Plato Income

22 Mar 2017

Gamma Advisory

Plato Income Maximiser is undertaking an initial public offer for ordinary shares, each with an attaching free option.  Plato is a well-regarded fund manager with approximately $3.5bn in funds under management.

What is the Plato Income Maximiser’s strategy?

Plato Income Maximiser aims to provide investors with the opportunity to benefit from an actively managed, well-diversified, Australian listed equities portfolio.  It aims to generate both a fully franked income and a total return in excess of the S&P/ASX200 Franking Credit Adjusted Daily Total Return Index.  Plato will adopt the same investment strategy that it has used for its managed fund, since its inception on the 9th September, 2011, focussing on large to mid-cap companies that pay consistent dividends.  The Fund has delivered an accumulated return of 14% p.a. from inception to 31st December, 2016, net of fees and inclusive of franking credits compared against the benchmark which delivered a 12.3% return p.a. over this period.

Key features of this investment:

  • Capital Raising – between $75m and $220 million (option to take another $110m over this maximum amount).
  • Expected ASX Code: PL8
  • Issue price $1.10
  • Free attaching option which expires on 29th April, 2019 at a strike price of $1.10
  • The Plato Income Fund has delivered 14% p.a. return since its inception in 2011
  • The Plato Income Fund has delivered gross income of 9.1% p.a. over the last 5 years (inclusive of franking credits)
  • The company is expected to pay monthly dividends
  • Independent Ratings Agency, LONSEC, has given this investment a ‘highly recommended’ rating and regards the lead portfolio manager, Dr Don Hamson as a seasoned investor with a well-established track record
  • Listing Date – 5th May, 2017

This investment may be appropriative for those clients seeking income, with some growth and it may be appropriate for a diversified portfolio.  Please call me on 07 5665 3633 to discuss the suitability of this investment.

We require expressions of interest by Friday 31st March, 2017.

Please follow the links below to download the Plato disclosure documents and watch their video content:

Plato Disclosure Documents

 

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