IPM Global Macro FundA different approach to global macro investing

What the IPM Global Macro Fund aims to offer

Systematic global macro strategy

Seeks to generate alpha from insights into fundamental economic drivers

Diversified approach

Exposure to a portfolio of currencies, government bonds and equity market indices

Potential long-term absolute returns

Low correlation to equities, bonds and other alternative strategies

Fund facts
Investment objective

The Fund aims to generate long-term absolute returns by investing in exchange-traded government bond and equity index futures contracts, and over-the-counter foreign exchange forward contracts (OTC FX forwards) which provide exposure to developed market and emerging market currencies.

The Fund may also gain exposure to developed market and emerging market currencies by investing in currency futures.

The Fund holds both long and short positions in futures and OTC FX forwards. The Fund will also hold cash and cash equivalents.

Benchmark RBA Cash Rate
Portfolio managers Björn Österberg
Inception date 10 April 2017
Fund size $A421.8m (current as at 31 October 2018)
Management fee 1.68% pa of the net asset value of the Fund
Performance fee 20.5% of the cumulative outperformance of the Fund (after management fees and expenses but before the deduction of performance fees (paid or accrued)) above the return of the RBA Cash Rate, subject to a high watermark
Minimum investment $A20,000
Distribution frequency Generally semi-annually
APIR code MAQ8243AU
Macquarie Professional Series The IPM Global Macro Fund is proudly brought to you by Macquarie Professional Series. Learn more

Read the Product Disclosure Statement for more details on fees and expenses that may be charged.

IPM Global Macro 50 Fund
Investment objective

The IPM Global Macro 50 Fund seeks to invest half of its assets in the IPM Global Macro Fund (Underlying Fund) with the remainder in cash, cash equivalents or cash funds.

Management fee 0.84% pa of the net asset value of the Fund.
Performance fee While the Fund does not charge a performance fee, the performance fee at the Underlying Fund level is still applicable and incurred by investors in the Fund – 20.5% of the cumulative outperformance of the Underlying Fund (after management fees and expenses but before the deduction of performance fees (paid or accrued)) above the return of the RBA Cash Rate, subject to a high watermark.

Read the Product Disclosure Statement and Application Form for more details on fees and expenses that may be charged.

Latest Fund performance

Investment strategy

IPM employs a proprietary model-based approach to investing, combining economic theory with their belief that asset prices fluctuate around their true fundamental value.

Through robust modelling, IPM gains deep insights into how fundamental drivers interact with the dynamics of asset price returns, and capitalises opportunistically when the models identify discrepancies between the two.

Performance

Net returns as at 30 November 2018

 
Period 1m (%) 3m (%) 6m (%) 1y (%) 2y (%pa) 3y (%pa) 5y (%pa) Inception* (%pa)
IPM Global Macro Fund** -3.16 -1.25 -5.47 -3.15 -2.47
Benchmark*** 0.13 0.38 0.77 1.53 1.53

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Past performance is not a reliable indicator of future performance. Total returns are calculated based on changes in net asset values and assumes the reinvestment of distributions.

* Inception date is 10 April 2017

** Total net returns are quoted after the deduction of all fees and expenses. Due to individual investor circumstances, your net returns may differ from the net returns quoted above.

*** The benchmark is the RBA Cash Rate.

Managers

Björn Österberg
  • Portfolio Manager
  • Björn Österberg is responsible for the management and development of IPM’s investment activities. He is a member of the Investment and Risk Management committees. Björn joined IPM in 2008, with extensive experience in managing quantitative

  • Read full bio

Risks

All investments carry risk. Different investments carry different levels of risk, depending on the investment strategy and the underlying assets. Generally, the higher the potential return of an investment, the greater the risk. The risks of investing in this Fund include:

Strategy, model and research risk: The Investment Manager’s strategy is implemented through a proprietary quantitative model that has a heavy emphasis on research. However, research is based on what has occurred in the past. To the extent a market deviates from its accustomed response to an event or the event itself is unusual, extreme or never before experienced by the market, the value of a research based methodology will lessen. Mathematical models are representations of reality but they may be incomplete and/or flawed and there is an inherent risk that any forecasts derived from them may be inaccurate, particularly if the research or models are based on, or incorporate, inaccurate assumptions or data. Assumptions or data may be inaccurate from the outset or may become inaccurate as a result of many factors such as, changes in market structure or increased government intervention in markets. As a result, the Investment Manager’s investment process may not generate profitable trading signals and the Fund may incur a loss.

Investment risk: The risk of an investment in the Fund is significantly higher than an investment in a typical bank account or fixed income investment. While the Fund’s benchmark is the RBA Cash Rate, the Fund is not a cash fund and is not expected to behave like a cash investment. Amounts distributed to unitholders may fluctuate, as may the Fund’s unit price. The unit price may vary by material amounts, even over short periods of time, including during the period between a redemption request or application for units being made and the time the redemption unit price or application unit price is calculated. Changes in the prices of futures and OTC FX forwards positions held by the Fund may result in loss of principal or large movements in the unit price of the Fund within short or long periods of time, including during the period between a redemption request being made and the time the redemption unit price or application unit price is calculated. Different factors may affect the price of individual futures positions, particular asset classes (such as currencies) or futures positions generally at different times. Due to market risk and the potential short-term volatility of the Fund, investors should have a medium to long-term investment horizon.

Leverage risk: Leverage arises in the Fund through taking both long and short futures positions which are larger in size than the net asset value of the Fund. The Fund will take leveraged positions with the aim of increasing returns which can also lead to increased losses. While this process forms a key part of the investment strategy, it may mean that gains and losses in the Fund may be significantly greater than those in funds that are not leveraged.

More information on the risks of investing in the Fund is contained in the Product Disclosure Statement, which should be considered before deciding to invest in the Fund.

How to invest

Download the Product Disclosure Statement, and check for PDS updates

Send us the Application Form and any required identification documents

Resources

Insights

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