/2013 | In an island nation said to harbour more cat owners per capita than any other country, a furore has broken out over a crusade to eradicate man's second-best friend. The charge is being led by Gareth Morgan, a nationally renowned economist-turned-environmental activist who has dubbed cats "natural born killers" that are menacing New Zealand's native bird population and bringing some to the verge of extinction.

Afghans captive to murky ADF protocols

The Age 18/05/2013 | Australia's elite special forces have ranged far and wide across southern Afghanistan, often carrying out what are called "kill-capture" missions against Taliban targets. If the targets are killed, that's usually an end to it.

More...