Melbourne, 30 November 2020 – Core Infrastructure Fund Rated Very Strong
Australia Ratings Analytics (Australia Ratings) has confirmed the investment rating of ‘VERY STRONG’ for the Core Infrastructure Fund (CIF, the Fund). The Fund’s initial rating was issued in 2019. A Product Complexity Indicator of ‘YELLOW’ has also been unchanged to designate the view that the Fund is a COMPLEX financial product, indicating that the underlying assets require specialist investment skills to acquire and to monitor. In addition, investment in this Fund is Illiquid and investors should have a good understanding of the terms and characteristics of the distributions from this type of fund. This Fund is available to wholesale investors only.
A rating of VERY STRONG is the second highest rating on the investment rating scale used by Australia Ratings. A VERY STRONG investment rating indicates a very strong conviction that the Fund can deliver a risk-adjusted return in line with the Fund’s investment objective.
The Fund’s name has changed from Infrastructure Partners Investment Fund to Core Infrastructure Fund. The Fund is managed by Invest Unlisted (Manager); the Manager also changed its name from Infrastructure Partners Investment Fund Management, in order to reflect a broader product/fund range that it would offer to wholesale investors.
The Fund’s strategy has remained the same since inception; investing in well established, unlisted infrastructure funds (through a fund of funds (FoF) structure) and building an exposure to mature, cash-generating assets with a balanced mix of regulated and GDP-linked investments.
The Fund’s high allocation to the airport sector has been the main reason behind its flat performance over the last year. Australia Ratings’ analyst, Dragana Timotijevic, says “given the quality of the Fund’s assets and the current depressed valuation of airports, the Fund remains in a strong position to deliver uncorrelated returns to equity markets while meeting its objective over the long term”.
The research report is available from www.australiaratings.com.
FOR MORE INFORMATION, CONTACT:
Dragana Timotijevic, Director
dragana.timotijevic@australiaratings.com 03 8080 6684
MORE INFORMATION ABOUT OUR INVESTMENT RATING PROCESS & DEFINITIONS:
Available on our website.
ABOUT AUSTRALIA RATINGS
Australia Ratings is a local, independent rating agency that provides research and ratings on debt securities, investment products, and Operational Capability Assessments. As an ASIC-licensed rating agency, we provide general advice to the broader investment community through our detailed reports. We are Australia’s only agency that holds a retail Australian Financial Services Licence (AFSL). This enables both retail and wholesale investors to use our credit ratings to help them gauge credit risk and complexity of financial products sold in the Australian market.
ABOUT AUSTRALIA RATINGS' INVESTMENT RATING
Our investment rating reflects Australia Ratings’ current opinion of a fund’s or an investment’s ability to achieve its stated investment objectives in the near term.The rating expresses a view on the expected consistency of the fund’s or investment’s performance within its peer or style group and on the fund manager’s ability to produce superior performance amongst its peers in the near term with due regard to the medium-term consensus view of the asset class to which the product is benchmarked.
A five-point scale is used to differentiate our opinion on how well we believe a fund will perform against a range of risks. Click here to find out more.
