Changes to Fund buy-sell spread

Important Updates

Pendal Dynamic Income Fund (APIR: BTA8657AU, ARSN 622 750 734)

Pendal Enhanced Credit Fund (APIR: RFA0100AU, ARSN 089 937 815)

Pendal Fixed Interest Fund (APIR: RFA0813AU, ARSN 089 939 542)

Pendal Monthly Income Plus Fund (APIR: BTA0318AU, ARSN 137 707 996)

Pendal Sustainable Australian Fixed Interest Fund (APIR: BTA0507AU, ARSN 612 664 730)

 
Effective 7 May 2020, the buy-sell spread for a number of Pendal funds (the Funds) will decrease as set out in the table below:

Fund Name

Old (%)

New (%)

Buy

Sell

Buy

Sell

Pendal Dynamic Income Fund

0.07%

0.66%

0.07%

0.36%

Pendal Enhanced Credit Fund

0.07%

0.57%

0.07%

0.32%

Pendal Fixed Interest Fund

0.06%

0.19%

0.06%

0.12%

Pendal Monthly Income Plus Fund

0.07%

0.44%

0.07%

0.25%

Pendal Sustainable Australian Fixed Interest Fund

0.05%

0.22%

0.05%

0.13%

Table 1: Old and New Buy-Sell Spreads

The buy-sell spread is an additional cost to you and is generally incurred whenever you invest in or withdraw from a Fund. The buy-sell spread is retained by the Fund (it is not a fee paid to us) and represents a contribution to the transaction costs incurred by the Fund such as brokerage and stamp duty, when the Fund is purchasing and selling assets. The buy-sell spread also reflects the market impact of buying and selling the underlying securities in the market. Importantly, the buy-sell spread helps to ensure different unit holders are being treated fairly by attributing the costs of trading securities to those unit holders who are buying and selling units in the Funds. 

The further reduction in buy-sell spread reflects continuing improvement in market liquidity for Australian issued investment grade securities.

Pendal will continue to monitor market conditions and review and update the buy-sell spread regularly as required.  You should therefore review the current buy-sell spread information before making a decision to invest or withdraw from a Fund.

Please refer to our website www.pendalgroup.com and click ‘Products’ for the latest buy-sell spread for each Fund.