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From 1 July 2021, clients in the Cash Management Trust – Retail and the Australian Equities Trust – Retail can no longer make account redemptions via phone.
This notice incorporates the removal of all references to phone as an acceptable method for account redemptions effective 1 July 2021, within the following documents:
On the 19th of May 2021, the Enhanced Cash Trust – Wholesale become the Enhanced Income Trust – Wholesale. No other changes will be made to the trust.
This change has been made within the following document:
From 5 August 2020, physical cheques ceased to be an acceptable payment method for application, redemption or additional investment for any U Ethical product.
This notice incorporates the removal of all reference to cheque as an acceptable payment method for applications, redemptions or additional investments for any U Ethical product, effective 5 August 2020, within the following documents:
You will need to read each of the above documents for details about investing in the Growth Portfolio in combination of this notice.
This offer document update notice is issued by Uniting Ethical Investors Limited (ABN 46 102 469 821 AFSL 294147) and UCA Growth Fund Limited (ABN 39 075 948 435).
On 1 July 2020, debentures of the U Ethical Enhanced Cash Portfolio were transitioned to the U Ethical Enhanced Cash Trust (Wholesale), a unit trust.
As a result, from 1 July 2020, the Growth Portfolio holds its cash and fixed interest assets through the U Ethical Enhanced Cash Trust (Wholesale). U Ethical Enhanced Cash Trust (Wholesale) invests directly in a balanced mix of cash, cash securities, fixed interest securities, term deposits, government and corporate bonds, fixed and floating rate notes, asset backed securities, mortgages and mortgage backed securities, community loans, preference shares, hybrid securities and convertible securities.
All other aspects of Growth Portfolio remain the same.
This notice incorporates the changes above to the Growth Portfolio Offer Document, effective 1 July 2020. You will need to read the document for details about investing in the Growth Portfolio.
This offer document update notice is issued by Uniting Ethical Investors Limited (ABN 46 102 469 821 AFSL 294147) and UCA Growth Fund Limited (ABN 39 075 948 435).
From 1 July 2020, our contact details have changed to the following:
Address:
Level 6, 130 Lonsdale Street, Melbourne, Victoria 3000
Tel: 1800 996 888
Our email, info@uethical.com, remains the same.
While the COVID-19 restrictions are still in place, we continue to encourage you to contact us by email or telephone, and to send any mail to the above address.
From 1 July 2020, our contact details have changed to the following:
Address: Level 6, 130 Lonsdale Street, Melbourne, Victoria 3000
Tel: 1800 996 888
This notice incorporates the changes to our contact details as above, effective 1 July 2020, within the document:
You will need to read the above document for details about investing in the Growth Portfolio.
This Offer Document Update notice is issued by Uniting Ethical Investors Limited (ABN 46 102 469 821 AFSL 294147) and UCA Growth Fund Limited (ABN 39 075 948 435).
This significant event notice relates to the following managed investment scheme operated by Uniting Ethical Investors Limited:
U Ethical Enhanced Cash Trust (ARSN 610 022 985)
This notice outlines changes which take effect from 1 July 2020, and include:
• change to Trust name
• change to constitution
• change to investment strategy
• reduced risk level
• change to management costs
• changes to how income is calculated
• reduced management fees
These changes are somewhat technical, so if you have any questions please call us on 1800 996 888 or email productinfo@uethical.com.
An updated copy of the PDS will be available from 1 July 2020 on our website, or contact us for a copy.
From July 1 2020, the name of the U Ethical Enhanced Cash Trust (ECT) will change to the U Ethical Cash Management Trust (CMT) to better reflect its objective:
“to achieve competitive risk adjusted returns while maintaining a high level of capital stability, and while limiting harm and creating positive impact through U Ethical’s ethical investment policy”.
The constitution for the CMT will be amended in line with the change to Trust name.
Currently, the ECT invests in a wide range of assets and securities, some of which are “market-linked”, meaning their prices fluctuate in different economic and market environments. The change to the investment strategy means that CMT’s investments will be limited predominantly to cash and cash equivalents (e.g. treasury bills, short-term government bonds) together with term deposits.
As a result of the change to investment strategy, the risk level of the Trust has been adjusted from a low to very low likelihood of a negative annual return.
