The Bentham Syndicated Loan Fund is actively managed and focused on generating stable investment income. The Fund aims to provide investors with exposure to high-yielding investments primarily through the US syndicated loan market, with an active allocation to investments in different industries, issuers and geographies.
A syndicated loan is a senior loan that is made to a company, whose credit rating is generally below investment grade. Loans generally pay a floating rate of interest, have a maturity date and can be redeemed early. A loan is protected from the borrower’s failure to repay the interest or principal by taking security over assets. This security is generally in the form of a fixed and floating charge over the company’s assets. Security enhances recovery levels in the event of default (i.e. the secured debt holders get paid before all other debt and equity). In addition, loans generally have covenants which allow the lender to take action to protect their investment.
Fund Features
- Access to senior secured syndicated loans which are not generally available to direct retail investors
- Monthly income distributions
- High running yield with low interest rate risk
- Australian domiciled trust with more than 14 year’s track record
- Loans are valued to market prices daily – with daily unit pricing
- Access to a global investment universe.
Fund Profile
Fund name | Bentham Syndicated Loan Fund |
Investment manager | Bentham Asset Management |
Responsible entity | Fidante Partners Services Limited |
Suggested minimum investment timeframe | At least three years |
Benchmark | Credit Suisse Leverage Loan Index (hedged into Australian dollars) |
Currency | The Fund is denominated in Australian dollars. A New Zealand dollar denominated fund (Bentham Syndicated Loan Fund NZD) is also available from October 2013* |
Distribution frequency | Monthly |
Investment objective | The Fund aims to achieve investment returns above its benchmark over the suggested minimum investment timeframe |
Investment strategy | The Fund is actively managed and aims to provide exposure to high yielding investments primarily through the US syndicated loan market (non-investment grade securities) with limited exposure to US corporate debt securities that are rated below investment grade (high yield bonds) and collateralised debt obligations. The Fund seeks to add value through loan selection and industry rotation, while maintaining a highly diversified portfolio. |
ASX mFund | BAM04 |
Bentham Syndicated Loan Fund – Celebrating 20 Years in 2024
The Bentham Syndicated Loan Fund (“the Fund”) has marked its twentieth year of delivering regular income to investors. For further information click here.
