ASX 20+ Series 3
Please note: This investment is now closed
ASX 20+ Series 3
JPMorgan's ASX 20+ Series 3 (ASX 20+) invests in the growth potential of Australia's top 20 companies and aims to generate up to 10% pa income. It also offers a minimum coupon of 2% pa for the first 5 years, capped at 10 % pa.
The S&P/ASX 20 is an index made up of the top 20 stocks in the Australian market by market capitalisation. Blue chip Australian shares, such as those comprising the S&P/ASX 20 are likely to remain a core allocation within Australian investor's portfolios. The growth component of ASX 20+ provides exposuure to a basket of the largest companies listed on the ASX over a 7 year term.
Invest at the low
Right now, with the Australian market down across the board, there may be some outstanding opportunities for investors who are looking for bargains… and for the inception of an investment like ASX 20+.
History shows the biggest companies can withstand increased levels of market volatility and also tend to ‘bounce back' faster.
Broad sector coverage
The ASX 20 companies are the largest of their kind accounting for approximately 90% of the Australian share market. They dominate major sectors of the Australian economy such as financials, resources, energy and telecommunications.
Through ASX 20+ your portfolio will have exposure to these and other sectors in the Australian market - a diversified portfolio of high-performing stocks.
Profits "locked in" Capital Protected
From years 4 to 6, 20% of any increase in value from the previous year will be "locked in" and preserved until maturity. Plus… ASX 20+ also provides Capital Protection at maturity.
Today's big 20
- BHP Billiton
- Commonwealth Bank
- National Australia Bank
- Westpac Bank
- ANZ Bank
- Rio Tinto
- Woolworths
- Westfield Group
- Telstra Corporation
- Wesfarmers
- Woodside Petroleum
- QBE Insurance Group
- CSL Limited
- Newcrest Mining
- Macquarie Group
- Brambles
- AMP Limited
- Santos Ltd
- Suncorp – Metway
- Fosters Group
ASX20+ Series 3 sector coverage
| Sector | Allocation |
|---|---|
| Financials | 45% |
| Materials | 15% |
| Industrials | 5% |
| Health Care | 5% |
| Consumer Staples | 15% |
| Energy | 10% |
| Telecommunications | 5% |
Blue chip growth plus income
As well as exposure to a diversified selection of blue chips for growth, ASX 20+ offers a minimum coupon of 2% pa (capped at 10% pa) in years 1 to 5 from a seperate strategy.
Is ASX20+ suitable for you?
Request a free call back from an Advisor about ASX20+
Fund features summary
- Borrow to invest without margin and a fixed LVR
- No on-going interest to pay - it’s all paid upfront
- The interest rate on the loan is fixed at 7.5% pa
- Minimum 2% pa coupon paid in years 1 to 5 (capped at 10% pa)
- An effective interest rate on borrowings of 4.6% pa
- At the end of the term the underlying parcel can be delivered as shares
- You can continue to hold the shares and avoid CGT until you elect to sell them
- The principal is 100% Capital Protected at maturity
- 20% of any profit is locked-in years 4 to 6
- Separate Growth & Income Components should assist in balancing the overall performance of the investment
- Through Geared ASX 20+ SMSFs can borrow up to 58% of the investment amount and lock in the interest at a very reasonable 7.5% pa
Offer Opens: 9.00am (AEST) 10 November 2008
Offer Closes: 5.00pm (AEST) 5 December 2008
Important Information
JPMorgan Investments Australia Limited (ABN 21 056 751) (AFSL 298633) ("JPMIAL") is the issuer of ASX 20+ Series 3 (ASX 20+). Freeman Fox® Ltd (ABN 17 010 763 087 ) (AFSL 246510) ("Freeman Fox®") is the distributor of this Offer but is not part of or otherwise associated JPMIAL, or any other member of the JPMorgan Chase Bank, and acts on its own behalf. Freeman Fox® is not the Issuer of the ASX 20+ Product Disclosure Statement ("PDS") and takes no responsibility for the Offer or the contents of the PDS.
All potential investors should read the PDS dated on or about 7 November 2008 before making any decision to invest. The terms of ASX 20+ are exclusively subject to the detailed provisions, including risk factors contained in the PDS. An investment in ASX 20+ is not a deposit with or other liability of JPMorgan Chase Bank, or any of its related bodies corporate (other than JPMIAL), and is subject to investment risk, including the possible delays in repayment and loss of income or principal invested. JPMIAL does not accept any responsibility for any non-receipt of your application form(s) and/or payments. JPMIAL may decline to issue any ASX 20+ to any particular applicant, in which case the application monies will be refunded in full (without interest).
Neither JPMorgan Chase Bank nor any of its related bodies corporate guarantees the performance of ASX 20+, nor does such entities guarantee the repayment of principal from ASX 20+ where they are sold prior to the expiry date for any reason. JPMIAL and/or its affiliates may from time to time, as principal or agent, have positions in, or may buy or sell, or make a market in any securities, currencies, financial instruments or other assets underlying the transaction to which this document relates and may provide investment banking and other services to and/or have officers who serve as directors of the companies referred to in this document. JP Morgan Chase Bank and its related bodies corporate give no warranty as to the reliability or accuracy of the information in this document, nor accept any responsibility or liability for any errors or omissions.