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Australia - A Safety Zone - January 2012

Australia – A Safety Zone

 

Australia is a zone of safety as political problems handicap Europe and global demand slows as the world deleverages.

 

We are not sure what 2012 has in store for the world so it’s best to reflect on facts.

 

Facts about Australia:

·      AAA rated country with solid banks - At a time when other developed economies have had their ratings cut, or put on review for potential downgrade, Australia stands tall in the world with its gold-plated AAA status safe and secure.

·      Very low sovereign debt levels

·      Property will be stimulated in the event of a global slowdown

·      Australian property has sound fundamentals

·      Overall financial stability

·      Lots of room to stimulate the economy

·      A supply shortage underpins prices and an independent central bank encourages price stability

 

LM Funds.

Australian Specialist Fund Manager established in 1998.

 

LM Investments is a product that’s conservative in comparison to asset classes such as corporate bonds, equities and hedge funds.

 

Australian property supports the fund’s investments and it provides the capability to generate capital stability and regular income well above the cash rate.

 

Conservative Income (Fixed Term): LM Australian Income Fund – Currency Protected (AIFCP)

 

The fund outperforms cash rates on a range of different currencies providing a competitive return that is hedged in the relevant currency against Australian Dollar movements

 

·      Provides senior debt secured only by registered first mortgage to generate passive income and access to the strong and divers Australian property market

·      Performance target is to achieve 2% p.a. to 3% p.a. above the official cash rates

·      1,2,3 and 5 year terms are available

·      Minimum investment of only AUD1,000 or currency equivalent

 

Currency

1 year

2 years

3 years

5 years

AUD

7.5% pa

8% pa

8.5% pa

9% pa

USD

3.25% pa

3.5% pa

3.75% pa

4.25% pa

GBP

5% pa

5.25% pa

5.5% pa

6% pa

EUR

5% pa

5.25% pa

5.5% pa

6% pa

JPY

2.5% pa

2.75% pa

3% pa

3.5% pa

 

For more details click here now

 

Enhanced Income (Fixed Term): LM Managed Performance Fund (MPF)

 

LM MPF is interesting in that is brings the profits from a development forward as regular annual income payments by the clever use of s debt structure on top of an equity like position in the developments.

 

Property funds participate in the very early stages of a developments life, LM MPF participates at the safer end and runs a variety of projects concurrently to generate a more even spread of the realisation of the profits that accrue from a project by way of capital gains, fee and interest income – they are transformed into an even income stream.

 

To provide consistent, competitive income through actively participating in ownership/growth-like positions in Australian property, the Fund;

 

·      Provides a full range of credit across most sectors, including residential and commercial development;

·      Utilises loan structures for its investments to ensure that all investment performance is passed through the fund to investors as income;

·      Provides investors with access to the strong and diverse Australian property market;

·      Performance target is to achieve 4% to 5% p.a. above the official cash rates

·      1,2,3 and 5 year fixed terms are available

·      Minimum investment of AUD1,000 or currency equivalent

 

Currency

1 year

2 year

3 year

5 year

AUD

7.5% pa

8.5% pa

9.5% pa

10.5% pa

USD

4% pa

5% pa

6% pa

7% pa

GBP

6% pa

7% pa

8% pa

9% pa

Australia - A Safety Zone - January 2012 (01/05/2012)
April 2011 (04/11/2011)
John Mauldin - Stay out of the ROOM (03/07/2011)
March 2011 (03/07/2011)
STRATFOR's 2011 Annual Forecast - Outside the Box Special Edition (01/20/2011)
Thinking the Unthinkable - John Mauldin's Weekly E-Letter (01/16/2011)
January 2011 (01/03/2011)
Pushing on a String - John Mauldin's Weekly E-Letter (09/26/2010)
Market Still Deluding Itself That It Can Escape The Inevitable Dénouement - John Mauldin's Outside (09/13/2010)
The Dark Side of Deficits - John Mauldin's Weekly E-Letter (08/30/2010)
Thoughts from the Frontline Weekly Newsletter How We Get Through This Mess by John Mauldi (08/22/2010)
The Ultimate Hedge in Economic Crisis - John Mauldin's Outside the Box E-Letter (06/02/2010)
Six Impossible Things - John Mauldin's Weekly E-Letter (05/31/2010)
The Case for a Fed Rate Hike - John Mauldin's Weekly E-Letter (05/24/2010)
Learning from the Bank of Dad - John Mauldin's Outside the Box E-Letter (05/24/2010)

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