The management fee for the ECT is estimated to be 1.05% per annum, while the management fee for the CMT is estimated to be up to 0.45% per annum. The lower fee reflects its simpler investment strategy and the costs of managing your investments.
For the sake of clarity, the Trust’s constitution allows us to charge a fee of up to 1.15% per annum. However, the constitution also provides U Ethical as the responsible entity with the right to accept lower fees than we are entitled to receive, defer payment or waive our entitlement to such fees.
We have chosen to exercise that right and accept lower fees in this instance.
Please also note that all returns paid to you continue to be net of fees and that the fees you pay continue to support U Ethical’s charitable purpose.
A reduction in investment risk means a lower return. Furthermore, the income returns on cash and cash equivalents are still changing from week to week. However, we estimate a distribution return for the half-year to 31 December 2020 of approximately 0.5% pa after fees.
Please note that this is an estimate only and does not reflect an actual return. Returns are not guaranteed.
The minimum initial investment amount for new accounts in the CMT will change to $1,000, i.e. there is no impact on investors with existing accounts. All other minimum amounts, including additional investments and regular savings plans, remain the same.
To achieve competitive risk adjusted returns relative to the benchmark over the short to medium term while maintaining a high level of capital stability, and while limiting harm and creating positive impact through the implementation of U Ethical’s ethical investment policy
Reserve Bank of Australia cash rate
6 months
Asset class
Asset allocation range
Very low
The Trust invests, subject to U Ethical’s ethical investment policy, in a segregated mix of cash, cash equivalents and term deposits through the U Ethical Enhanced Cash Trust – Wholesale.
The Reserve Bank of Australia (RBA) has cut the cash rate by 0.75% since June 2019, with the result that it is now at an all-time low of 0.75%. U Ethical is acutely aware of the financial pressure on investors’ savings caused by the current low interest rate environment. We therefore made the decision to limit the reduction in the distribution yield of the U Ethical Enhanced Cash Trust to 0.35%, half the total cut in the cash rate.
In recent months, U Ethical has been left with no choice but to rollover term investments at lower rates. Furthermore, there is the potential of one or more cash rate cuts by the RBA in 2020. This has prompted a further review of the distribution yield.
Changes are effective 10 January 2020
New distribution yield
The result of this review is that from 10 January 2020, it will be necessary to reduce the distribution yield by 0.20% pa to 1.70% pa for the U Ethical Enhanced Cash Trust.
Note: this rate may not apply if you nominated a reduced interest rate. Please contact U Ethical if you are unsure.
U Ethical will continue to seek to enhance the distribution yield as far as is practicable. Should the circumstances which affect our forecasts change for the positive in the coming months, we shall of course seek to increase the distribution yield.
No action is required by you at this time.
Want to know more?
For more information, please read the U Ethical Enhanced Cash Trust Product Disclosure Statement and Additional Information Booklet here.
New distribution yield
The result of this review is that from 10 January 2020, it will be necessary to reduce the distribution yield by 0.20% pa to 1.70% pa for the U Ethical Funeral Fund.
U Ethical will continue to seek to enhance the distribution yield as far as is practicable. Should the circumstances which affect our forecasts change for the positive in the coming months, we shall of course seek to increase the distribution yield.
No action is required by you at this time.
New distribution yield
The result of this review is that from 10 January 2020, it will be necessary to reduce the distribution yield by 0.20% pa for the U Ethical Enhanced Cash Trust. Including your fee rebate, the new net effective distribution yield will be 2.05% pa.
U Ethical will continue to seek to enhance the distribution yield as far as is practicable. Should the circumstances which affect our forecasts change for the positive in the coming months, we shall of course seek to increase the distribution yield.
No action is required by you at this time.
Want to know more?
For more information, please read the U Ethical Enhanced Cash Trust Product Disclosure Statement and Additional Information Booklet here.
The information provided is general information only. Before acquiring a U Ethical product, you should read the disclosure document(s) for the product and seek independent advice to ensure it is appropriate for your particular objectives, financial situation and needs.
The disclosure documents are available from this website and contain details of the issuer of each product. U Ethical is a registered business name of Uniting Ethical Investors Limited ABN 46 102 469 821 AFSL 294147.
We acknowledge Aboriginal and Torres Strait Islander peoples as the traditional owners and original custodians of the lands and waters on which we all live and work. We pay our respects to Elders past and present.
©2024 Uniting Ethical Investors Limited
