Richmond Income

What is the investment strategy of Richmond Income?

Richmond Income invests in a diverse range of:

  • "at call" and fixed income products offered by authorised deposit taking institutions (ADIs) in Australia (major banks and credit unions); and
  • 1st mortgages for business or investment purposes.

The Fund has no exposure to any equity or currency market and has no borrowings.

What type of investor does Richmond Income suit?

This Fund is best suited to investors who:

  • require a stable income stream at rates generally better than those available with short term investments
  • require access to their investment through periodic withdrawal offers
  • have a medium tolerance of investment risk
  • are seeking income and not capital growth

What are the key features of Richmond Income?

  • The Fund aims to pay a highly competitive distribution rate
  • The minimum investment is $1,000
  • Access to funds is via periodic "Redemption Offers" which have traditionally been made every 3 or 4 months

How secure is Richmond Income?

A degree of risk applies to all types of investments. As investing in Richmond Income involves exposing your investment to a range of risks, it is important that you understand:

  • the risks involved in investing in the Fund;
  • how these risks compare with the risks of other investments;
  • how comfortable you are in exposing your investment to risk; and
  • the extent to which the Fund fits into your overall financial plan.

All investments are subject to risks, not all of which can be predicted or avoided. The Product Disclosure Statement lists the significant risks associated with investing in Richmond Income. You should obtain professional advice from a financial planner, lawyer or accountant before making a decision to invest.

Is the distribution rate fixed or variable?

The distribution rate is variable, calculated daily and paid quarterly.

Is my money locked away for a specific term?

No.

There is no set term with an investment in Richmond Income. Once you have invested however, access to your funds is via redemption offers which are generally made every quarter. You will be advised every time the Fund makes a redemption offer. If you decide to participate in a redemption offer your redemption will be paid via electronic funds transfer to your nominated account.

Are there fees associated with an investment in Richmond Cash?

There are no entry, exit or transactions fees associated with an investment in "Richmond Cash".

Can I switch my investment from Richmond Income to Richmond Cash or Richmond Income Plus?

You can transfer from Richmond Income to Richmond Income Plus with 30 days notice.

You can transfer from Richmond Income to Richmond Cash every time a redemption offer made to Richmond Income investors.

We do not charge you any fees to transfer your investment.

How do I open a Richmond Income account?

All you need to do then is to complete the application form contained in the Richmond Mortgage Fund "PDS" and (if necessary) provide the relevant identification supporting documents. The PDS can be obtained from our Ballina office or downloaded from here.

How do I invest my money with "Richmond Income"?

You can make your initial and subsequent investments by:

  • Cheque at our Ballina branch (11/4 River Street)
  • Direct Debit - You will need to complete the Direct Debit Request form at the back of the "Richmond Mortgage Fund" PDS (or contact our office)
  • Funds transfer by internet/phone banking – Please contact our office for account details.

Unit Pricing Policy

The Constitutions of Richmond Mortgage Fund and Richmond Cash Fund provide that units may only be issued or redeemed at an Application Price or Redemption Price of $1.00 unless Ballina Mortgage Management Limited (BMML) reasonably considers the value of a unit is not $1.00 per unit, in which case the Application Price or Redemption Price of a unit is calculated as: Net Trust Value / Units on Issue

Complaints

BMML has an Internal Dispute Resolution (IDR) system that complies with requirements approved by ASIC and in line with the Australian Standards 10002 Customer Satisfaction and Guidelines for Complaints Handling.

In particular, we are required to investigate, properly consider and decide what action (if any) to take and to communicate our decision to you within 45 days. If you are not happy with how the complaint has been handled, you may contact the Financial Ombudsman Service Limited. This is an independent body approved by ASIC to consider complaints. Its contact details are:

Financial Ombudsman Service Limited
GPO Box 3, Melbourne VIC 3001
Telephone: 1300 780 808
Website: www.fos.org.au

*Investors should note there is a risk that the investments may achieve a lower than expected return. The Funds are not a bank deposit and investors risk losing some or all of their principal investment. Investors should consider the Product Disclosure Statements before making any investment decisions.