5Di rolls out own funds
Specialistinvestment research group 5Di will expand its operations and move into supplying its own manage the manager (MTM) style investment funds in the next two weeks, which it claims will differ widely from current MTM offerings.
The group will offer four MTM investment options covering international and Australian equities, a high growth option with a 70/30 split of the two equity classes respectively, and an income option made up of cash, fixed interest, mortgage securities and listed property.
The step comes only a few months after the group began operations and will rely on the research process used by 5Di to calculate asset allocation for investors.
5Di chief executive Lynne Curtis says this process allocates assets on a growth or income basis dependent on investor time frames and needs.
“Once we calculate the allocation to growth assets, the two product solutions can be used by investing that amount in the high growth option and the balance in the income option,” Curtis says.
“The traditional approach to investing in diversified funds can then be achieved by combining the investment options in different sized combinations.”
However, the funds can also be combined to make use of the international and Australian equities options, either on their own or in combination with the income option.
The funds will be available through retail channels, as well as administration platforms, and offer trails to advisers, but will also be offered on a wholesale basis to superannuation funds.
In keeping with the specialist nature of the group, Curtis says each investment option will only have a limited number of best of breed fund managers holding the investments. In the case of international equities, this is currently set to three while Australian equities is covered by four managers.
AUTHOR
Jason Spits
Recommended for you
The Australian Wealth Advisors Group has completed two strategic investments, doubling its number of authorised representatives and increasing its FUMA by more than $1 million.
A strong demand for core fixed income solutions has seen the Betashares Australian Composite Bond ETF surpass $1 billion in funds under management, driven by both advisers and investors.
As the end of the year approaches, two listed advice licensees have seen significant year-on-year improvement in their share price with only one firm reporting a loss since the start of 2025.
Having departed Magellan after more than 18 years, its former head of investment Gerald Stack has been appointed as chief executive of MFF Group.
