What does the fund invest in?
Vanguard LifeStrategy High Growth Fund is a Multi-Sector Aggressive fund that invests in a diversified portfolio of securities, with a target asset allocation of 90% invested in growth asset classes and 10% in income asset classes. The fund tracks the weighted average return for the various indices of the funds in which it invests.
Vanguard LifeStrategy High Growth Fund was created in 1998, and has $126.7 million funds under management as at 31 March 2016.
Suitability for investors
This fund is designed for “buy and hold” investors seeking long-term capital growth.
Investors should have a high tolerance for the risk of share market volatility.
Key features of this managed fund are:
- Investor Access: Investors can go online or phone up to check their balance or statements, update personal details, make buy/sell requests, check fund performance, and contact customer service.
- Payment Options: Vanguard allows you to make payments to your fund using BPAY or cheques. They do not allow payment by direct debit.
- Fund Distributions: Semi-Annual.
- Free Switches: Unlimited free switches. Minimum balance of $1,000 to switch.
- Withdrawals: Normally paid within 4 business days. Minimum balance of $1,000 to withdraw.
- Minimum Investment Amount: Initial investment: $5,000. Additional investment: $1,000 for cheque; $100 for BPAY. Minimum account balance: $3,000.
Key fees and fee rebates that apply to this managed fund are:
- Fee Rebates: This fund provides fee rebates or concessions.
- Management Fee: 0.90% on the first $50,000. 0.60% on the next $50,000. 0.35% on balance above $100,000.
- Buy/Sell Spread: 0.12% for buy or sell transaction.
- Performance Fee: There is no performance fee charged if the fund performs above the index.
Vanguard Investments Australia Ltd lists the following long-term total returns for the Vanguard LifeStrategy High Growth Fund, taking into account management fees and transaction costs:
|Investment Timeframe||Total Return p.a.|
Who is Vanguard Investments Australia Ltd?
Vanguard Investments Australia Ltd began work in 1996 in Australia. It is part of the Vanguard Group, Inc., which was founded in 1975 in the United States. This gives Vanguard Investments Australia the benefit of a global company’s scale and resources, and 40 years of experience. In fact, The Vanguard Group, Inc. were the first to launch an equity index mutual fund for individual investors in 1976 in the US.Vanguard Investments Australia takes a passive investment approach and the Vanguard Group, Inc. has $4.6 trillion AUD total assets under management as at 31 December 2015. The Group employs more than 14,000 people worldwide.Vanguard’s funds are client-owned, owned by their investors. This mutual ownership structure means investors don’t need to worry that Vanguard could be acquired by another company; Vanguard promises they will serve their interests now and in the future.