Australian Equities Strong Bear Hedge Fund
- Australian shares
Opportunity to profit from, or protect against a declining Australian sharemarket
Overview
Fund objective
BBOZ seeks to generate magnified returns that are negatively correlated to the returns of the Australian sharemarket. The Fund expects to generate a magnified positive return when the S&P/ASX 200 Accumulation Index falls on a given day (and a magnified negative return when the index rises on a given day).
Fund strategies
A 1% fall in the Australian sharemarket on a given day can generally be expected to deliver a 2% to 2.75% increase in the value of the Fund (and a corresponding decrease in the value of the Fund if the Australian sharemarket rises).
The Fund’s portfolio exposure is actively monitored and adjusted to stay within a -2x to -2.75x range on any given day. The Fund’s returns will not necessarily be in the range -2x to -2.75x over periods longer than a day, due to the effects of rebalancing to maintain the Fund’s daily target short exposure range and compounding of investment returns over time. The Fund’s returns over periods longer than one day may differ in amount and possibly direction from the daily target return range. This effect on returns over time can be expected to be more pronounced the more volatile the Australian sharemarket and the longer an investor’s holding period.
Investors should actively monitor their investment as frequently as daily to ensure it continues to meet their investment objectives.
The Fund uses futures to obtain its exposure rather than the underlying shares. As the futures market closes at a later time to the share market, at times the Fund’s performance for a given day may differ from that indicated by the share market.
Gearing magnifies gains and losses and may not be a suitable strategy for all investors. An investment in the Fund is very high risk in nature.
Benefits of BBOZ
-
Hedge your portfolio
Seek to protect your portfolio from market declines, without having to sell your shares and crystallise capital gains.
-
Leveraged returns in declining markets
BBOZ gives you the opportunity to make magnified gains when the Australian sharemarket falls on a given day (but you can expect magnified losses when the Australian sharemarket rises).
-
Convenience
Investing in BBOZ avoids the costs and complications of futures, CFDs and short selling. Investors are not exposed to margin calls.
How to invest
- You can buy or sell units just like you’d buy or sell any share on the ASX.
- Fund requires no minimum investment.
Key facts
Pricing information
| Current price | |
|---|---|
| Last trade* | |
| % Change (prev day) | |
| Bid (delayed) | |
| Offer (delayed) | |
| iNAV (live)** | |
* Data is delayed by at least 20 minutes.
** As at 20 April 2022 04:29:59 PM
| NAV | |
|---|---|
| NAV/Unit* | $3.50 |
* As at 7 December 2023
Profile
| Net assets* ($A) | $352,841,251 |
|---|---|
| Units outstanding* (#) | 100,711,305 |
| Management fee and cost** (p.a.) | 1.38% |
| Distribution frequency | Annual |
| Distribution reinvestment plan (DRP) | Available |
| Issuer | Betashares Capital Ltd |
| Registry | Link Market Services |
* As at 7 December 2023
**Certain additional costs apply. Please refer to PDS.Trading information
| ASX code | BBOZ |
|---|---|
| Bloomberg code | BBOZ AU |
| IRESS code | BBOZ.AXW |
| Trading hours | 10.00-16.00 (AEST) |
| iNAV IRESS code | BBOZINAV.ETF |
Index information
| Index | N/A |
|---|---|
| Index provider | N/A |
| Index ticker | N/A |
| Bloomberg index ticker | N/A |
Portfolio composition
| Name | % |
|---|---|
| 1 Cash & Cash Equivalents* | 100 |
*The Fund's Portfolio may comprise cash, cash equivalents and a short futures position in ASX SPI 200 futures. For full details see our resources section.
Short exposure
| Range* (%) | -200% to -275% |
|---|---|
| Current portfolio exposure** (%) | -253.9% |
*Calculated as the Fund's short exposure to the S&P/ASX 200 Acc Index as a percentage of the Fund's net asset value. **Represents the Fund's approximate exposure, for the above date, to movements in the S&P/ASX 200 Acc Index, as measured by the futures contract held in the Fund. For example, if the Fund's Portfolio Exposure is -230% (or -2.30x) and the S&P/ASX 200 Index goes down 1% that day, the Fund would be expected to go up approximately 2.30% that day, before fees and expenses. The Fund is actively managed and the portfolio exposure will change on a daily basis, affecting returns over time."
Performance
Fund returns after fees (%)
| - | Fund | Index |
|---|---|---|
| 1 month | Fund | S&P/ASX 200 Accum. Index |
| 3 months | 8.40% | -3.21% |
| 6 months | -20.03% | 9.40% |
| 1 year | -21.99% | 9.82% |
| 3 year p.a. | -7.77% | -1.08% |
| 5 year p.a. | -26.51% | 5.55% |
| 10 year p.a. | -23.68% | 7.11% |
| Since inception (p.a.) | -20.61% | 6.64% |
| Inception date | 17-Apr-15 | - |
* As at 30 December 2022
Chart
Past performance is not indicative of future performance. Please refer to "Fund returns after fees" for additional information regarding performance/return information.
Distributions
Yield information
| Distribution frequency | Annual |
|---|---|
| 12 mth distribution yield* | - |
*As at 1 January 1970. Yield figures are calculated by summing the prior 12 month net and gross fund per unit distributions divided by the fund closing NAV per unit. Past performance is not an indicator of future performance.
Recent distributions
| Ex Date | Record Date | Payment Date | Distribution Unit ($) | Annual Distribution Return (%) (1) |
|---|---|---|---|---|
| 3-Jul-23 | 4-Jul-23 | 18-Jul-23 | - | -0.00% |
| 1-Jul-22 | 4-Jul-22 | 18-Jul-22 | $0.129909 | 2.80% |
| 1-Jul-15 | 3-Jul-15 | 20-Jul-15 | $2.413887 | - |
1 This is the annual distribution return to the end of the relevant distribution date. The distribution return reflects the contribution to total investment return made by the Fund's distributions. Distribution return is calculated as the total return less the growth return. Total return is calculated as the percentage change in a continuing investor's interest in the Fund assuming reinvestment of all distributions back into the Fund (and no other application or withdrawal), net of ongoing fees. Growth return is the Fund's return excluding distributions, net of ongoing fees. Past performance is not indicative of future performance.