iWealth Australian Equities Buy Write Fund

The Company has been established to offer investors an opportunity to participate in a company which will maintain an actively and professionally managed portfolio of Australia’s leading S&P/ASX100 companies.

Through the Company, will investors be able to take advantage of the significant volatility still being experienced in equity markets as the global financial system continues its path back to full recovery.

Key advantages on investing in the Company include:

• a higher than average gross dividend yield over the medium term (i.e. 3-5 years);
• potential scope for additional income generation by opportunistically writing call options; and
• reasonable prospects for capital growth after allowing for the impact of dividends.

The investment strategy seeks capture both income and medium-term capital appreciation from investing in shares ASX listed companies, with the objective of enhancing the income generated by selectively selling call options over the shares held.  Option strategies such as “covered calls” and “cash covered puts” will be used with a view to generating strong investment cashflow whilst maintaining a focus on risk management of the Portfolio.

The Company will aim to hold between 15 to 25 shares directly, and may also opportunistically hold other securities listed on the ASX, together with other derivative instruments.  The relative weightings of these investments will be determined with the support of detailed fundamental and technical analysis.